Bhaskar Dutta And Manojit Saha

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Silicon Valley Bank crisis unlikely to affect Indian banks: Analysts

Silicon Valley Bank crisis unlikely to affect Indian banks: Analysts

Rediff.com20 Mar 2023

The recent run on the US-based Silicon Valley Bank (SVB) and the subsequent seizure of its assets by the regulators may have sparked a global wave of risk aversion, particularly for start-ups. However, the Indian banking sector is unlikely to be a victim of any contagion effects, said analysts. he bank, which played a big role in financing start-ups and technology players, faced stress after incurring huge losses on its holdings of US bonds, following the most-aggressive monetary tightening cycle by the Federal Reserve in around four decades.