On Tuesday, Shaktikanta Das, the current RBI governor directed the Private Sector Banks (PvSBs) chiefs for ensuring coherence in the provision of various financial services, including credit facilities to individuals and businesses in the light of the challenges caused by the Covid-19 pandemic.

In the meeting held with the MD & CEOs of select PvSBs through a video conference, the governor emphasized the importance of quick and swift implementation of the measures announced by RBI on May 5, in the right earnest. The issues discussed in the meeting were related to the evaluation of the current economic situation, and the state of the banking sector; credit flows to different segments of the economy, especially to small borrowers, MSMEs, etc., and the development in the implementation of Covid Resolution Framework 1.0. The meeting was attended by the four RBI Deputy Governors – MK Jain, Michael D Patra, M Rajeshwar Rao, and T Rabi Sankar, who took stock of the monetary policy transmission and liquidity scenario and implementation of various Covid-related policy measures taken by RBI.

The governor urged the banks’ to continue concentrating on the efforts to further strengthen their balance sheets proactively. He acknowledged the crucial role played by the private sector banks as important stakeholders in the Indian banking sector.