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Finance Minister stipulates time frame for banks to disburse loans; move comes as lenders turning risk averse -Manojit Saha

-The Hindu

In a communication to State-run banks, the government said the move is aimed at ensuring credit flow for economic activities and the guidelines come into effect from Monday when the business activities resume.

Mumbai: As business activities resumed on Monday after a nationwide lockdown, the Finance Ministry has swung into action to ensure credit flow to companies and prescribed a specific time frame for banks within which a loan needs to be disbursed.

In a communication to State-run banks, the government said the move is aimed at ensuring credit flow for economic activities and the guidelines come into effect from Monday when the business activities resume.

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