year-on-year retail loan growth has increased every month so far in FY23 and bankers expect this trend to continue in the coming months as well, boosted by the festival season demand.
The consumer sentiment survey of the Reserve Bank of India shows that Indians are still pessimistic when it comes to discretionary spending.
In July, the Reserve Bank of India sold a massive $19 billion in the spot forex market and also reduced its net forward position sharply for defending the rupee
The Reserve Bank of India's net forward position dropped by a massive $18 billion in June as the central bank went short on the dollar in the 1-month segment.
China sold a massive $94 billion worth of US treasuries in the year to July, data from the US treasury department shows.
Faster adoption of external benchmark linked lending rate (EBLR) is expected to aid transmission of policy rates on to lending rates quickly and boost margins for banks.
FY23 may be the year when Life Insurance Corporation's market share losing to private life insurers finally slow down.
Household inflation expectations have moderated but only marginally and Indians are still worried that prices of food and services would continue to go up in the coming year.
On a cumulative basis, the pickup in rainfall was significant in July but the distribution was uneven. The month of August now holds the key for kharif output
Key driver would be a sustained improvement in both quantum and dispersion of rainfall in the crucial month of August
Money supply growth has decelerated slightly on the back of a slowdown in bank deposit growth.
Liquidity surplus is falling faster than anticipated but this fall is also uneven across the banking system, shown by sporadic borrowings at repo auctions and a consistent fall in standing deposit facility subscription.
The real effective exchange rate captures the competitiveness of the rupee against a basket of currencies.
The hunt for deposits would intensify among banks which could push up retail deposit rates further.
Economists expect that the festival season during the second half of the year would help in keeping the trend robust. The upshot is that tariffs are likely to see upside pressure.
A recession may seem imminent in the US but signs of contraction are yet to show up on the balance sheets of banks there.