Fundamental problems of economy has not disappeared: Sudip Bandyopadhyay

In a chat with ET Now, Sudip Bandyopadhyay, President, Destimoney Securities, shares his views on rate sensitives. Excerpts:

ET Now: What would your view be on the rate sensitive, particularly banks after the financial stability report that came out on Monday?

Sudip Bandyopadhyay: It is well known that if we sit down and think that as a system, we have bought some time through multiple measures which were initiated by the finance minister and the RBI governor.

Hence, we have some breathing space but the fundamental problems of the economy has not disappeared yet. We need to somewhere set our house in order. Unless and until that is done, the rate sensitive and the sectors which move with the economy -- like the capital goods, infrastructure -- all of them are under pressure and will continue to remain under pressure. Hence, there has to be a long term solution on multiple things in the economy; that will only bring a solution to the problems of the banks.

We do not trust the balance sheets of the PSU banks. In terms of their asset quality, the NPA problems keep surfacing in one bank or the other in a big way. We will not have a scenario where rate sensitives particularly the banks will be out of the woods.