The mountain became his second home


Economic shock and PSB reform However, a pertinent issue here is whether the real sector’s response has been in unison with the favourable conditions in the money and debt markets? The latest Financial Stability Report of the RBI provides some clue in this regard: One, it acknowledges a growing disconnect between the movements in certain segments of the financial markets and real sector activity. Two, it reveals that deleveraging by the private corporate sector stalled during the second half of 2019 20 with leverage increasing due to higher borrowings. Incremental borrowings were used for creating financial assets and not for capex formation, as demand conditions remained muted.

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