FSDC meet to take stock of economy tomorrow

NEW DELHI: The Financial Stability and Development Council (FSDC), headed by Finance Minister Arun Jaitley, will meet tomorrow to take stock of the economic situation and would discuss suggestions which could be incorporated in the forthcoming budget.

The meeting will discuss various issues including pre-budget suggestions that could propel economic growth, sources said.

FSDC is a high-powered body, whose members include RBI Governor, Sebi Chairman, IRDAI Chief and heads of other regulatory bodies. Besides, top Finance Ministry officials would also be attending the meeting.

During the last meeting, FSDC noted that India should remain in a state of "full preparedness" to deal with any external sector vulnerability.

The FSDC had said high volatility in the financial markets is one of the most prominent risks confronting the Emerging Market Economies.

The FSDC had also deliberated on the issue of rising bank NPAs and corporate sector balance sheet stress wherein it noted the measures taken by Government and RBI for handling the stressed assets.

It also had discussed the impact of bank NPAs and corporate sector balance sheet stress on Bond market.

Non performing assets at the end of March rose to Rs 2.67 lakh crore, from Rs 2.40 lakh crore at the end of March 2014.