This Article is From Jun 12, 2015

Jaitley Hopeful of Further Rate Cuts by Banks

Jaitley Hopeful of Further Rate Cuts by Banks
Finance Minister Arun Jaitley on Friday held discussions with banks on a range of issues including asset quality and transmission of Reserve Bank rate cuts by banks. Here are highlights of Mr Jaitley's press conference.
  • Discussed transmission of RBI cuts
  • Hopeful of further rate cuts by banks
  • Focus of discussion was asset quality
  • Also discussed loan growth, stalled projects
  • Private banks will also play an important role in social security schemes
  • Government spending in infra has increased, effect on road sector etc being seen
  • Many of the stalled projects have started
  • Banking secretary will prepare a list of stalled projects which are stalled due to finance
  • Will try to resolve those projects in the next few weeks
  • Keeping fingers crossed for monsoon
  • Banks put up a strong case for additional capital being pumped in them. Will consider this
  • Banks asked government to relook at rates on small savings scheme
  • Discussed roadmap for reducing stressed assets
  • Discussed state of education and housing loans