Credit Demand Subdued, Economy Needs Stimulus, Says SBI Chairman
State Bank of India Chairman Rajnish Kumar said credit demand remains subdued and there is a need for stimulus in the economy.
Though lack of credit demand exists in the economy, there is no supply-side constraint as the public sector banks are more or less well-capitalised, he told reporters in Kolkata today.
He was in the city to attend a multi-level consultation programme with branch managers of SBI in the region.
“There is no supply-side constraint,” he said. “More or less, the public sector banks are well capitalised and bank rates also moderated.”
Kumar hoped that the monsoon will have a positive impact on the economy.
Increased spending by the government and the upcoming festival season would boost demand, Kumar said.