The Reserve Bank of India (RBI) on Friday once again stepped in to protect financial stability and arrest an economic meltdown, even as the central government is still silent on the need for a comprehensive economic package.
In a streamed address to the media, RBI Governor Shaktikanta Das announced a series of measures to “keep the financial system and financial markets sound, liquid and smoothly functioning so that finance keeps flowing to all stakeholders, especially those that are disadvantaged and vulnerable”.
The RBI lowered the reverse repo rate by 25 basis points to 3.75 per cent, thus discouraging banks from