Page 114 - Latest Updates on Reserve Bank of India
India market levels show effective rate has risen; RBI meeting in focus
The Reserve Bank of India, in its policy meeting in August, mandated that banks maintain an incremental cash reserve ratio of 10 per cent on some deposits
 "India market levels show effective rate has risen; RBI meeting in focus")
Indian rupee to trade in tight range as RBI keeps intervening: Poll
Still, the rupee has been trading close to its record low of 83.29 to the dollar as traders bet against Asian currencies
 "Indian rupee to trade in tight range as RBI keeps intervening: Poll")
RBI's MPC likely to hold rates amid persisting inflation, say experts
All 38 economists in a Bloomberg survey expect the Reserve Bank of India's six-member monetary policy committee to keep the repurchase rate unchanged at 6.5 per cent for a fourth straight time
 "RBI's MPC likely to hold rates amid persisting inflation, say experts")
Muneesh Kapur appointed as RBI's executive director, takes charge Oct 3
He also worked as the Adviser to the Executive Director at the International Monetary Fund from 2012 to 2015
 "Muneesh Kapur appointed as RBI's executive director, takes charge Oct 3")
With dollar sales, RBI prevents rupee from hitting all time low: Report
Equity sell-off continues; domestic 10-yr g-sec yield flat
 "With dollar sales, RBI prevents rupee from hitting all time low: Report")
A 'Slice' of lifeline: Fintech firm to infuse capital in North East SFB
To merge Fintech for capital infusion in the bank, lower promoter stake
 "A 'Slice' of lifeline: Fintech firm to infuse capital in North East SFB")
Inflation risks
Supply-side issues will complicate policy choices
 "Inflation risks")
RBI forms external working group on expected credit loss framework
The group's mandate includes outlining the principles banks must follow when creating credit risk models for evaluating and quantifying expected credit losses
 "RBI forms external working group on expected credit loss framework")
RBI expected to hold rates steady on Friday but striking hawkish tone
Annual retail inflation in August was 6.83%, easing from 7.44% in July -- a 15-month high -- but remained well above the central bank's 2%-6% comfort band
CD issuances in September surged to FY24 high amid tight liquidity
The deficit liquidity neared Rs 1.47 trillion on 19 September, the highest since 29 January 2020, when the banking system liquidity deficit went up to Rs 3 trillion
 "CD issuances in September surged to FY24 high amid tight liquidity")
India's election-year challenge
Fiscal consolidation must take precedence in the upcoming Budget, even if it's an interim one
 "India's election-year challenge")
Retaining retail inflation at 4% an unaccomplished dream since 2019-20
The target was achieved in the first two and a half years of implementing inflation targeting in Oct 2016, but the inflation rate remained above the goal
 "Retaining retail inflation at 4% an unaccomplished dream since 2019-20")
A first in 10 yrs: Currency flow drops in H1 due to Rs 2k note withdrawal
The CIC on March 31, 2023, was Rs 33.78 trillion, which fell to Rs 33.01 trillion on September 22 -- a difference of about Rs 76,658 crore
 "A first in 10 yrs: Currency flow drops in H1 due to Rs 2k note withdrawal")
MPC in no rush to change benchmark rate, stance: Business Standard poll
Some expect upward revision in FY24 inflation forecast
 "MPC in no rush to change benchmark rate, stance: Business Standard poll")
RBI extends last date for exchanging Rs 2,000 bank notes to Oct 7
RBI says 96% of the Rs 2,000 banknotes in circulation as on May 19, 2023, has since been returned
 "RBI extends last date for exchanging Rs 2,000 bank notes to Oct 7")
Banks to continue accepting Rs 2,000 note till October 7, says RBI
From October 8 only RBI Issue Offices to accept the notes
 "Banks to continue accepting Rs 2,000 note till October 7, says RBI")
Govt hikes interest rate on 5-year recurring deposit scheme to 6.7%
Small savings schemes are government-backed investment options that offer guaranteed returns. The interest rates on small savings schemes are reviewed every quarter
 "Govt hikes interest rate on 5-year recurring deposit scheme to 6.7%")
IFC gets approval from RBI to raise stake in Federal Bank to 9.7%
IFC currently holds a 1.34 per cent stake in the bank
 "IFC gets approval from RBI to raise stake in Federal Bank to 9.7%")
In talks with more countries to make impact on cross-border payment: RBI DG
The top RBI official said India has been making efforts to tackle the challenge of the high cost of remittances
 "In talks with more countries to make impact on cross-border payment: RBI DG")
Standard Chartered does not see rupee cross 84 even if dollar climbs
Sinha said the RBI will continue to maintain tight liquidity conditions to help support the rupee unless "we see big shocks from the global markets or if crude starts trending higher"
 "Standard Chartered does not see rupee cross 84 even if dollar climbs")