Union Minister for Finance & Corporate Affairs Smt. Nirmala Sitharaman chaired the 22nd Meeting of the Financial Stability and Development Council (FSDC).
The economy is expected to contract by 5% by some estimates amid the virus crisis.
The meeting also took note of the activities undertaken by the FSDC Sub-Committee chaired by RBI Governor Shaktikanta Das.
This was the third meeting of the FSDC after the Narendra Modi government returned for the second term in May 2019.
The Council noted that the COVID-19 Pandemic crisis poses a serious threat to the stability of the global financial system and the timing of recovery, is uncertain at this point of time.
The FSDC is the apex body of sectoral regulators, headed by the finance minister. The idea to create this regulatory body was mooted by the Raghuram Rajan (ex RBI Governor) Committee in 2008.
Finally in 2010, the then Finance Minister of India, Pranab Mukherjee, decided to set up such an autonomous body dealing with macro prudential and financial regularities in the entire financial sector of India.