New Delhi: The Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi has approved a moratorium of three years (2020-21, 2021-22 & 2022-23) to Cochin Port Authority (CoPA) towards repayment of the balance outstanding Government of India (GoI) loans amounting to Rs. 446.83 crore to tide over the financial crisis due to COVID-19 pandemic.
The amount was to be repaid in 10 installments commencing from 2018-19. However, Cochin Port Authority could pay the installments of 2018-19 and 2019-20 only. From 2020-21, the traffic was badly impacted due to Covid-19 pandemic which adversely impacted the cash inflow. As a result, Cochin Port could not pay the installments of 2020-21 and 2021-22.
Cochin Port has been brought under the Major Port Authorities Act, 2021 with effect from November 2021. The Cabinet Committee on Economic Affairs (CCEA) on 24.08.2016 had approved the proposal for waiver of Penal Interest on Government of India Loans taken by Cochin Port for various infrastructural developmental activities during 1936-37 to 1994-95.