Page 343 - Finance News Analysis
'Trying to address inflation with rate hike will not work'
SBI chairman reiterates his stand on abolishing CRR
RBI's stance shifts to growth: Rana Kapoor
The policy guidance marks a clear shift in RBI's monetary policy stance towards addressing growth risks while not de-emphasising the objective of containing inflation
Repo rate cut may not happen even in Jan
Economists point to WPI inflation trend, many think RBI unlikely to move on this before March
Higher provisioning to dent banks' profits
The central bank order offsets CRR cut benefit, reduces scope for lending rate reduction, say banks
RBI refuses to budge on rate cut, but offers hope
CRR cut 25 bps, FM says govt will walk alone to face growth-inflation challenge
Rate cut may be deferred
Reserve Bank of India may wait for government steps to correct fiscal situation
Slow pvt placement likely for corp bonds
Apart from govt's promised issue of Rs 60,000-cr tax-free bonds, firms find interest rates higher than they'd prefer
Loan recast: Banking system credibility at stake: RBI
Mahapatra committee observes extraordinary rise in restructured assets
All eyes on Mint Road, will Subbarao oblige?
85% respondents of a Business Standard poll see no rate cut for now
Less OMOs likely in near term
But, liquidity pressures may build up again, requiring a relook at this & more CRR support
Yields on govt bonds harden
They moved up soon after RBI kept the repo rate on hold
Limited positive impact on margins of banks
Analysts also believe the scope for significant rate cuts in the current financial year is limited, as RBI continues to worry about inflation
Comments: Keki M Mistry
Caution and foresight