A finance ministry official said that the announcements of the government so far relied heavily on restarting economic activities with the help of financial institutions and the PM wants to take stock of the progress. Finance Minister Nirmala Sitharaman is also expected to attend the meeting.
Apart from major public sector banks, top executives of some private lenders such as Kotak Mahindra Bank, ICICI Bank, HDFC Bank and the Indian Banks’ Association are also expected to be present in the meeting on Wednesday.
Earlier in June, Sitharaman had held separate meetings - one with PSBs and the other with private banks
and non-banking financial companies. The FM had discussed ways in which the Rs 3 trillion Emergency Credit Line Guarantee Scheme could be effectively implemented for the MSME sector. She had also urged the state-owned banks
to go for better interest rate transmission.
On Monday, Reserve Bank of India governor Shaktikanta Das had said in a public event that bank should raise money proactively and build up adequate capital buffers, along with urging the corporates to look beyond banks to fund infrastructure projects.