Loan Restructuring for MSME, Individuals & Small Businesses

Navigating Financial Distress: Understanding RBI's Resolution Framework 2.0

The COVID-19 pandemic has significantly impacted the Indian economy, causing widespread financial hardship. Millions have faced economic challenges, particularly during the initial wave and the resurgence in 2021. To address this, the Reserve Bank of India (RBI) introduced a series of resolution frameworks to support borrowers. This course provides a comprehensive understanding of these frameworks, specifically focusing on Resolution Framework 2.0 for Individuals and Small Businesses and Resolution Framework 2.0 for MSMEs.

What you will learn:

• Introduction to the RBI's resolution framework and its objectives.
• Loan Restructuring: A detailed look at how loans can be restructured under the new guidelines.
• Eligibility Criteria: Understand who qualifies for relief – both individual & small business borrowers and MSME entities.
• Moratorium & Tenure Extension: Learn about options for temporary relief and extending loan repayment periods.
• Invoking the Resolution Process: A step-by-step guide on how to initiate the resolution process.
• Permitted Features & Implementation: Explore the various features allowed under the framework and how they are implemented.
• Asset Classification & Provisioning: Understanding the implications for banks and financial institutions.
• Working Capital Support for Small Businesses: Discover how working capital support is provided to businesses that have undergone resolution plans.
• Disclosures & Credit Reporting: Learn about reporting requirements and transparency.
• Real-World Case Studies: Analyze practical examples of how the framework has been applied.
• MSME Loan Restructuring: Specific strategies for restructuring loans for Micro, Small, and Medium Enterprises.
• Working Capital Term Loan: Explore options for term loans to support working capital needs.
• Funded Interest Term Loan: Understand the features of funded interest term loans.

This course is designed for self-paced learning. For optimal learning, we recommend using headphones and having a notepad and pen ready to capture key insights.

Enroll now to gain a clear understanding of how the RBI's resolution frameworks can help you navigate financial challenges!