Bay Capital CEO welcomes RBI's step to boost economy

Bay Capital CEO welcomes RBI's step to boost economy

Agency News

Mumbai, Apr 17 : The specific announcements made by RBI on Friday was welcomed by Founder & CEO of Bay Capital and said that the measures are very positive and continue to address a broad range of issues said.

Reacting on the decision, Siddharth Mehta said the reduction in the reverse repo will nudge banks to take some incremental risk and lend onward to the financial system. The set of measures from the RBI today are in continuation of its objective of doing what it takes to ensure financial stability and adequate lubrication of the financial system.

"Targeted long term repos operation TLTRO 2.0 of Rs 50,000 crores, to begin with, is targeted towards those NBFC’s and MFI’s who otherwise have been finding it difficult to access the banking system," he said.

The standstill announcement to exclude the moratorium period in the asset classification norms will provide relief to the system although there is a provision of 10 per cent that needs to be maintained.

Further steps to address the problems in the real estate sector will be viewed positively, he wished.(UNI)