The Reserve Bank of India on Friday held a meeting with heads of small finance banks on credit flows to different segments of the borrowers and get a sense of emerging stress on banks’ balance sheets in view of the current economic situation.
The video conference meeting, chaired by RBI Governor Shaktikanta Das, was also attended by Deputy Governors M. K. Jain, M.D. Patra, M. Rajeswar Rao, and a few other senior RBI officials.
In his opening remarks, the Governor recognised the important role of the SFBs in delivering credit and other financial services to individuals and small businesses. He also emphasised the supervisory expectations in terms of maintaining their business resilience and managing risks prudently.
Das advised the banks to pay focussed attention on improving customer grievance redress process while also strengthening IT systems in the interest of the banks and their customers.
A lot of discussions hovered around assessing liquidity scenario for banks and making an assessment of bad assets emerging from current economic situation.