Extraordinary steps needed to deal with financial sector stress : NITI V-C

Explaining the reason for the stress in the financial sector, Kumar said the slowdown started with indiscriminate lending during 2009-14, leading to rise in NPAs post 2014

NITI Aayog Vice-Chairman Rajiv Kumar on Thursday said extraordinary steps were necessary to deal with the stress in the financial sector. 

Terming the stress in the financial sector as unprecedented, he said nobody had faced this sort of situation in 70 years where the entire financial system was under threat. “Nobody is trusting anybody else within the private sector nobody is ready to lend, everyone is sitting on cash you may have to take steps which are extraordinary,” he said at an event. 

Elaborating further, Kumar said some of the steps have already been announced in the Budget to address stress in