Yes Bank crisis: RBI asks state govts not to move deposits from pvt banks

Himachal Pradesh Chief Minister Jai Ram Thakur informed the Assembly that more than Rs 1,900 crore belonging to the state government and people in the state are stuck in Yes Bank

The Reserve Bank of India (RBI) on Thursday urged states not to transfer their deposits out of private sector banks, saying apprehensions about the safety of deposits are "highly misplaced". The statement comes over a week after the Central Bank imposed a moratorium on Yes bank. 

The moratorium capped the withdrawal limit for depositors at Rs 50000 per month per account. In a letter written to chief secretaries of all states, the central bank said moving deposits out of private sector banks could have implications for banking and financial sector stability, PTI reported.

"We strongly believe that such a move