No special liquidity window for NBFCs, says RBI deputy governor

The NBFC issue started after Infrastructure Leasing and Financial Services defaulted on a loan last year

Extending a special liquidity facility to non-banking financial companies (NBFCs) is not being considered, said the Reserve Bank of India (RBI). 

In a teleconference with researchers and analysts, N S Vishwanathan, deputy governor at the central bank, said: “The RBI’s position is that there is adequate liquidity in the system and it is for the lenders to take a view on which borrower to give money to.” 
 

He was responding to an observation on there being an extreme lack of confidence in financial markets to lend to entities with a credit rating below ‘AAA’. And, that the liquidity problems faced