RBI reveals special liquidity center of Rs 50,000 crore for shared funds

BRAND-NEW DELHI: In a big relief for investors, the Reserve Bank of India (RBI) on Monday revealed a special liquidity facility (SLF-MF) of Rs 50,000 crore to relieve liquidity pressures on shared funds (MFs) which have actually cropped up as an outcome of heightened volatility in capital markets due to the Covid-19 pandemic.

” The RBI has specified that it stays vigilant and will take whatever actions are essential to mitigate the financial impact of Covid-19 and preserve monetary stability. With a view to relieving liquidity pressures on MFs, it has been decided to open a special liquidity facility for mutual funds of Rs 50,000 crore,” the reserve bank stated in a statement.

The tension