The Reserve Bank of India on March 3 tried to assuage the domestic financial markets in the wake of turmoil in the global financial markets due to the spread of SARS-nCOV and said it stands ready to take appropriate action.
The central bank said spillovers to financial markets in India have largely been contained and growing hopes of coordinated policy action to mitigate a broader fallout to economic activity has boosted market sentiment today.
“Globally, financial markets have been experiencing considerable volatility, with the spread of the coronavirus triggering risk-off sentiments and flights to safe haven. Spillovers to financial markets in India have largely been contained. Growing hopes of coordinated policy action to mitigate a broader fallout to economic activity has boosted market sentiment today,” RBI said in a statement.
“The Reserve Bank of India is monitoring global and domestic developments closely and continuously and stands ready to take appropriate actions to ensure orderly functioning of financial markets, maintain market confidence and preserve financial stability,” it added.
