RBI to use all instruments to deal with Covid-19 challenges


PTI, Apr 17, 2020, 11:56 AM IST

Mumbai Reserve Bank of India Governor Shaktikanta Das on Friday, April 17 assured that the central bank will use all instruments to deal with the challenges posed by the outbreak of Covid-19.

He also said that this is not the last of the announcements on financial support during the crisis, stating that the central bank will come up with responses in the future in the interest of the economy based on evolving situations.

Pointing out that the Reserve Bank of India (RBI) is monitoring all macro parameters on a continuous basis, he said, economic activity has come to standstill during lockdown.

The impact of Covid-19 is not captured in index of industrial production (IIP) data for February, he said, adding that contraction in exports in March at 34.6 per cent was much more severe than global financial crisis of 2008-09.

He said that vehicle production and sales declined sharply in March and so did electricity consumption.

Appreciating the effort of banks and other institutions in keeping the financial market operational, Das said, there was no downtime of internet or mobile banking during lockdown and banking operations were normal.

“Banks, financial institutions have risen to the occasion to ensure normal functioning during the outbreak of this pandemic,” he said.

Announcing other measures, he said, liquidity coverage ratio (LCR) of banks have been brought down to 80 per cent from 100 per cent, and will be restored in phases by April next year.

Loans given by non-bank financial companies (NBFCs) to real estate companies will hold similar benefit as given by scheduled commercial banks, he said.

To improve liquidity for states, he said, ways and means limit has been raised to help them.

Quoting IMF an report, Das said India is expected to post a sharp turnround in 2021-22 itself.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Animated dolphin wearing lifejacket to create awareness among Kerala fishermen

SC asks Delhi HC to decide former AAP minister Satyendar Kumar Jain’s bail plea in ED case on July 9

Bomb threat on Cochin-London Air India flight; suspect apprehended

Kangana Ranaut’s ‘Emergency’ to release in September

‘Garland of slippers’ slung on woman PDS dealer in Jharkhand for non-distribution of foodgrains

Pavoor Uliya Kudru shrinking due to illegal sand mining, Locals demand justice

London-bound Air India flight receives bomb threat, suspect apprehended

Related Articles More

Heavy rain lashes Arunachal’s Leparada district

Animated dolphin wearing lifejacket to create awareness among Kerala fishermen

SC asks Delhi HC to decide former AAP minister Satyendar Kumar Jain’s bail plea in ED case on July 9

Pune bar case: 2 excise officials suspended liquor and other materials seized

Oppn forces election, fields K Suresh as its candidate for LS Speaker’s post

MUST WATCH

bus problem

What are the first signs of a hernia?

Elephantattack

Sapthami Gowda

Yaduveer Wadiyar


Latest Additions

KMF: Milk prices increased by Rs 2 per litre in Karnataka

Heavy rain lashes Arunachal’s Leparada district

Animated dolphin wearing lifejacket to create awareness among Kerala fishermen

SC asks Delhi HC to decide former AAP minister Satyendar Kumar Jain’s bail plea in ED case on July 9

Pune bar case: 2 excise officials suspended liquor and other materials seized

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.