As the Bombay Stock Exchange Sensex continued to sway around the 23,000-mark on Friday following Thursday's 800-point plunge, Finance Minister Arun Jaitley said there was no need for an "exaggerated panic" among investors. He added that investors should keep in mind the inherent strength of the Indian economy. The Union minister said that a major sell-off in global markets created a chain reaction, which impacted Indian equities. "These global factors will remain and will have to be tackled globally by those economies," he said.

Jaitley also said that the central government is considering more steps to empower banks to recover bad loans, reported PTI. A bad loan is one where the borrower has not made payments for a certain period and there is risk of default. "The government is fully committed to support public sector banks by providing whatever capital is required," Jaitley said. "As far as India is concerned there are some overreactions to reports in sections of the media with regard to the state of public sector banks. The Reserve Bank, through various policies, has empowered the banks. The bankruptcy law is under active consideration," he added.