Chennai: Indian Bank MD and CEO Ms Padmaja Chunduru
today commended the measures announced by RBI Governor Shaktikanda
Das and said slashing the lending rate by 75 bps to 4.4 per cent in an
emergency time like this will provide financial succor to many.
The Governor has rightly pointed out that given the uncertain economic outlook
globally, rather negative, financial stability was the need of the hour and top priority
of the central bank, she said in a statement.
Measures like slashing of reverse repo rate by 90 bps to four per cent, CRR by
100 bps for a period of one year will ensure sufficient liquidity in the system at
a time of pandemic crisis, she said.
Ms Padmaja said ”by providing a three-month moratorium on all loans, the borrowers
will get relief for the time being or until the health crisis alleviate”. These are steps in the right direction and will protect the economy. Together with already
infused Rs 2.7 lakh crore, the overall liquidity pumping into the system now was Rs 3.2 lakh
crore of GDP. The fact that the RBI was vigilant of the situation and has promised “whatever steps
necessary” to mitigate the coronavirus impact on the economy will allay all fears, she
said.
”All in all it is a welcome and a commendable step. It will revive growth and preserve
financial stability; and ensure normal functioning of financial markets”, she added.