Domestic banks’ exposure to Adani grp not very significant; single case can’t impact system: RBI

Mumbai : Domestic banks’ exposure to the Adani Group is “not very significant”, and the system is strong and large enough to not get impacted by a single case, the Reserve Bank said on Wednesday.

Replying to a specific question on whether the RBI will give any guidance to lenders on their exposures to the Adani group, given certain flags raised by rating agencies, Deputy Governor MK Jain said the domestic banks’ exposures are “not very significant” and termed the exposures against shares as “insignificant”.

“Our domestic banks’ exposure is against the underlying assets, the operating cash flows and the projects under implementation. And not based on the market capitalisation,” Jain said while speaking to reporters at the customary post-policy review press conference.