India city Mumbai covid-19 pandemic Government India city Mumbai

Distributor body urges RBI to buy illiquid bonds from fund houses

Reading now: 847
www.livemint.com

Mumbai: Foundation of Independent Financial advisors (FIFA) has written to finance ministry, Reserve Bank of India (RBI), Securities and Exchange Board of India (Sebi) urging that central bank buys illiquid bonds from fund houses.

The distributor body said that special liquidity window opened by RBI is only benefiting better rated papers as the banks are lending only against AAA rated papers. "Liquidity has been provided via banks and the banks have provided liquidity to AAA segment of the market and not to the space which is stressed and facing liquidity issues," said FIFA in the letter.

The central bank on 27 April had opened a ₹50,000 crore special liquidity window for mutual funds. As of 4 May according to RBI the mutual funds have

Read more on livemint.com
The website covid-19.rehab is an aggregator of news from open sources. The source is indicated at the beginning and at the end of the announcement. You can send a complaint on the news if you find it unreliable.

Related News

DMCA