Rupee range for H2/2016 is set at 67-70 against H1/2016 outlook at 66-69, with marginal time-decay value adjustment.
As per the summary of electronic consultation with the Technical Advisory Committee (TAC) released by RBI, three of the five external members recommended no change in policy rates.
"In the very near term, there could be some adverse spillover on India through financial linkages with rest of the world. However, I expect the dust to settle down soon as our policymakers have enough ammunition to ward off unwarranted volatility," he said, echoing views of the Indian business community.
Taking on critics of his monetary policy, Reserve Bank Governor Raghuram Rajan today blamed the record low credit growth to the stress in public sector banks and not due to high interest rates.
Exports declined 11.3 percent year-on-year in May, Ministry of Finance data showed on Monday, versus the median estimate for a 10.4 percent annual fall and a 10.1 percent annual drop in April.
Moves by central banks from Japan to the euro zone to slash interest rates below zero have upended financial markets: investors are now paying some governments for the privilege of parking their funds while commercial lenders are mulling storing their cash in costly vaults instead of keeping them with central banks.
The Reserve Bank of India (RBI) kept its policy interest rate unchanged at a five-year low of 6.50 percent on Tuesday, while signalling the prospect of another cut later this year if monsoon rains dampen upward pressure on food prices.
The survey forecast just one more rate cut in the coming year, with most expecting the Reserve Bank of India to cut by 25 basis points to 6.25 percent in the July-September quarter, and thereafter hold steady until at least until the end of the third quarter next year.
Home loan balance transfer surely saves some money. But do not go for a blind bet.
HDFC Ltd today said it will raise Rs 730 crore through private placement of non-convertible debentures.
It would be difficult for players to make money in this current scenario. High interest rates impacted company earnings, says SK Dubey, MD OF PNB Gilts.
Growth of India's manufacturing sector may decelerate during June quarter due to factors like bleak export outlook, poor demand and high cost of borrowing, a Ficci survey has said.
The ongoing oil rally and an abatement in US dollar strength have bode well for emerging market flows and the rally is unlikely to continue, says Ben Luk of JP Morgan AMC.
At present, it is necessary that at least one of the two parties in the swap is either a bank or the RBI itself or an entity regulated by it. Any other regulated entities are not allowed to deal in IRS.
RBI is closely watching inflation data as well as monsoon rain forecasts for deciding on further interest rate cuts and the monetary policy still remains in the "accommodative mode", Governor Raghuram Rajan said.
According to the bank's research report, despite a relatively high real interest rate, deposit rates of banks have not picked up.
Some say the move is a huge positive for the banks and bond dealers, while some remain dissatisfied over the 25 basis points cut as a lot of investors did hope for a 50 bps rate cut.
The Reserve Bank of India cut its policy interest rate by a quarter percentage point on Tuesday, reducing it to a more than five-year low. It also reduced the cash proportion of daily reserve requirements that banks must keep with it, while pledging to inject more long-term liquidity.
The Reserve Bank of India (RBI) today heard the government's clarion call, cutting its policy repo rate by 25 basis points at the first bi-monthly monetary policy meeting of the fiscal year.
Controlling inflation is the central bank's priority, but Prime Minister Narendra Modi's government would welcome any move to improve business conditions for industrialists who remain hesitant to invest, despite data depicting India as one of the world's fastest growing economies.
Bankers said high interest rate could make Indian economy sluggish given that inflation is around 5 percent.
The existing tax-free interest rate of up to 8.7 percent on small saving instruments translates into an effective interest of 12-13 percent on deposits. Correspondingly, the lending rate, which is always a notch above deposits rate, would be 14-15 percent, he told PTI in an interview here.
Individual savers will regret the fact that rates have come down, but this is only correcting an aberration, says Ananth Narayan of Standard Chartered Bank
In a move that will hit the common man, the government today slashed interest rates payable on small savings including PPF and Kisan Vikas Patra (KVP) in a bid to align them closer to market rates.
The BOJ eventually decided to adopt the negative interest rate policy after several members argued the move would help forestall the risk of external factors delaying the eradication of Japan's "deflationary mindset," the minutes showed.