BUSINESS
With his Rs 2,000 knock, Shaktikanta Das deals a body blow to black-money hoarders
The segment of society that will be hit by the RBI's decision to withdraw the Rs 2,000 note will be the tax cheats holding crores of these high denomination notes. They will now come under the lens of tax authorities
BUSINESS
Will Rs 2,000 currency notes remain legal tender after September 30?
It is expected that the Rs 2,000 notes will remain a legal tender even after September 30, going by a similar exercise conducted by the RBI in 2014 when it announced the withdrawal of all bank notes issued before the year 2005
BUSINESS
Five reasons why Rs 2,000 note withdrawal can't be compared to 2016 demonetisation
Going by the RBI press release, the Rs 2,000 notes will continue to remain a legal tender, meaning one can use it for transactions. This wasn’t the case during the 2016 demonitisation exercise, when notes were deemed invalid overnight
BUSINESS
Banking Central | Pause on rates may stay as Inflation cools off, but war is far from over
Most economists believe that decline in the overall inflation numbers will provide room for the rate-setting panel to continue with the pause in the next policy meet on June 6-8. If low inflation sustains, one cannot rule out a rate cut later this year
BUSINESS
Banking Central | Bank credit picks up momentum. But where is the money going?
Data suggests that bank lending to individual loans is picking up pace while that to industries is slowing.
BUSINESS
Banking Central | Das’ message to banks: In good times, we prepare for the bad
This isn’t the first time RBI governor Shaktikanta Das has asked banks to build an additional capital buffer and tighten risk assessment. Last time, it was during the peak of the coronavirus pandemic
BUSINESS
Why a sharp spike in KCC loans is a ticking timebomb for Indian banks
Kisan Credit Card loans have been a source of pain for state-run banks in the past on account of high default rates and the repeated loan waivers announced by politicians. A big jump in the quantum of such loans ahead of an election year may be bad news for banks.
BUSINESS
Banking Central | Two private lenders make the field for bulls in banking space
ICICI Bank numbers add to the optimism in the sector while RBI clarifications offer much needed clarity to HDFC Bank’s investors.
BUSINESS
HDFC-HDFC Bank merger: Why RBI clarification comes as a relief for the banking giant
More time to comply with PSL requirements takes away the immediate burden from the bank. Similarly, clarity on holdings in investments and subsidiaries will clear air for investors.
BUSINESS
Decoding MPC minutes: No one backs out from inflation fight. Then why a pause?
Minutes show inflation worries dominated the deliberations, yet the panel decided to pause. It is not clear why
BUSINESS
Banking Central | CPI inflation at 5.7% in March guarantees a pause in June but watch out for crude
If inflation doesn’t surprise on the upside and stays below 6 percent, the MPC could stay in the pause mode for the rest of the year, with even the possibility of a rate cut by end of the year
BUSINESS
Banking Central: Will RBI’s Monetary Policy Committee regret its early pause?
The assumption is that inflation will start easing in the period ahead. But what if it stays elevated? That would put the panel in an embarrassing position because of the early pause. Remember, crude is inching up following surprise production cuts by major producers and there is an El Nino threat over the monsoon
BUSINESS
Quick view | Dear RBI governor, why the reluctant pause now?
Overall, the tone suggests that the central bank is still cautious as far as inflation is concerned and doesn't want to signal to the market that the rate hikes are over. So, if inflation continues to surprise on the upside, a rate hike can't be ruled out this year
BUSINESS
RBI Policy: Surprise pause by MPC, repo rate kept unchanged at 6.5%
The central bank has hiked the repo rate by 250 basis points since May last year to contain inflationary pressure.
BUSINESS
Banking Central | What will be the MPC’s decision on rates?
That the MPC will go for another 25bps rate hike on April 6 is a given assumption considering the still high retail inflation.
BUSINESS
Exclusive| ‘No differences with the board’, clarifies South Indian Bank MD Murali Ramakrishnan on decision to not seek re-appointment
Shares of the bank had fallen sharply on 29 March post the bank’s communication to stock exchanges. At the time of filing this copy, the shares were trading at Rs 14.25 apiece, down 13.9 per cent from the previous close.
BUSINESS
Banking Central | Who wouldn’t love a bigger deposit insurance cover
Banks are dealing with public money and depositors deserve a safety net in the event of bank collapses. The higher cost of deposit insurance can be borne by the depositor instead of banks footing the bill alone
BUSINESS
View| Credit Suisse fiasco shows the ugly side of AT1 bonds
Why do people invest in AT1 bonds despite the high-risk nature? One reason is that the returns offered by these bonds are typically higher compared with other bonds. The other is ignorance.
BANKS
Banking Central | Why Uday Kotak was spot on in warning on Credit Suisse
There are important lessons for Indian banks on risk management and concentration risk from the unfolding global banking crisis
BUSINESS
Bank failures: Is there a case for higher deposit insurance cover in India?
Bank failures in US highlights the need for a higher deposit insurance cover to bridge the widening trust deficit of the customers, particularly in small banks.
BUSINESS
Does RBI have a case for pause in April?
A section of economists and Monetary Policy Committee members believe that it’s time the rate-setting panel take a hard pause and waits for the results of the past rate hikes to play out. Others think it is too early.
BUSINESS
Banking Central: Why an SVB-like crisis is unlikely in India
According to the RBI Financial Stability Report (FSR) released in December, stress test results indicate that banks would be able to withstand even severe stress conditions should they materialise.
BUSINESS
All in a name: SVB ripples from California reaches Mumbai to rattle a coop bank
The similarity in the brand names caused confusion among the customers of Mumbai-based SVC cooperative bank, which was flooded with enquiries from customers on the safety of their deposits.
BUSINESS
MC Exclusive | HDFC-HDFC Bank merger to lead to bigger growth opportunity; will not take executive role, says Keki Mistry
HDFC on April 4 said its board has approved the merger of its wholly-owned subsidiaries HDFC Investments Limited and HDFC Holdings Limited with HDFC Bank Limited. As part of the plan, HDFC will acquire 41 percent stake in HDFC Bank through the transformational merger.
