A day after Finance Minister Nirmala Sitharman announced a Rs 1.7 lakh crore relief package for the poor of the country, Reserve Bank of India (RBI) Governor Shaktikanta Das on Friday said that Indian banking sector is safe and deposit of bank customers is safe.
“Public should not worry about their deposit in private sector banks, they should not resort to panic withdrawal,” said RBI governor.
Here are the top highlights of RBI Governor Shaktikanta Das’s press conference
- RBI cuts repo rate by 75 bps to 4.4% from 5.15%. It cuts reverse repo rates by 90 basis points.
- Cash Reserve Ratio (CRR) cut by 1% to 3% 3.
- Minimum daily CRR maintenance will be 80%
- All Banks, HFCs, NBFCs allowed 3 months moratorium for EMI
Meanwhile, Moody’s Investors Service on Friday slashed its estimate of India’s GDP growth during the 2020 calendar year to 2.5 per cent from an earlier estimate of 5.3 per cent, on account of the rising economic cost of the coronavirus pandemic.
This compares to 5 per cent growth in 2019.
Moody’s said, at the 2020 estimated growth rate, a sharp fall in incomes in India is likely, further weighing on domestic demand and the pace of recovery in 2021.