National Chronicle
Business/Economy Top News

RBI Governor Shaktikanta Das says, the country’s banks are facing the biggest challenge

New Delhi: Reserve Bank of India (RBI) Governor Shaktikanta Das said on Monday that banks are currently facing challenges of slow growth in debt. Philhaj debt growth is around 7 percent. Das said at the annual bank conference that the challenges that banks are facing at the moment include slow growth in credit offtake. He asked banks to take a prudent approach in the matter of lending. It also said that assessment is very important.

Former RBI Governor C Rangarajan’s big statement, ‘Reserve Bank alone cannot control inflation’

Das said that RBI has proposed to study financial institutions on different subjects.

He said that the top 50 non-banking financial companies (NBFCs) are being monitored. Regarding NBFCs, he said that the debt flow of small NBFCs has improved in the last one year. Debt flow has stabilized and is slowly improving.

Das said that there was a need to improve debt flow in the realty sector. He said that the issue of operations in public and private sector banks is very important and the management of banks has to play an important role in improving the operating system.

Agricultural loan waiver needs to be targeted

Shaktikanta Das said that making the loan waiver stagnant is detrimental to the financial standing of the country and this affects the credit culture. He said that loans related to agricultural credit should be targeted. Das said that with this type of loan waiver, farmers face problems in getting loans next time. The governor said that relief should be targeted to farmers due to natural calamity or any other type of crisis.

In recent times, some state governments have announced farm loan waivers. He said that we are repeatedly telling the state governments that the loan waiver amount should be released to the banks immediately as the bank’s ability to lend for the next crop will be affected until the banks get the money back.

Talking about the review of the monetary policy framework, the governor said that it would be discussed soon with various parties. He said that we are reviewing the monetary policy framework internally. By the end of June we will have meetings with economists, policy makers and various stakeholders, analysts and field researchers. Das said that based on the discussion, we will look at how the framework worked and how to proceed.

Related posts

Kerala begins special bus service for Secretariat staff

Team NC

Investments in companies’ IPOs can also do through Paytm Money, investors get these facilities

Team NC

Mazes, illusions and effects; inside Filmmaker Soumitra’s Ranade’s world

Team NC

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More