RBI actions on unsecured loans to avert bigger problems: Governor
MUMBAI, June 20 (PTI): The Reserve Bank’s endeavour is to smell a crisis early and act on it, Governor Shaktikanta Das said on Thursday, stating that not taking any action on unsecured lending front would have created “bigger problems”.
The November 2023 action to curb growth in the riskier unsecured lending has had the desired impact as the growth in such portfolios slowed down, Das said while addressing an international conference on financial resilience at the RBI’s College of Supervisors here.
Das said restrictions on unsecured lending were the result of a view that there could be a potential problem in the credit market because of growth in unsecured lending.
