New Delhi: Assuring adequate liquidity measures whenever the need arises RBI Governor Shaktikanta Das on Monday noted that liquidity should not become “loose money” and the apex bank would exercise the measures with caution.
The Reserve Bank of India has “a sense” of the current liquidity situation and after his appointment as its Shaktikanta Das has announced additional infusion of liquidity via open market operations (OMOs) of Rs 60,000 crore, Das said here on Monday after meeting the representatives of Micro, Small and Medium Enterprises (MSMEs).
“While dealing with the issue of liquidity, I would also like to say that it is something which the RBI is constantly monitoring and will take steps whenever there is a need to deal with the liquidity deficit if it is noticed.
“... At the same time, I must also add the RBI would not like a situation where liquidity becomes a kind of loose money. Any infusion of liquidity will have to be very carefully considered and has to be need-based. So, the caution and care has to be exercised by the RBI, that excess liquidity which sometimes has adverse consequences that is not created,” he added.
Shaktikanta Das further said that he will meet the representatives of Non-banking Financial Companies (NBFCs) on Tuesday in Mumbai. (IANS)
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