Coronavirus will result in high NPAs and capital erosion: RBI Governor

There is need for a structured mechanism with legal backing to deal with stressed assets, says the governor

RBI has taken several measures to protect country's financial system and support the economy amid coronavirus crisis, Governor Shaktikanta Das said on Saturday. Addressing the seventh SBI Banking & Economics Conclave, through a video call, he said that the top most priority for RBI is growth, while financial stability is equally important.

"RBI has strengthened its offsite surveillance mechanism to identify emerging risks. RBI is engaged with all stakeholders for resolution for Punjab and Maharashtra Cooperative Bank," Das said.

On RBI policy, he said that the action for medium-term will require a careful assessment of how the crisis unfolds. "Coronavirus