Testing Times for Financial Institutions: ASSOCHAM

The ASSOCHAM Economic Affairs Council held emergency deliberations today to review the serious situation unfolding in the global financial markets and their impact on the Indian economy.

“It impressed upon the Finance Ministry, the Reserve Bank of India and the market regulator SEBI to keep a minute to minute eye on the fast deteriorating situation in the world markets, essentially emanating from the Chinese economy. Even though the Indian market has fallen by about four per cent as compared to 8-9 per cent in China, it is not a comforting situation. Similar is the case with regard to fast depreciating rupee. But for depleting crude oil prices, things would have been difficult for the Indian economy. The global factors are again going to play a key role and it is testing time for our financial institutions”, the ASSOCHAM Economic Affairs Council said after brain-storming deliberations.