MUMBAI: The FSDC sub-committee headed by RBI Governor Shaktikanta Das on Thursday resolved to remain alert to emerging challenges following the coronavirus outbreak and take necessary action to preserve financial stability.
The meeting of the sub-committee of the Financial Stability and Development Council (FSDC) through video conferencing was attended by financial sector regulators including Sebi and IRDAI as well as officials of the finance ministry.
"Given the prevailing extraordinary circumstances, the Sub Committee unanimously resolved that (a) every participating regulator and ministry will continue to remain alert and watchful of the emerging challenges; (b) interact more frequently, both formally and informally, as also collectively; and (c) do whatever is necessary to revive the economy and preserve financial stability," the RBI said in a statement.
The sub-committee also reviewed the major developments in the global and domestic economy and financial markets that impinge upon financial stability.
Amongst other things, it discussed the proposal of setting up of an Inter Regulatory Technical Group on Fintech (IRTG-Fintech) and the National Strategy on Financial Education (NSFE) 2020-2025.
The body also deliberated upon the status and developments under the Insolvency and Bankruptcy Code (IBC), 2016, and the working of credit rating agencies, the statement said.
Governor Das, in his introductory remarks, underlined the importance of the meeting, being held for the first time after the breakout of the pandemic and as a follow-up of the last FSDC meeting held on May 28, 2020, chaired by the finance minister.
He noted that there have been frequent interactions among regulators and ministries in the intervening period.
The FSDC-SC remains as an important forum for discussions between the various ministries of the government with the regulators and among the regulators as well, he said.