RBI did prioritise growth in money policy, but it’s not enough: Analysts

Divakar Vijayasarathy, Founder & Managing Partner, DVS Advisors LLP
The critical thing to notice is that RBI has indicated that dividends would not be distributed by commercial banks, which would act as a substitute for recapitalisation and provide additional security to depositors. The communication from RBI that it would take necessary steps to easy liquidity as and when required is reassuring.