It says, “India’s monetary management is conservative and prudent, together with its low external debt position and relative ease in local currency funding, this helps alleviate its fiscal weakness.” The important point here is if RBI’s policy is helping to alleviate fiscal weakness, how can it be conservative? It perhaps needs to be described as “appropriate”. This address is dedicated to Mr. S.L.N.
The period was extended by three months for the fund-provisioning against loans that financial institutions make on the back of government support ("government-supported loans"). Firms' financing needs arise not only from the impact of COVID-19 but also for various reasons, such as an increase in working capital due, for example, to higher raw material prices.