Finance minister Nirmala Sitharaman will present her second budget at a time when Indian economy in the middle of a deep downturn. However, credit growth for the overall banking sector took a hit amid the slowdown. NBFC crisisNon banking financial companies (NBFCs) play a crucial role on providing access credit to businesses and individuals. The shadow banking sector has also been hit because of the exposure to stress in the real estate sector, as well as governance problems. Bringing back FRDI BillFinancial Resolution and Deposit Insurance (FRDI) Bill that aims at resolution for troubled financial institutions could be back on the table.
Source: Mint January 22, 2020 03:22 UTC