Also, investments across the entire agro-value chain spectrum, such as creation of cold chains, rural godowns, new agricultural marketing infrastructure, and modernisation of existing markets could be promoted by providing them fiscal incentives.
As a result, both the asset mix and sources of funding of many financial firms had shifted dramatically. The regulatory system had also evolved, notably through progressively more detailed capital requirements and increasing demands that banking organizations enhance their own riskmanagement systems. Supervisors counted on capital and risk management to be supple tools that could ensure stability even as financial activities changed rapidly.