“Out of the total loan book of Rs 7.21 trillion, Rs 1.27 trillion belongs to the MSME categories. Out of this, around 14 per cent is under non-performing assets (NPA) category so the remaining MSME accounts will be eligible which is not expected to be high in terms of value,” Rao added.
Till date, the bank has allowed loan restructuring to the tune of Rs 1,300 crore for MSME accounts. The RBI had allowed banks
to go for restructuring of MSME accounts last year due to economic stress.
The RBI had earlier this month announced a loan restructuring scheme for all types of borrowers–-corporate, MSME and personal loan segments. For non-MSME account holders, such restructuring can be sought till December 31 this year, provided that the borrower is not in default for more than 30 days as of March 1, 2020.
Rao added that the bank will get a clearer picture on restructuring after examining the recommendations to be made by the RBI-appointed committee headed by veteran banker K V Kamath on loan accounts above Rs 100 crore in value. PNB
will take approval from its board on the modalities of restructuring by the end of this month.
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