Economic Perspectives

Liquidity conundrum

Print edition : November 08, 2019

Finance Minister Nirmala Sitharaman at a press conference in New Delhi on September 19. Photo: SHIV KUMAR PUSHPAKAR

A customer outreach programme of banks and NBFCs in Hyderabad on October 10. Photo: G. RAMAKRISHNA

Finance flowing to business from bank and non-bank sources has fallen considerably in recent months, besides not flowing to where it is needed most, affecting the real economy in multiple ways.
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