The Reserve Bank of India Thursday said it is closely monitoring the developments in the NBFC sector and will not hesitate to take measures to ensure financial stability.
This comes in the backdrop of two domestic rating agencies downgrading commercial papers of debt-laden DHFL.
The country's largest lender SBI too said it has been closely monitoring its exposure to the NBFC sector for the past 10 months and taking action as required.
RBI Governor Shaktikanta Das, during his post policy interaction with the media, said the apex bank is closely monitoring the troubles brewing in the NBFC sector due to the liquidity crisis.
Stating that the RBI is committed to ensuring a robust and well-functioning NBFC sector, Das said, "The central bank will not hesitate to take whatever steps are required to ensure that the financial stability is not adversely impacted in any manner by any development."
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