RBI to extend all the regulatory benefits under the SLF-MF scheme to the banks

The largest bank of India, The Reserve Bank of India has extended the regulatory benefits to all the banks and to those too who are also deploying their resources in order to extend the liquidity support to the mutual funds under the scheme, Special Liquidity Facility for Mutual Fund scheme.

They have also announced the INR 50,000 Crore SLM-MF scheme for bailout the mutual fund that are facing the redemption pressure.

The bank has released the press release and stated-“Based on requests received from banks, it has now been decided that the regulatory benefits announced under the SLF-MF scheme will be extended to all banks, irrespective of whether they avail funding from the Reserve Bank or deploy their own resources under the …scheme,”

The banks said that the regulatory benefits will get required to submit the weekly statement that contains the consolidated information on entity wise and instrument wise loans and advances extended to make it eligible to the financial markets operation department.

The central bank has stressed that it will remain vigilant and it will take the mandatory steps in order to mitigate the economic impact of COVID-19 and it will also help in preserving the financial stability.