
- Weak economic conditions and stressed asset quality encourage banks to increase their investments in government securities.
- Due to countercyclical fiscal policy adverse impact on the overall economic activity was somewhat reduced.
- Proactive monetary, liquidity and regulatory measures by the Reserve Bank ensured continued credit flows not only through banks but also through market instruments like corporate bonds, commercial paper, etc.
- Several fiscal packages were announced under the umbrella scheme of the Atma Nirbhar Bharat's mission in response to the COVID crisis.