Page 6 - Latest Updates on Reserve Bank of India
Bond forwards replace FRAs for insurers; SDLs become preferred choice
Insurers are increasingly shifting to bond forwards linked to state development loans, attracted by higher yields and the RBI's new framework for managing interest-rate risk
 "Bond forwards replace FRAs for insurers; SDLs become preferred choice")
RBI MPC meet: Amid inflation, growth concerns, rate hike can wait for now
Inflation will rise in the second half of the year. Growth, too, will falter. It's time to explore other options
 "RBI MPC meet: Amid inflation, growth concerns, rate hike can wait for now")
RBI MPC meet: Status quo on rates likely as West Asia crisis deepens
After three days of deliberations, the six-member Monetary Policy Committee (MPC), headed by RBI Governor Sanjay Malhotra, will announce its decision on June 5
 "RBI MPC meet: Status quo on rates likely as West Asia crisis deepens")
Governance questions: HDFC Bank must emphatically address all concerns
HDFC Bank must address governance concerns transparently after reports of irregular payments linked to bulk deposits, while the RBI should clarify its oversight role
 "Governance questions: HDFC Bank must emphatically address all concerns")
Reimagining microfinance: Current model works, but at a modest growth rate
India's microfinance model has reached its limits; sustainable growth now requires a shift towards meso-finance, stronger savings buffers, and less reliance on group lending.
 "Reimagining microfinance: Current model works, but at a modest growth rate")
'Strong preference' for cash use despite digital payments growth
Despite rapid growth in digital payments, RBI's survey found that households and small retailers continue to prefer cash, while currency in circulation rose strongly in FY26
 "'Strong preference' for cash use despite digital payments growth")
RBI plans cross-border CBDC pilots amid digital currency experiments
Central bank will expand digital rupee experiments in 2026-27, focusing on cross-border payments, asset tokenisation, programmable money and welfare applications
 "RBI plans cross-border CBDC pilots amid digital currency experiments")
RBI weighs adding 'frictions' to digital payments to tackle online fraud
Central bank is exploring transaction delays, broader customer controls and a kill switch mechanism as digital payment frauds continue to rise in value
 "RBI weighs adding 'frictions' to digital payments to tackle online fraud")
Lingering geopolitical tensions may hit loan portfolios: RBI report
RBI warned that the West Asia conflict, rising energy prices and monsoon risks could weigh on India's growth and inflation outlook in the short term
 "Lingering geopolitical tensions may hit loan portfolios: RBI report")
RBI to estimate natural real rate of interest, potential GDP growth in FY27
RBI plans to estimate India's natural real interest rate and potential GDP growth in FY27 to strengthen macroeconomic forecasting and policy analysis
RBI's penalties on regulated entities at 5-year low of ₹26.33 crore in FY26
RBI's penalties on regulated entities fell to a five-year low of ₹26.33 crore in FY26, with enforcement action taken against 241 entities
 "RBI's penalties on regulated entities at 5-year low of ₹26.33 crore in FY26")
What are plastic banknotes and why is RBI considering them now?
The RBI is considering polymer currency notes as printing costs rise and demand for cash continues despite digital payments growth.
 "What are plastic banknotes and why is RBI considering them now?")
India may soon get plastic currency notes as RBI revives decade-old plan
Reserve Bank of India is considering a pilot project for polymer banknotes, citing longer shelf life, lower replacement costs and rising demand for cash despite the growth of digital payments
 "India may soon get plastic currency notes as RBI revives decade-old plan")
RBI must let rupee depreciate, avoid rate hikes to tame inflation: Subbarao
In comments that come days ahead of the second meeting of the rate setting panel for FY27, Subbarao said the monetary policy should be used as a "last resort" to defend the exchange rate
 "RBI must let rupee depreciate, avoid rate hikes to tame inflation: Subbarao")
Sebi explores tokenisation of corporate bonds for faster settlements
Regulator also plans bond ETFs, derivatives on corporate bond indices
 "Sebi explores tokenisation of corporate bonds for faster settlements")
RBI, credit-rating firms assess West Asia conflict risks on India Inc
The consultations were aimed at evaluating conditions on the ground so authorities would not be caught off guard if the conflict deepens
A wrong tool for the rupee and serious side effects on growth prospects
A stable rupee also lowers the currency-risk premium FPIs demand, reducing both required returns and inflation risk
 "A wrong tool for the rupee and serious side effects on growth prospects")
RBI forms panel to study quantum technology risks in finance sector
RBI has constituted an expert committee to assess risks and opportunities linked to quantum technology and recommend a roadmap for a quantum-secure financial ecosystem
Should you buy bonds? Axis MF sees near-term rally if RBI avoids tightening
Axis MF advises bond investors to gradually add Duration as RBI may avoid aggressive rate hikes despite oil risks and inflation concerns
 "Should you buy bonds? Axis MF sees near-term rally if RBI avoids tightening")
Best of BS Opinion: RBI's surplus transfer will not ease fiscal pressure
Hello and welcome to BS Opinion, a wrap of editorials and columns on today's Opinion page.
 "Best of BS Opinion: RBI's surplus transfer will not ease fiscal pressure")