RBI DEFERS ALL EMIs, LOAN REPAYMENTS; INJECTS LIQUIDITY OF RS 3.74 LAKH CR

The RBI put a three-month moratorium on the payment of all EMIs and loans as

well as cut lending rates for the industry as part of a four-pronged package

of measures.

The RBI has warned lending institutions that rescheduling must not be

treated as a change in terms and conditions of loan agreements and that

there must not be an asset classification downgrade.

The measures will inject a total liquidity of Rs 3.74 lakh crore into the

system, said RBI Governor Shaktikanta Das while addressing a press

conference at the end of a three-day meeting of the Monetary Policy

Committee (MPC) which was advanced by a week in view of the grave situation

facing the economy.

This is the third economic package announced by the Government. In the first

tranche, a number of regulatory decisions were relaxed that included

deferment of payment of life and health insurance policy premium, In the

second package on Thursday, the Government reached out to the poor and

farmers with free foodgrain, cooking gas and cash transfer initiatives.

The RBI chief said while the situation was uncertain, the macroeconomic

fundamentals at this point were better than during the time of the 2008-09

financial crisis.

The RBI's first measure deals with liquidity management to ensure that banks

have enough money to lend. The biggest impact will be from the reduction of

cash reserve ratio by one per cent to release primary liquidity of Rs 1.37

lakh crore. It also cut interest rate by 75 basis points to 4.4 per cent.

The other two measures in the liquidity segment include RBI auction of

targeted term repos of up to three years tenor of up to Rs 1 lakh crore and

easy overnight borrowing by banks by reducing the statutory liquidity ratio

(SLR) requirement in this respect. This measure will release another Rs.

1.37 lakh crore in the system.

The RBI has asked all lending institutions for an across-the-board shift of

the repayment schedules and all subsequent due dates by three months. This

relaxation applies to the industry for cash credit and overdraft facilities.

The third set of measures relates to financial markets and is intended to

reduce the arbitrage between onshore and offshore markets in order to reduce

the pressure on the rupee. The RBI has now allowed banks to participate in

the offshore Indian Rupee derivative market with effect from June 1.

GOVT PLANS TO DOUBLE VENTILATORS, FLAGS GAP IN SCREENING TO STATES

The Union government ordered for the acquisition of 40,000 new ventilators

and separately shot off a letter to all states to enhance efforts to track

down the tens of thousands of people who have come back from abroad,

intensifying on Friday surveillance and disease mitigation measures to

tackle the coronavirus disease (Covid-19).

Both approaches have been identified by scientists and policy makers as the

most crucial in the fight against the pandemic, which has the potential to

spread silently and lead to an explosion of cases that could then overwhelm

health care facilities and cause an acute shortage of ventilators. The

breathing devices can make a difference of life and death for severely ill

patients.

There is a big gap in the number of international passengers who should have

been monitored and the actual number, cabinet secretary Rajiv Gauba said in

a letter marked to all chief secretaries, warning that it could "seriously

jeopardise our efforts to contain the spread of Covid-19".

Gauba's letter underlined that the Union home ministry's Bureau of

Immigration had "shared details of more than 15 lakh incoming international

passengers with the States/UTs for monitoring for Covid-19". India's

Covid-19 epidemic is mostly made up of cluster infections that are linked to

patients who picked up the Sars-Cov-2 virus while they were abroad.

The 21-day lockdown is likely to only delay largescale transmission of novel

coronavirus in India, not eliminate it completely, most experts say. This

time, therefore, needs to be utilised to build up defences, ramp up health

infrastructure, and prepare for the worst case scenario. In fact, this

exercise is already on.

"This battle against the spread is being fought at multiple levels," says

Ashutosh Sharma, Secretary, Department of Science and Technology.

"The Technology Development Board recently made a call for proposals from

SMEs (small and medium enterprises) and start-ups for products that will be

useful in the current situation. There can be a range of such products. I

will give one example. If the numbers (of infected persons) become very

high, there is likely to be a rush for finding ventilators. Now, one company

has proposed a product that is like a splitter. It will enable more than one

patient to simultaneously use a ventilator.

"I would also be interested in seeing whether alternative models for

ventilators can be developed that are simpler to operate. Such equipment

might be needed to be installed in large common facilities, for example, if

the number of infected patients really blows up. Similarly, we have need for

blood oxygen monitors. These are available in the market but are expensive.

If some company can produce it at a cheaper rate, it could be very useful.

So we have made a call-out to companies, saying if you have products that

are close to manufacturing, and they would be useful in the current

situation, we (government) are ready to support it. In fact, we have already

found close to 60 start-ups that have useful products in advanced stages of

development."

COVID-19 DASHBOARD - (Nos. IN INDIA / Nos. WORLDWIDE) at 0930 IST

Total Cases 887 (+160) / 597,267 (+65,030)

Total Deaths 20 (Nil) / 27,365 (+3,276)

Total Recovered 73 (+23) / 133,363 (+9,032)

Active Cases 794 (+137) / 436,539 (+52,722)

Serious / Critical Cases 0 / 23,559 (+4,202)

INTERNATIONAL AFFAIRS

======================

IMF CHIEF SAYS GLOBAL ECONOMY HAS CLEARLY ENTERED RECESSION

The coronavirus pandemic has driven the global economy into a downturn that

will require massive funding to help developing nations, IMF chief

Kristalina Georgieva said Friday. "It is clear that we have entered a

recession" that will be worse than in 2009 following the global financial

crisis, she said in an online press briefing.

With the worldwide economic "sudden stop," Georgieva said the fund's

estimate "for the overall financial needs of emerging markets is $2.5

trillion."

She also welcomed the $2.2 trillion economic package approved by the US

Senate, saying "it is absolutely necessary to cushion the world's largest

economy against an abrupt drop the economic activities."

Wall Street stocks tumbled on Friday, ending a massive three-day surge after

doubts about the fate of the U.S. economy resurfaced and the number of

coronavirus cases in the country climbed past 100,000. In its strongest

three-day performance since 1931, the Dow had earlier surged 21% in three

straight days through Thursday.

CHINA, US MUST 'UNITE' TO FIGHT VIRUS, XI TELLS TRUMP

China and the United States should "unite to fight" the deadly coronavirus

pandemic, President Xi Jinping said in a call with Donald Trump on Friday,

as he called for the US to improve relations.

The two countries have clashed in recent weeks over the virus, and Chinese

state media said Xi told Trump he hoped the "US will take substantive

actions to improve Sino-US relations." He also called for the two countries

to work together to tackle the virus and said Beijing "wishes to continue

sharing all information and experience with the US", according to state

broadcaster CCTV.

Trump sounded a positive tone, tweeting that he had a "very good

conversation" with Xi, and that both leaders discussed the pandemic "in

great detail".

"China has been through much & has developed a strong understanding of the

virus. We are working closely together. Much respect," he wrote. Trump and

his Secretary of State Mike Pompeo angered Beijing this month by repeatedly

referring to "the Chinese virus" when discussing the COVID-19 outbreak first

detected in the Chinese city of Wuhan.

Trump has since dropped the term amid accusations of racism, in another

small sign of easing tensions between the two world powers.

BRITISH PM, HEALTH SECRETARY TEST POSITIVE FOR CORONAVIRUS

British Prime Minister Boris Johnson said on Friday that he has tested

positive for coronavirus after experiencing mild symptoms and is now

self-isolating at 10 Downing Street in line with the medical advice.

"Over the last 24 hours I have developed mild symptoms and tested positive

for coronavirus," Johnson said on Twitter. "I am now self-isolating, but I

will continue to lead the government's response via video-conference as we

fight this virus. Together we will beat this," he said.

British Health Secretary Matt Hancock became the second high-ranking UK

government member to confirm his COVID-19 diagnosis on Friday.

This comes two days after Prince Charles was tested positive.

THE REST

========

ARMY PITCHES IN WITH ALL IT'S MIGHT

Stating that the battle against COVID-19, which he termed "Operation

Namaste", will be won, Army Chief General M M Naravane on Friday asked

soldiers to follow the government-ordered lockdown wherever they do not have

any operational role.

General Naravane said "force protection" is his priority and asked Army

personnel who spend time in close quarters in forward posts or in tanks to

remain fit. He assured soldiers posted at border areas that their families

will be well taken care of.

Preparing for the fight against the pandemic in the country, 28 Armed Forces

hospitals have been earmarked as COVID hospitals, Director General of Armed

Forces Medical Services (AFMS), Lieutenant General Anup Banerji, said.

He said these hospitals will "include armed forces patients as well as

civilian patients transferred from state health authorities, in case their

capacity is overwhelmed".

He said five hospitals from the Army, Navy and the Air Force are conducting

coronavirus tests using the RT-PCR methodology, and six more hospitals will

be equipped soon with the resources to begin testing, taking the total to 11

service hospitals in the country.

While the Army at present has six quarantine facilities - at Manesar,

Jaisalmer, Jodhpur, Chennai, Hindan and Mumbai -where 1,463 people evacuated

from coronavirus-affected countries have been accommodated, the forces are

setting up more such facilities at Kolkata, Visakhapatnam, Kochi, Dundigal,

Bengaluru, Kanpur, Jaisalmer, Jorhat and Gorakhpur. These can be ready

within 72 hours, if needed, it was informed.

The 62 Cantonment Boards have been instructed to identify beds in hospitals

and health centres and guesthouses for any eventuality.

FRANCE, US AMONG OTHER NATIONS TO EVACUATE 14,000 STRANDED IN INDIA

The US, France, Germany and other countries are engaged in hectic efforts to

evacuate close to 14,000 of their nationals stranded in India following the

suspension of commercial flights around the world due to the Covid-19

pandemic.

France and the US are hopeful of organising the first flights for their

citizens by the end of this week, people familiar with developments said on

Friday. There are nearly 2,000 French tourists stranded in the country while

hundreds of American travellers are waiting to fly out.

Russia has close to 8,000 tourists in the country, mostly in Goa, while more

than 450 were evacuated on Wednesday. Japan, Malaysia and Ukraine have also

operated special flights to fly out hundreds of their nationals.

German ambassador Walter Lindner has been leading efforts at a 24x7 crisis

centre within his embassy to facilitate the evacuation of more than 3,000

German tourists and travellers from other European countries.

There are also reports of Indians stranded in other parts of the world being

assisted by authorities. On Friday, 19 Indians stuck at the Dubai airport

for several days were provided hotel rooms within the airport, the Indian

mission tweeted. They were also provided financial help to buy food.

FEAR AND MISTRUST ON WAY, AT HOME: MIGRANT WORKERS BEAR THE BRUNT

Notices outside villages announce a ban on their entry. Security guards

armed with sticks turn them away. And neighbours let them in only after

doctors vouch for their health.

Migrant workers forced to return home due to lack of work, shelter and food

are facing the brunt of the national shutdown to contain the coronavirus

outbreak with wary villagers in states, such as Bihar, UP, Jharkhand and

Punjab, resorting to "strict measures" to avoid contact with them.

The state governments have promised assistance in the form of relief camps

and medical help. But on the ground, the workers returning on foot are

facing fear and mistrust along the way and at home.

In Bihar, a day after Chief Minister Nitish Kumar asked other states to help

them, Additional Secretary (Home) Amir Subhani said: "We issued a circular

to all district magistrates to make arrangements for migrants not being

allowed inside their villages. But the villagers are right in doing so. This

will also help the government screen suspected cases of COVID-19."

Officials said they have been receiving calls from panchayat heads to keep

the workers under observation. Many villages have posted people at entry

points, which are being barricaded with bamboo sticks, they said.

UP CM Yogi Adityanath has appealed to people belonging to his state living

in other states not to come back home for now. "I spoke to Chief Ministers

of Maharashtra, Uttarakhand and Haryana and made a personal request that all

those people from Uttar Pradesh, who are staying there should stay there and

requested these states to make arrangements for them. We have also

communicated that the Uttar Pradesh government is ready to bear the cost of

all these arrangements," said Adityanath.

OFFER FRIDAY PRAYERS AT HOME, SAYS MUSLIM PERSONAL LAW BOARD

Amid lockdown to contain the spread of Covid-19, Muslim Personal Law Board

has appealed to Muslims that they should stay away from the mosques.

"Due to #NovelCoronavirus pandemic, Muslims are recommended to offer Zuhur

at home instead of praying Jumah at mosques. DON'T come out for

congregational prayers and #StayAtHomeSaveLives. It is mandatory upon all to

avoid causing harm to their fellow citizens," tweeted AIMPLB late on

Thursday night.

The same appeal has been made by different Muslim bodies.

The Shia sect's religious leaders too decided to suspend the Friday prayers

across the country and asked the followers to remain indoors.

KABUL GURDWARA ATTACKER FROM KERALA, LEFT FOR AFGHANISTAN IN 2018

One of the three Islamic State (IS) suicide attackers who stormed a gurdwara

in Kabul on Wednesday and killed 25 people is suspected to be a recruit from

Kerala. The attacker has been identified by central intelligence agencies as

Mohammed Muhsin based on information provided by his family, who now live in

Kannur, sources in the security establishment said.

An Islamic State magazine, al Naba, on Friday published a picture of the

suicide attackers identifying one of them as Abu Khalid al-Hindi. The

picture has been identified by the parents of Muhsin as that of their son.

"Muhsin's mother has also claimed that she received a message over Telegram

from an IS associate of Muhsin's yesterday that her son had attained

martyrdom in the Kabul attack. However, when we asked her to show the

message she said she had deleted it out of fear. As of now we have the

family's claim to go by," a senior central agency official said.

A day earlier, the IS-linked Amaq news agency had issued a statement

claiming the attack was revenge for Kashmir.

MUMBAI SURGEON WHOSE FATHER DIED TESTS POSITIVE, SEARCH ON FOR HIS PATIENTS

An 85-year-old general surgeon died hours after he tested positive for novel

coronavirus (COVID-19) in Mumbai Thursday night. The primary test reports of

his son, a cardiac surgeon in his late fifties, and grandson, are positive;

their confirmatory test reports are awaited.

The 85-year-old, who had underlying conditions of diabetes and heart

disease, is suspected to have caught the infection from his grandson, who

returned from the UK on March 12. While his son was quarantined at their

home in Girgaum, the cardiac surgeon continued his consultations at Sir H N

Reliance Hospital and Saifee Hospital. He has claimed he stopped doing

surgeries a week ago. Local authorities are now trying to trace his

patients.

"We have informed other municipal wards to reach out to these hospitals and

track all patients treated by him. We suspect he had not informed the

hospitals about his son's travel history," a civic official said.

Even after testing positive Thursday evening, the cardiac surgeon and his

son reportedly refused to get admitted to an isolation ward. On Friday

morning, when Brihanmumbai Municipal Corporation (BMC) officials,

accompanied by police personnel, reached their South Mumbai residence, they

insisted they would remain in home isolation. "We threatened to use police

force; they agreed eventually," a BMC official said.

IN VIEW OF LOCKDOWN, SC RELAXES MARCH 31 DEADLINE FOR SALE OF BS-IV VEHICLES

Taking into account the 21-day nationwide lockdown due to COVID-19 outbreak,

the Supreme Court on Friday relaxed the March 31 deadline for the sale of

BS-IV vehicles.

A Bench headed by Justice Arun Mishra, however, said only 10 per cent of

unsold BS-IV vehicles can be sold within 10 days after the end of lockdown.

The Bench made it clear that no sale of BS-IV vehicles would be allowed in

Delhi NCR.

Vehicles bought before March 31 can be registered later also, it added.

INDICATORS

Sensex 29,816 (-131), Nifty 8,660 (+19), Trading Value NSE ,(Rs.crores)

46,971

Nasdaq 7,502 (-295) Dow 21,637 (-915), S&P 2,541 (-89)

US$-Rs. 75.15 GBP-Rs. 92.44, Euro-Rs. 83.09, UAE Dhm-Rs.20.45, Can$-Rs.

53.52, Aus$- Rs. 45.88

GBP 0.81 /US$, Euro 0.90 /US$, Jap.Yen 108.38 /US$, Aus$ 1.63 /US$, Sing

1.42 /US$, Bang Taka 83.00 /US$, Can$ 1.40 /US$, Mal Ring 4.31 /US$,

Pak Re 163.61 /US$, Phil Peso 50.93 /US$, Russian Rouble 78.18 /US$, NZ$

1.66 /US$, Thai Baht 32.48 /US$, Ukraine Hryvnia 27.82 /US$, Norway NOK

10.47 /US$

Bitcoin - USD 6,702

Dollar Index 98.42 Brent Crude 24.93 BDI 556

Gold world Spot Price USD/aoz 1,628 India (Rs. per gm 24k/22k) 4,268 /

4,168, Silver (Rs. Per KG) 40,500

THOUGHT FOR THE DAY

It is a great piece of skill to know how to guide your luck even while

waiting for it. - Baltasar Gracian

OFF TRACK

The celebrated lecturer, about to give a talk on 'fools', was introduced by

the chairman, who considered himself something of a humourist.

"Ladies and gentlemen," he said. "We are now to have a lecture on fools by

one" - he pausXed , and there was a loud laughter before he resumed - "of the

wisest men in the country."

The lecturer acknowledged the introduction in this manner:

"Ladies and gentlemen," he said, "I'm not as big a fool as the chairman" -

he too paused, and again there was a loud laughter - "would have you

suppose."