As reported in August 2025, which of the following relief measures did exporters request from the government and Reserve Bank of India (RBI) to help with financial strain caused by US tariffs?
Relaxation on loan repayments
The correct answer is Relaxation on loan repayments.
After the United States imposed steep additional tariffs on Indian goods in August 2025, export-heavy and MSME-dominated sectors such as textiles, gems and jewellery, chemicals and auto parts faced a cash-flow squeeze. Exporters asked the government and the RBI for relief in the form of easier repayment terms — moratoriums on loan instalments and extended credit periods — rather than fresh financial burdens. The RBI later responded with trade-relief measures, including a moratorium window and a longer maximum credit period for export loans.
A complete write-off of loans was never sought, as it would damage banks' balance sheets and was not a realistic ask. Import bans on US goods would invite retaliation and do nothing to ease exporters' own debt strain. An increase in export tariffs would raise costs further and is the opposite of relief.
Important Questions from Banking Affairs
As per the provisions of Union Budget 2021-22, how many public sector banks have been lined up for disinvestment?
What is the repo rate given by the Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) as on 7 April 2021?
On 25 September 2020,_________ announced that they will launch a contactless debit card-based payment facility through phones called 'Safe Pay', allowing transactions up to ₹20,000 per day.
In November 2020, India and _________ jointly launched Phase 2 of the Rupay card.
In November 2020, the Union Cabinet of India approved the merger of capital-starved Lakshmi Vilas Bank (LVB) with _______________.
