Govt is committed to helping banks with capital infusion: Jaitley

On the markets sell-off, FM said that Indian markets have been affected by global factors

A day after the major market sell-off and series of weak Q3 results by state run banks, Union Finance Minister Arun Jaitley assured markets that banks are suitably equipped to deal with the issue of non performing assets (NPAs). He also added that the government is committed to helping banks with capital infusion. 

"The media reports on bad position of public sector banks are not fully correct. Bad loans are there but banks are equipped to deal with these issues," he said in a YouTube video.

He further said: "Government is committed to protect the banks and will give them the capital requirements. Reserve Bank of India is also giving guidence."

 

On the markets sell-off, Jaitley said that Indian markets have been affected by global factors.

"In the past few days there has a been a major sell-off in markets ,creating chain reaction .India was also affected," he said. "The major reason was tricked by global factors," he added . 

He also cautioned that problem must not be exaggerated. The inherent strength of Indian markets must be seen rather than focussing on globally triggered issues.