BUSINESS
RBI MPC comes to a unanimous decision on rates after 11 months
The rate cut, the first in almost five years, comes a week after Finance Minister Nirmala Sitharaman presented the budget for FY26.
BUSINESS
Draft LCR, project financing norms not to be implemented before March 2026
On January 29, Moneycontrol reported that India’s banks, both state-owned and private, have requested the Reserve Bank of India (RBI) to defer the implementation of liquidity coverage ratio (LCR) norms to the later part of the next financial year, 2025-26.
BUSINESS
RBI MPC: Bond yield rises 5 bps in absence of liquidity measures
The RBI in January announced a string of measures announced to support banking system liquidity, which has been under stress on tax outflows and the central bank's intervention in the forex market
BUSINESS
We will strive to maintain NIM at 3%, says CS Setty, SBI Chairman
According to its investor presentation, SBI's NIM reduced to 3.01 percent in October-December quarter, from 3.14 percent in a quarter ago period and 3.22 percent in a year ago period.
BUSINESS
RBI Feb MPC meet: GDP numbers to be key to watch
India’s growth is set to dip to 6.4 percent in FY25, its lowest level in four years, pulled down by a likely decline in manufacturing and investment growth, according to preliminary data released on January 7.
BUSINESS
Liquidity deficit narrows to a month's low on RBI measures, govt's month-end spending
Liquidity deficit in the banking system was at Rs 45,005.65 crore on February, the lowest since January 5 when it stood at Rs 28,957.58 crore
BUSINESS
UIDAI to launch Aadhar authentication portal next week
Last week, union government has amended the Aadhaar rules to allow private entities to use Aadhaar authentication for delivering their services.
BUSINESS
2025 will not be a good year for rupee, should brace for underperformance, says RBL Bank’s Anshul Chandak
On the rate action front, Chandak said that the central bank's next monetary policy is likely to announce a 25-basis-point cut in the repo rate
BUSINESS
NPCI CEO Dilip Asbe bats for incentives to broaden UPI base
In December 2024, the value of transactions through UPI stands at Rs 23.24 lakh crore as compared to December 2016, when it was Rs 707.93 crore and December 2020, when it was Rs 4.16 lakh crore.
BUSINESS
TDS reduction on income from security receipts will free up additional liquidity for investors, ARCs
Currently, TDS on income derived from securitization trsut constituted under SARFAESI, is 25 percent, if the investor is individual or a Hindu Undivided Family, and 30 percent for any other person. This government has reduced to 10 percent in the Union Budget 2025.
BUSINESS
RBI likely to cut rates by 75 bps, starting with 25 bps in February monetary policy: SBI Research
On February 3, a Moneycontrol poll of bankers and economists also showed that the central bank will cut rate by 25 bps in February monetary policy as sluggish growth, government advance estimates, and a series of liquidity infusion measures have made the case for a rate cut.
BUSINESS
FPI invest over around Rs 11,000 cr in Indian G-sec post inclusion in Bloomberg bond index
Bloomberg Index Services (BISL) added Indian bonds in Bloomberg Emerging Market (EM) Local Currency Index on January 31.
BUSINESS
MC Poll: RBI MPC likely to cut repo rate on Feb 7, say economists
Poll respondents say upcoming RBI Monetary Policy could result in 25 bps reduction in benchmark repo rate.
BUSINESS
Govt expects 10% increase in dividend from RBI thanks to mega dollar sale
Hope for the higher dividend has emerged after the RBI has sold dollars heavily in market worth USD 195.568 billion between April and November 2024.
BUSINESS
Partial Credit Enhancement Facility for corporate bonds may help AA and below rated issuers
Finance Minister Nirmala Sitharaman on February 1 while presenting Union Budget 2025, announced that NaBFID will set up a ‘Partial Credit Enhancement Facility’ for corporate bonds for infrastructure.
BUSINESS
Higher gross market borrowing may lead to increase G-sec yield
In union Budget 2025, gross market borrowing numbers announced by the government was around 6 percent higher for next financial year, as compared to current fiscal year.
BUSINESS
Higher redemptions of bonds in FY26 leads to around 6% rise in gross government borrowing
In the first half of current financial year, the Centre has borrowed nearly Rs 7 lakh crore and plans to borrow Rs 6.61 lakh crore in the second half.
BUSINESS
Government propose to increase threshold of TCS on LRS scheme to Rs 10 lakh from Rs 7 lakh
Under the Liberalised Remittance Scheme, all resident individuals, including minors, are allowed to freely remit up to USD 2,50,000 per financial year (April – March) for any permissible current or capital account transaction or a combination of both.
BUSINESS
NaBFID will set up partial credit guarantee scheme for corporate bond for infrastructure, says FM Sitharaman
NaBFID is a specialized Development Finance Institution in India aimed at supporting the country's infrastructure sector.
BUSINESS
MC Explains| Will RBI surprise the bond market with another large dividend transfer?
As per the RBI Act's Section 47, after making provision for bad and doubtful debts, depreciation in assets, contributions to staff and superannuation fund and other matters, the balance profit shall have to be paid to the Central Government.
BUSINESS
RBI’s actions on Indian rupee, domestic liquidity are steps in right direction: CEA Nageswaran
These comments came when the central bank has been spending dollars heavily in the forex market to defend Indian rupee from falling sharply in the last few months.
BUSINESS
Rupee holding up better than South Korean Won, Brazilian Real despite pressures, notes Economic Survey
The survey added that one of the primary factors behind Rupee's depreciation in 2024 has been the broad-based strengthening of dollar, at a time of geopolitical tensions in the Middle East and uncertainty around the US election.
BUSINESS
India’s forex reserves sufficient to cover 90% of external debt
India’s foreign exchange reserves increased from $616.7 billion at the end of January 2024 to $704.9 billion in September before moderating to $634.6 billion as on January 3, 2025
BUSINESS
Investor confidence in bankruptcy resolution crucial for developing bond market: Economic Survey
If liquidity has to enter corporate bond markets, problems such as entry costs, information asymmetry and the absence of a secondary market must be addressed, the survey has said
