New Delhi: The Reserve Bank of India (RBI) will provide a term-liquidity facility of Rs 50,000 crore to ease access of funds for emergency medical services to tide over the COVID-19 pandemic, RBI Governor Shaktikanta Das said in an unscheduled address on Wednesday.
The liquidity support comes at a time when India has emerged as the coronavirus hotspot and surging cases during the second wave have overwhelmed the healthcare system.
Under the liquidity scheme, banks can support entities including vaccine manufacturers, medical facilities, hospitals and patients. The funds will be provided for tenure of up to 3 years and this lending will get priority sector classification till repayment or maturity.
Banks can create a special loan book and park liquidity equal to their Covid loans at 40 basis points above the reverse repo rate, Das said.