BUSINESS
Day 2 of economic package: Still waiting for the demand boost
Will the next set of measures be about putting more money into the hands of businesses and the middle class to boost demand?
BUSINESS
A stimulus on the cheap
Finance minister announces a bunch of measures to ease liquidity. But question of boosting demand remains.
ECONOMY
Rs 4.2 lakh crore extra borrowing may not be enough for a fiscal stimulus
As nominal GDP growth plummets, there is a risk of a huge shortfall in revenue receipts
BUSINESS
Debt knell for blue chip issuance points to confidence deficit
High spreads also point to failure of RBI’s targeted long term repos
ECONOMY
Oil tax hike | Waiting for lunch after paying for it
Taxes as a percentage of base price are 260 percent for petrol and 256 percent for diesel.
ECONOMY
The power sector's coronavirus problems don't stop at weak demand
Liquidity infusion needed in the short term, reforms for the long term
MARKETS
Fed meeting points to dollar weakness. How much will the Indian rupee benefit?
On balance, we are looking at a gradual depreciation of the Indian currency. COVID-19 will be the difference between the rupee at 76 to a dollar or 85 in another six months.
ECONOMY
Suspending bankruptcy law will cause more harm than good
The main advantage of the IBC is that it lays out a clearly defined process that seeks to keep the business as a going concern
ECONOMY
Liquidity line to MFs: RBI’s all-too-familiar method of directed lending may not work
Who will bear the credit risk?
ECONOMY
RBI COVID Package 2.0 | It’s not enough to assure banks to bear risks
Second package is better targeted towards NBFCs and HFCs, but could prove insufficient to meet the credit demands of those who need it the most.
ECONOMY
Lockdown Relaxation | Devil lies in the implementation
On paper, these guidelines can help growth recover but their on-ground implementation is crucial for success
ECONOMY
MPC expects more fiscal stimulus; sees current package only as a cushion
Even if inflation is not an immediate concern, panel also wants to conserve some policy space to boost economy once normal activity resumes
MARKETS
What Bajaj Finance, Mahindra Finance COVID-19 guidance means for NBFCs
Large NBFCs expect resumption of business as usual by 6 months at the earliest
ECONOMY
NBFCs caught in a fix
Non-bank financiers have to provide moratorium to their borrowers, but are unsure of availing the same facility from their own lenders
MARKETS
Whither go bond yields?
Markets will be wary of a fiscal slippage, and rightly so
ECONOMY
RBI does its bit to tackle COVID-19
Central bank has tried to ensure that viable businesses don’t go bankrupt owing to cash flow problems. But the jury is out on whether it needs to do more.
ECONOMY
Economic package | A beginning has been made. More needs to be done.
Putting money into the hands of the people would have been simpler, quicker and more effective
COMPANIES
About a third of Indian listed firms are Zombies. Coronavirus could tip them into default
Usual suspects such as textiles, construction and real estate most at risk of default
MARKETS
Chart of the Day | What does the MCAP-GDP ratio say about a market bottom?
It has reached the levels last seen during the global financial crisis
TRENDS
Coronavirus | Just talk, no rate action from RBI. For now.
A rate cut seems inevitable when the monetary policy committee meets to review rates on 31 March
ECONOMY
Brace for more currency volatility
While low oil prices and expected portfolio inflows provide support for the rupee, this is all contingent on the coronavirus being contained in both India and abroad
MARKETS
What corporate profits and other indicators say about Q3 GDP growth
Numbers will show a continuing slowdown
ECONOMY
What the MPC meeting minutes have to say about economic growth
Members not sure about durability of green shoots, call for structural reforms.
BUSINESS
Chart of the Day | IBC recoveries fall
Overall, banks have recovered around Rs 1.5 lakh crore, at a recovery rate of 43 percent since the IBC process started.
