What changed
The previous extension of credit relaxations for J&K borrowers expired on March 31, 2012. RBI has now extended these concessions further, making them operative until March 31, 2014.
What it means for you
Banks must continue to provide the same credit relaxations to borrowers in Jammu & Kashmir as outlined in the 2004 circular. This ensures uninterrupted support to trade and industry in the state, maintaining the existing relief measures for another two years.
What you must do
- Issue instructions to all controlling and branch offices in J&K to continue the existing credit relaxations.
- Ensure that the concessions from the April 21, 2004 circular remain in effect until March 31, 2014.
- Monitor compliance and address any borrower queries regarding the extended timeline.
Who it affects
All scheduled commercial banks (excluding RRBs) operating in Jammu & Kashmir, Borrowers and customers in J&K availing credit relaxations, Trade and industry entities in the state
Which circular defines the specific credit relaxations being extended?
The concessions are those laid down in RBI Circular DBOD.No.BP.BC.77/21.04.012/2003-2004 dated April 21, 2004.
Does this extension apply to Regional Rural Banks?
No, the circular is addressed to all scheduled commercial banks excluding Regional Rural Banks (RRBs).
What is the new deadline for these credit relaxations?
The concessions will remain operative until March 31, 2014.