TIMESOFINDIA.COM | Updated: Apr 17, 2020, 10: 57 IST
RBI governor Shaktikanta Das (File photo)
NEW DELHI: Reserve Monetary institution of India (RBI) governor Shaktikanta Das on Friday addressed the media amid the ongoing coronavirus disaster. This comes correct a day after High Minister Narendra Modi met Union finance minister Nirmala Sitharaman to chat about contours of a proposed stimulus kit to kick-commence India’s stalled financial system.
Here are the dear factors from RBI governor‘s handle:
Under liquidity adjustment facility (LAF), reverse repo payment (payment at which RBI borrows funds from banks) lowered by 25 basis factors (bps) to some.75%; repo payment — payment at which RBI lends cash to banks — unchanged (4.40%) because the choice is taken by the MPC (Monetary Policy Committee)
RBI’s Rs 50,000 crore liquidity strengthen: Rs 25,000 crore for NABARD (National Monetary institution for Agriculture and Rural Style); Rs 15,000 crore for Sidbi (Small Industries Style Monetary institution of India); Rs 10,000 crore for NHB (National Housing Monetary institution)
90-day NPA (non-performing asset) norm no longer to have a study on moratorium granted on existing loans by banks
LCR (liquidity protection ratio) requirement of banks introduced down to 80% from 100%; to be restored in phases by April subsequent yr
Banks no longer to make to any extent extra dividend payout in behold of financial difficulties springing up from Covid-19
Covid-19: RBI has been very proactive and monitoring the reveal very intently; it must show screen evolving reveal constantly and employ all its tool to handle pandemic fallout
On IMF projection: India is anticipated to publish titillating turnaround in 2021-22
IMF projection of 1.9% GDP progress for India is very most life like in G20
Impact of Covid-19 no longer captured in IIP (index of industrial production) data for February
Automobile production, gross sales declined sharply in March; electrical energy quiz has fallen sharply
Contraction in exports in March at 34.6% worthy more severe than world financial disaster of 2008-09
No downtime of internet or cell banking in the center of lockdown; banking operations popular,
Surplus liquidity in banking system has elevated significantly as results of central financial institution actions
Frontline staff (doctors/nurses/social) delight in shown an unlimited work
That is the RBI governor’s 2d press briefing for the reason that Covid-19 outbreak. In his outdated handle on March 27, he had launched a payment scale back of 75 bps.
The extension of the lockdown till Also can merely 3 has triggered contemporary demands for a stimulus as companies are finding it no longer easy to pay salaries and meet other charges because of of the loss of a expansive portion of their revenue.
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