US crisis not cause of concern says Chidambaram

New Delhi, Sept 18 : Finance Minister P Chidambaram today said that declaration of bankruptcy by Lehman Brothers of the US was not a cause of concern for public sector banks as they have no exposure in US-based financial institutions.

Taking to mediapersons here, Chidambaram said that the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI) have assured that Public sector banks have no exposure to Lehmen Brothers which applied for bankruptcy in the United States.

"Only the ICICI bank has exposure to Lehmen brothers and they have made their position clear", he added.

He said that financial crisis affecting the US economy could bring some kind of credit tightness in India but the government will take steps to provide liquidity to the market.

He also expressed confidence that the growth rate of this fiscal year will be close to eight percent.

Country's largest private sector lender ICICI Bank has reported an exposure of Rs 375 crore in the senior bonds of Lehman Brothers Inc.

ANI