In order to survive the second wave of COVID-19, the automotive dealers' body Federation of Automobile Dealers Associations (FADA) has sought fiscal support, including an extension of GST payment for the next three months.
The industry body has urged the RBI to provide guidelines to banks and NBFCs to give a moratorium equivalent to the number of days of lockdown each state has declared for the payment of instalments of term loans, short term loans, corporate loans, inventory funding, scrutinised loans, and cash credit lines, among others.
In its recommendations list, FADA also sought a moratorium extension on EMI payments for people who have bought vehicles. The body has also suggested the RBI to reduce interest rates on all loans by 400 basis points for 90 days.