The Manipur government has declared that the whole State of Manipur has been affected by riots and violence, impacting the economic activities and livelihood of majority of the general public.
To provide relief to the affected people and businesses, the State government has invoked a rarely used Reserve Bank of India (RBI) provision pertaining to restructuring and rescheduling of loans. It provides relief to borrowers when economic activity comes to a halt and offers moratorium on repayment of loans.
The guidelines have so far been mostly invoked in areas affected by natural calamities and not for a law and order situation in the recent past.
Manipur is in the grip of ethnic violence between the tribal Kuki-Zo and the Meitei communities. More than 100 people have been killed and over 50,000 have been displaced since the violence erupted on May 3. Internet remains suspended in the State and curfew has been imposed in several districts, more than 50 days since the violence started.
Since Wednesday, three incidents of firing and a car-bomb explosion have been reported in the State.
On Thursday, armed miscreants resorted to unprovoked firing at N. Boljang area in Imphal West where two soldiers sustained minor injuries, the Army said.
In a June 21 order, Vineet Joshi, Chief Secretary of Manipur, said that reports were received from several Deputy Commissioners that many properties and businesses of residents have been affected either directly or indirectly due to the present law and order situation in the State. “Due to this, the borrowers who had taken loans are not in a position to repay them and requested SLBC [State Level Bankers’ Committee] to extend relief to the affected persons,” the order said. The SLBC discussed the matter on June 9.
The order added that the “ongoing crisis” in the aftermath of the Tribal Solidarity March organised on May 3 by the AII-Tribal Students Union Manipur has “affected people from all districts of the State across all communities” and not confined to the communities involved in the crisis.
The order also said chapter No. 7 of the “Reserve Bank of India (Relief Measures by Banks in Areas Affected by Natural Calamities) Directions, 2018”, related to “Riots and Disturbances”, applies to the State.
“Therefore, the Governor of Manipur hereby declares that the whole State of Manipur is being affected by violences/riots leading to economic activities and livelihood of the majority of the general public being affected,” and relief measures may be taken up under the RBI’s guidelines, the order said.