Banks, finance companies urged to defer loan repayments to help flood-hit residents

Muscat :The Central Bank of Oman (CBO), has urged all Banks / Finance and Leasing Companies to defer loan / finance installments to alleviate the sufferings for people affected by the recent rainfall.

In a statement CBO said :"The Central Bank of Oman directs to postpone installments to mitigate the repercussions of the weather condition that the Sultanate of Oman witnessed recently for individuals whose salaries are less than OMR 3,000 and small and micro enterprises."

 "The postponement shall be in accordance with the following controls:

1-Banks / FLCs shall defer up to a maximum of three instalments of the loans / finance based upon the request of the borrower or defer up to a maximum of four instalments ( including Eid Waivers ).

2-Interest / profit on Interest / profit should not be levied during the period of deferment.

3- No charges shall be levied for processing the deferment request.

4- The impact of deferment and the revised repayment schedule should be provided to the " affected persons " before granting deferment, " the statement added.