RBI takes stock of MF's liquidity situation
Mumbai: In the first meeting with senior industry executives since the launch of the Rs 50 billion rupees special funding window, the Governor took stock of the effectiveness of the MF industry situation. He also made sure to act quickly to ease the obstacles the industry faces, as long as the fund houses communicate quickly with him. The governor and several of the main central bankers discussed the impact of the measures taken by him with respect to liquidity provision, reviewed the functioning of the bond markets and discussed the steps to be taken for the future, said a statement from RBI.
According to Nilesh Shah, Amfi's president, the top officials of the trade body discussed with the RBI the changing situation in the area of mutual funds and the bond market. Amfi also assured central bankers that it was committed to protecting the interest of investors and participating in the normal functioning of the market. Fund industry executives also said the central bank's guarantee to the investment community of their support was a great confidence boost for investors and fund houses.