{"id":9134,"date":"2020-07-25T08:43:28","date_gmt":"2020-07-25T08:43:28","guid":{"rendered":"https:\/\/bengalnewstimes.com\/?p=9134"},"modified":"2020-07-25T08:43:28","modified_gmt":"2020-07-25T08:43:28","slug":"stressed-nbfcs-hfcs-seek-about-rs-14k-cr-financing-support-under-special-liquidity-scheme","status":"publish","type":"post","link":"https:\/\/bengalnewstimes.com\/?p=9134","title":{"rendered":"Stressed NBFCs, HFCs seek about Rs 14k-cr financing support under special liquidity scheme"},"content":{"rendered":"<p><\/p>\n<div>\n<div class=\"article-image\">\n<figure><img loading=\"lazy\" decoding=\"async\" class=\"lazy lazy-hidden size-full wp-image-2034735\" data-lazy-type=\"image\" src=\"https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3.jpg\" alt=\"The scheme was launched on July 1.\" width=\"660\" height=\"440\" srcset=\"\" sizes=\"auto, (max-width: 660px) 100vw, 660px\"\/><noscript><img loading=\"lazy\" decoding=\"async\" class=\"lazy lazy-hidden size-full wp-image-2034735\" data-lazy-type=\"image\" src=\"https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3.jpg\" alt=\"The scheme was launched on July 1.\" width=\"660\" height=\"440\" srcset=\"\" sizes=\"auto, (max-width: 660px) 100vw, 660px\"\/><noscript><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-2034735\" src=\"https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3.jpg\" alt=\"The scheme was launched on July 1.\" width=\"660\" height=\"440\" srcset=\"https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3.jpg 660w, https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3-300x200.jpg 300w, https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3-620x413.jpg 620w, https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3-401x267.jpg 401w, https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3-440x293.jpg 440w, https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3-80x54.jpg 80w, https:\/\/images.financialexpress.com\/2020\/07\/rupee-reuters1-660-3-313x209.jpg 313w\" sizes=\"auto, (max-width: 660px) 100vw, 660px\"\/><\/noscript><\/noscript><span class=\"article-caption\">The scheme was launched on July 1.<\/span><\/figure>\n<\/div>\n<p>Financing requests of close to Rs 14,000 crore have been received under the Rs 30,000-crore special liquidity scheme for stressed NBFCs and HFCs whose financial health deteriorated further due to the COVID-19 crisis, the finance ministry said on Friday.<\/p>\n<p>The scheme was launched on July 1.<\/p>\n<p>The Reserve Bank of India (<a target=\"_blank\" href=\"https:\/\/www.financialexpress.com\/tag\/rbi\/\" rel=\"noopener noreferrer\">RBI<\/a>) has provided funds for the scheme by subscribing to government-guaranteed special securities issued by a trust set up by <a target=\"_blank\" href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/state-bank-of-india-stock-price\/\" rel=\"noopener noreferrer\">SBI<\/a> Capital Markets Limited (SBICAP).<\/p>\n<p>The scheme is being implemented by SLS Trust, the SPV set up by SBICAP.<\/p>\n<p>\u201cAs on July 23, five proposals involving an amount of Rs 3,090 crore have already been sanctioned. Further, 35 more applications have been received seeking financing up to Rs 13,776 crore, which are under process,\u201d the finance ministry said in a statement.<\/p>\n<p>Non-banking financial companies (NBFCs) and housing finance companies (HFCs) came under stress following a series of defaults by IL&amp;FS group firms in September 2018.<\/p>\n<p>\u201cAny NBFC including Microfinance Institutions registered with RBI under the Reserve Bank of India Act, 1934 (excluding those registered as Core Investment Companies) and any HFC registered with the National Housing Bank (NHB) under the National Housing Bank Act, 1987 which is complying with certain specified conditions are eligible to raise funding from this facility,\u201d it said.<\/p>\n<p>The special liquidity scheme will remain open for three months for making subscriptions by the trust, it said.<\/p>\n<p>The scheme permits both primary and secondary market purchases of debt and seeks to address the short term liquidity issues of non-banking financial companies\/housing finance companies, it said.<\/p>\n<p>The instruments will be commercial papers and non-convertible debentures with a residual maturity of not more than three months and rated as investment grade.<\/p>\n<p>Therefore, it said, those market participants who are looking to exit their standard investments with a residual maturity of 90 days may also approach the SLS Trust.<\/p>\n<div class=\"common-bottom-text\">\n<p>Get live <a href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/\" target=\"_blank\" rel=\"noopener noreferrer\">Stock Prices<\/a> from <a href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/s-p-bse-sensex-stock-price\/\" target=\"_blank\" rel=\"noopener noreferrer\">BSE<\/a>, <a href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/nifty-50-stock-price\/\" target=\"_blank\" rel=\"noopener noreferrer\">NSE<\/a>, <a href=\"https:\/\/www.financialexpress.com\/investing-abroad\/\" target=\"_blank\" rel=\"noopener noreferrer\">US Market<\/a> and latest NAV, portfolio of <a href=\"https:\/\/www.financialexpress.com\/mutual-funds-india\/\" target=\"_blank\" rel=\"noopener noreferrer\">Mutual Funds<\/a>, calculate your tax by <a href=\"https:\/\/www.financialexpress.com\/income-tax-calculator\/\" target=\"_blank\" rel=\"noopener noreferrer\">Income Tax Calculator<\/a>, know market\u2019s <a href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/nse-top-gainers\/\" target=\"_blank\" rel=\"noopener noreferrer\">Top Gainers<\/a>, <a href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/nse-top-losers\/\" target=\"_blank\" rel=\"noopener noreferrer\">Top Losers<\/a> &amp; <a href=\"https:\/\/www.financialexpress.com\/mutual-funds-india\/equity-funds\/\" target=\"_blank\" rel=\"noopener noreferrer\">Best Equity Funds<\/a>. Like us on <a href=\"https:\/\/www.facebook.com\/thefinancialexpress\" target=\"_blank\" rel=\"noopener noreferrer\">Facebook<\/a> and follow us on <a href=\"https:\/\/twitter.com\/FinancialXpress\" target=\"_blank\" rel=\"noopener noreferrer\">Twitter<\/a>.<\/p>\n<p class=\"telegram-text\"><img loading=\"lazy\" decoding=\"async\" class=\"telegrma_img\" src=\"https:\/\/images.financialexpress.com\/2020\/04\/telegram.png\" alt=\"\" width=\"24\" height=\"24\" style=\"margin: 0px 5px 4px 0px; float: left;\"\/>Financial Express is now on Telegram. <a href=\"https:\/\/t.me\/TheFinancialExpressOnline\" target=\"_blank\" rel=\"noopener noreferrer\">Click here to join our channel<\/a> and stay updated with the latest Biz news and updates.<\/p>\n<\/div>\n<\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><a href=\\\"https:\/\/www.financialexpress.com\/industry\/banking-finance\/stressed-nbfcs-hfcs-seek-about-rs-14k-cr-financing-support-under-special-liquidity-scheme\/2034725\/\\\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The scheme was launched on July 1. Financing requests of close to Rs 14,000 crore have been received under the Rs 30,000-crore special liquidity scheme for stressed NBFCs and HFCs whose financial health deteriorated further due to the COVID-19 crisis, the finance ministry said on Friday. The scheme was launched [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":9135,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":""},"categories":[36],"tags":[],"class_list":["post-9134","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banking-business"],"jetpack_featured_media_url":"https:\/\/bengalnewstimes.com\/wp-content\/uploads\/2020\/07\/rupee-reuters1-660-3.jpg","_links":{"self":[{"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=\/wp\/v2\/posts\/9134","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9134"}],"version-history":[{"count":0,"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=\/wp\/v2\/posts\/9134\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=\/wp\/v2\/media\/9135"}],"wp:attachment":[{"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9134"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9134"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bengalnewstimes.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9134"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}