On January 19, 2022, the Union Cabinet chaired by Prime Minister (PM) of India Narendra Modi approved the following proposals the details of which were briefed by Union Minister Anurag Singh Thakur, Ministry of Information and Broadcasting (MIB).
- Ex-gratia payment of Rs 973.74 crore to SBI or scheme related loan moratorium during COVID-19
- Infusion of Rs.1,500 crore in Indian Renewable Energy Development Agency Limited
- Extension of tenure of the National Commission for Safai Karamcharis up to March 31, 2025
Cabinet approves Scheme for grant of ex-gratia payment of Rs 973.74cr to SBI for moratorium during COVID-19
The Union Cabinet has approved the sanction of remaining Rs 973.74 crore (*over and above Rs 5,500 crore) under ‘Scheme for grant of ex-gratia payment of difference between compound interest and simple interest for six months to borrowers in specified loan accounts (1.3.2020 to 31.8.2020)’ to State Bank of India (SBI).
- SBI is the nodal agency under the scheme for reimbursement to lending institutions.
- *The above mentioned scheme was approved by the Cabinet in October, 2020, envisaging therein an outlay of Rs 5,500 crore.
Key Points:
i.This approval is reimbursement to lenders related to loan moratorium that was implemented by Reserve Bank of India (RBI) on payment of installments of term loans due between March 1 and May 31, 2020, amid COVID-19 pandemic, which was extended to August 31, 2020.
- Financial and Non-Banking Financial Institutions (NBFIs) were asked to credit the difference between compound and simple interest collected on loans of up to Rs 2 crore during the moratorium scheme by November 30, 2020.
ii.Now, as per SBI, it has received consolidated claims of approx. Rs 6,473.74 crore from lending institutions, therefore seeking a balance amount of Rs 973.74 crore from the already disbursed amount of Rs 5,500 crore. This is why the above approval has been made.
About Scheme:
It aims to relief the borrowers of specified categories amid COVID-19. The eligible borrowers for ex-gratia payment under the scheme are:
i.MSME (Micro, Small & Medium Enterprises ) loans up to Rs. 2 crore
ii.Education loans up to Rs. 2 crore
iii.Housing loans up to Rs. 2 crore
iv.Consumer durable loans up to Rs. 2 crore
v.Credit card dues up to Rs. 2 crore
vi.Auto loans up to Rs. 2 crore
vii.Personal loans to professionals up to Rs. 2 crore
viii.Consumption loans up to Rs. 2 crore
Cabinet approves infusion of Rs 1,500cr in Indian Renewable Energy Development Agency Limited
The Cabinet Committee on Economic Affairs (CCEA), chaired by the PM approved the equity infusion of Rs 1500 crore in Indian Renewable Energy Development Agency Limited (IREDA).
- This will enable IREDA to lend Rs 12,000 crore to green energy projects or to Renewable Energy (RE) sector which will facilitate the debt requirement of RE of additional capacity of approximately 3500-4000 MW (Mega Watt).
Other benefits of Infusion to IREDA:
i.Aid in generating employment of approximately 10,200 jobs per year, and reduction in CO2 equivalent emission of approximately 7.49 million Tonnes CO2/year.
ii.Improve the capital-to-risk weighted assets ratio (CRAR) to facilitate its lending and borrowing operations.
Point to be noted:
IREDA has been rated ‘Excellent’ for the MoU (Memorandum of Understanding)of FY 2020-21 with a score of 96.93.
About Indian Renewable Energy Development Agency Limited (IREDA):
It is a Mini-Ratna (Category-1) company
Parent Ministry– Ministry of New and Renewable Energy (MNRE)
Chairman and Managing Director (CMD)- Pardip Kumar Das
Headquarters– New Delhi
Cabinet approves extension of tenure of the National Commission for Safai Karamcharis up to March 31, 2025
The Cabinet has extended the tenure of the National Commission for Safai Karamcharis (NSCK) by three years up to March 31, 2025 w.e.f. April 1, 2022.
About National Commission for Safai Karamcharis (NCSK):
i.It was constituted in 1993 as a statutory body as per the provisions of the NCSK Act 1993 initially for the period upto March 1997.
- The validity of the Act was extended up to March 2002 and thereafter February 2004 by passing amendment bills by Parliament. After that the tenure of the NCSK has been extended as a non-statutory body from time to time through resolutions.
ii.NCSK recommends the central government regarding specific programs for the welfare of Safai Karamcharis like action towards elimination of inequalities in status, facilities and opportunities for sanitation workers. It also investigates cases of specific grievances etc.
iii.Also as per the provisions of the Prohibition of Employment as Manual Scavengers and their Rehabilitation Act, 2013, the NCSK has been assigned the work to monitor the implementation of the Act.
Recent Related News:
i.Cabinet has approved the continuation of 1023 FTSCs including 389 exclusive POCSO (Protection of Children from Sexual Offences) Courts as a Centrally Sponsored Scheme (CSS) for 2 years from April 2021 to March 2023. A Financial outlay of Rs 1572.86 crore (Rs 971.70 crore – Central Share and Rs 601.16 crore – State share) has been allocated.
ii.CCEA approved the extension of the revised Samagra Shiksha Scheme for 5 years i.e., from FY22 to FY26 (2021-22 to 2025-26). A total of Rs 2,94,283.04 crore (Rs 1,85,398.32 crore as Central share) has been allocated for the scheme.
