RBI Governor has asked commercials banks to raise the capital and to help strengthen the lending capacity and to also set money aside to cover losses from loan. RBI has been constantly taking measures to stabilize the economy during the pandemic.
Banks have been facing issues as the pandemic has curbed the demand for loans and the borrower’s ability to repay has been lost. Das also asked the banks executives to focus on strengthening of grievance redressal mechanisms & discussed about interest rate transmission and credit flow of different sectors.