Saturday, April 18, 2020

Brickwork : Moratorium provisions to hurt banks profitability

Brickwork Rating estimates that 10 per cent provisioning on loans granted moratorium could hit profitability by up to Rs 72,000 cr.

The Reserve Bank of India stipulation that banks maintain higher provision of 10 per cent over the two quarters of March and June 2020 on loans that have been granted a three-month moratorium could drill a huge hole, ranging from Rs 36,000 crore to Rs 72,000 crore, in their profitability, Brickwork Ratings has cautioned.


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