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.
ECONOMY
Power sector stress spreads to new areas
Mounting discom dues threatens to add NPAs in power sector, especially in renewables. In the coal-based sector, only 5.9 GW of the 41GW capacity that is stressed has achieved resolution.
ECONOMY
Higher slippages in banks show end of NPA cycle is not in sight
Unless growth picks up and credit conditions improve, the risks to bank balance sheets will linger
ECONOMY
No rate cut, but a whole lot to boost sentiments
The monetary policy panel didn’t cut rates because it is very concerned about the inflation hydra
MARKETS
The glaring inconsistency between deteriorating credit conditions and equity market highs
For the nine months ended December 2019, there were 183 downgrades for every 100 upgrades. The downgrade to upgrade ratio was only 0.96 for FY19.
ECONOMY
What to expect from the RBI MPC meet tomorrow
RBI will hold rates and retain accommodative stance
BUDGET
No steps to boost credit flow in the Budget
There is not much for the NBFC and real estate sectors
ECONOMY
Survey suggests way to fix PSBs, but stops short of calling for privatisation
The Survey offers no solutions to what should be done with the pile of toxic assets that PSBs are currently carrying, or how to unclog the credit pipeline so that growth can take off quickly.
BUSINESS
Kotak promoter stake – different strokes for different folks?
This compromise shows RBI in poor light
MARKETS
List LIC so that it doesn’t go the way of Unit Trust of India
Government should stop treating the insurance corporation as a war chest
BUDGET
Budget 2020 Chart Point | Why private sector capex needs to pick up
Government capex as a percentage of nominal GDP hasn't moved the needle much.
BUDGET
Budget 2020 Chart Point | The relationship between nominal GDP growth and gross tax revenues
The relationship is not always straightforward.
ECONOMY
Davos participants should walk the talk
The World Economic Forum will throw up a lot of good ideas, but they have to be followed through.
