Reserve Money Growth Up By 2.9 %
Reserve money has grown by 3.2 per cent in the current financial year to touch Rs 2,06,368 crore on May 2.
During the week that ended on May 2, reserve money grew by 2.9 per cent.
The growth in the reserve money was basically fuelled on account of two factors -- increase in bankers deposits with the Reserve Bank of India and RBI credit to the banks and the commercial sector.
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Banker's deposits with the RBI increased to Rs 58,330 crore while the apex bank credit to the banks and commercial sector increased to Rs 13,692 crore.
Net Reserve Bank of India credit to the government went up to Rs 1,28,001 crore. The central government's recourse to ways and means advances from the Reserve Bank of India stood at nil while the loans advanced by the Reserve Bank to the state governments went down from Rs 1,221 on April 25 crore to Rs 525 crore on May 9.
The outstanding stock of money (M3) stood at Rs 7,11,178 crore, growing by 0.1 per cent in the fortnight that ended on April 25.
There was marginal decrease in the demand deposits with the banks, while the net foreign exchange assets of the banking system went up from Rs 99,177 crore to Rs 99,844 crore.
Foreign currency assets grew by $665 million to stand at $23,321 million on May 9. The stock of gold was worth $3,966 million.
Consequently foreign exchange assets reserves increased by $639 million to stand at $27,287 million.
There was reduction in the stock of Special Drawing Rights by $26 million during the week ended May 9.
The yields on 364-day treasury bills have remained at 8.98 per cent while that on 91-day treasury bill at the auctions are 6.77 per cent.
The interest rats on commercial paper were in the band of 10 to 13 per cent in the last week of April.
While the outstanding stock of commercial paper on April 30 was Rs 770 crore, the quantum of commercial paper issued during the second fortnight of April was Rs 206 crore.
The stock of 91-day treasury bills was slightly over Rs 3,800 crore with the amount equally split between the RBI, banks and the state government.
Banks held Rs 9,347 crore worth of 364-day treasury bills as on May 9.
Aggregate deposit of the banking system stood at Rs 5,10,077 crore on April 25. Total investments of the banking sector was Rs 2,00,526 crore while total outstanding credit as on April 25 was Rs 2,77,930 crore with food credit being Rs 7,366 crore and non-food credit being Rs 2,70583 crore.
The cash deposit ratio was 10.85. While the investment deposit ratio was 39.31 the credit deposit ratio was 54.49.