BUSINESS
Rates, Risks and Ratings: Indian banks emerge more resilient than the US ones
India’s financial system also went through rate hikes around the same time as in the US. But there were hardly any ripples, as the financial system is bank-led, which means that interest rates work mainly through credit and banking channels
BUSINESS
Backstop fund for corporate debt may prevent Franklin Templeton-like crisis
The CDMDF, though positioned as a corporate bond market development initiative, looks designed more to bail out stressed mutual fund debt schemes and prevent a systemic crisis
BUSINESS
Convertibility needs to precede the internationalisation of the rupee
There are other important prerequisites for achieving internationalisation — the existence of deep and well-functioning domestic financial markets, a trusted legal framework for contract enforcement, low inflation, and stable and predictable macroeconomic policies
BUSINESS
Financial Stability Report: Write-offs improved asset quality
Increased provisioning for bad loans, which could come about, both from the new expected loss-based regulations or from increased NPAs, could dent profitability and CRAR ratios in future
BUSINESS
Should RBI be so optimistic about growth?
Whether for reasons of risk aversion or a paucity of projects, the pattern of bank credit growth does not suggest any marked pick-up in investment activity in industry
BUSINESS
RBI report makes some sound recommendations on improving customer satisfaction
But the report also tends to get into micromanagement in some areas
BUSINESS
Growth worries loom over June MPC meeting
The continued poor performance of manufacturing on which government relies to generate jobs and absorb surplus labour from agriculture is a cause for concern on the growth front.
BUSINESS
Why an SVB-type crisis is unlikely in India
Traditional banking, the play of forbearance, funding and cash flow characteristics, all combine to make Indian banks less vulnerable than their US counterparts
BUSINESS
SEBI's attempts to improve corporate governance are also an unending battle against tech smokescreens, business complexity and rogue elements
Among the SEBI consultation papers released on May 18 include attempts to take aim at suspicious trading activities, unpublished price sensitive information, and regulation of foreign venture capital investors. Each of these tasks are quite complicated but efforts to improve corporate business practices mustn’t flag
BUSINESS
Rs 2,000 Note Withdrawal: Storm in a teacup but what purpose did the note serve all these years?
From its glitchy issuance in 2016 to the stopping of printing in 2018-19 and now finally to its recall, the Rs 2,000 note had a rough ride while in existence. All through the way, RBI has been sparing in its communication, leaving citizens with more questions than answers
