RBI to depositors: Indian banking system stable, no need to panic

A few days after the PMC Bank crisis and clamping of restrictions of withdrawal on its depositors, the Reserve Bank of India had tweeted that people should not pay attention to the rumours being circulated in social media. On Tuesday too, the RBI took to Twitter to mitigate various fears and anxiety among people regarding the unstable condition of many banks as RBI placed certain restrictions on Lakshmi Vilas Bank too by placing it under prompt corrective action (PCA) on September 28.

“There are rumours in some locations about certain banks including cooperative banks, resulting in anxiety among depositors. RBI would like to assure the public that the Indian banking system is safe and stable and there is no need to panic on the basis of such rumours”, the RBI tweet read.