Shaktikanta Das to meet heads of public sector banks on Tuesday

Reserve Bank of India (RBI) Governor Shaktikanta Das at the RBI's fourth Bi-monthly monetary policy review meeting of 2019-20, in Mumbai- KAMLESH PEDNEKAR

Reserve Bank governor Shaktikanta Das will meet the heads of the state-run banks on Tuesday, officials said.

The meeting comes a day after the bankers met finance minister Nirmala Sitharaman in the Capital.

Bankers' parleys with top policymakers come at a time when growth has slowed to a six-year low due to consumption slowdown and lack of private sector investments.

Dataprints since the first quarter GDP numbers, which printed at a 5 percent, have all been disappointing with IIP contracting 1.9 percent in August--the steepest contraction in the past seven years--and not so rosy core sector and export data among others.

The RBI, which has cut interest rates by a cumulative 1.35 percent to a decadal low of 5.15 percent in five straight moves since February, to push growth amid continued subdued inflation, is peeved at banks for not passing on the full benefit to borrowers.

The meeting, to be held at the Mint Road Hqs, is likely to discuss NPA resolution, potential stressed assets, restructuring of MSME loans and stress in the realty sector are among the issues which are likely to feature at the meeting, officials said.

Since Das assumed office last December, he has focused on meeting all the stakeholders, and has met bankers in many times in the past.

The meeting assumes importance as it comes amid a government's mega merger plan for few of 10 banks bringing down total number of public sector banks to 12 from 19 now.



Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel