Financial conditions looking up in Q2 due to steps by govt, RBI: CII-IBA

The cost of fund index and liquidity index are showing an impressive reading of 80.6 and 71.1 in the present quarter survey

The financial conditions are looking up in the current quarter (Q2FY21) due to policy decisions and steps the government and Reserve Bank of India have taken to support economy. The reading on financial conditions index rose to 65.2 for July-September 2020 (Q2FY21) from 44.2 for April-June 2020 quarter (Q1FY21), according to CII-IBA survey.

Sunil Mehta, Chief Executive, Indian Banks’ Association in a statement said, “As we move on with the unlocking pace and also with managing the Covid situation better than in the initial stages, we should remain hopeful on the pick-up in economic activity.”

The cost of fund index