Mumbai: Reserve Bank Deputy Governor KC
Chakrabarty on Monday allayed fears of excess liquidity in the
banking system saying it was just 'adequate'.
"In our view, it is adequate liquidity (in the financial
system)," Chakrabarty said, when asked if there was excess
liquidity as feared in certain quarters.
The apex bank will take necessary measures if it finds
that the liquidity is excess in the system, Chakrabarty said
while talking to reporters on the sidelines of a conference.
On the government borrowing, Chakrabarty said that
borrowings did not pose any major concern.
Earlier, speaking at the conference, Chakrabarty said
that there is a need for massive investments in the country's
education sector.
He also called for more efforts from banks to promote
financial inclusion, to take banking benefits to nearly 50 percent unbanked population of the country.
Bureau Report
First Published: Monday, September 07, 2009, 15:44