Concerns persist over further disinflation, but business and household sentiment continues to improve in a situation where financial markets have stabilized, and production has been picking up, albeit moderately. Whereas improvements are observed in advanced economies as I described, the situation varies among emerging and commodity-exporting economies.
In this context, it is heartening to note that Government has initiated several measures such as allowing PSBs to access market to raise capital subject to ensuring minimum shareholding of the Government of 52% and recent unleashing of a plan for revamping PSBs called “Indra dhanush” These measures show the intent and commitment of Government to provide additional budgetary support to these banks to ensure that PSBs remain adequately capitalized to support  2  BIS central bankers’ speeches  economic growth.