Improving employment conditions, easing inflation rates, and a resurgence in agricultural output will drive notable uptick in household consumption, said Shaktikanta Das at the Monetary Policy Meet on February 8.
"With a view to providing greater flexibility" the RBI decided that banks can set their own limits for borrowing in call and notice money markets within the prudential limits for inter-bank liabilities prescribed, the central bank said earlier in the day as it announced its monetary policy.
The RBI has been at the forefront of the fight against economic distress also because the Centre’s Rs 20-lakh crore stimulus package leaned heavily on bank lending
All eyes will be on the Governor Urjit Patel's commentary on the inflation target and how he approaches the ultimate cpi goal of 4 percent.
Gammon Infra feels that the infrastructure sector may see no recovery till 2014 polls as there will be political indecisions and lack of stability. The PPP projects may also see a rise in debts in case banks decided to pass on rate hikes to the customers.
In an interview to CNBC-TV18, BA Prabhakar, CMD of Andhra Bank speaks about the measures taken by the Reserve Bank of India (RBI) for tightening liquidity in the market furthermore. He clarifies on whether or not, the banks will raise deposit rates in the future.