ICICI Bank defers IPO for I-Sec following clarification.&nbsp;In a move that could significantly ease bank investment in their non-banking activities such as insurance and financial services, the Reserve Bank of India (RBI) has exempted their joint ventures and overseas subsidiaries from an investment limit on affiliates.

RBI eases norms for bank subsidiaries

Business Standard

German banking biggie, Deutsche Bank plans to invest over $1 billion (Rs 4,000 crore) in Indian real estate and infrastructure sectors over three years.

Deutsche Bank plans to invest Rs 4K cr

The Reserve Bank of India (RBI) today said the steps initiated by the government in recent weeks are expected to help control inflation and inflationary expectations.

Govt, RBI steps to tame inflation

Banks are shying away from the unsecured lending market, thanks to the rising instances of defaults and recovery woes.

Bankers choose to stay away from unsecured loans

The Reserve Bank of India (RBI) today said the procedural reforms aimed at widening the tax base, improving efficiency in tax collection and providing certain concessions for investment, which have seen a steep rise in the tax mop-up, are expected to continue during the current financial year.

Tax reforms to continue

ICICI Bank chief executive officer K V Kamath today said the bank would analyse the situation coming out of the Reserve Bank of India's move to raise cash reserve ratio (CRR) by 50 basis points.

'Wait and watch' says K V Kamath on CRR hike

The Reserve Bank of India, in its annual policy statement for 2008-09, has said that it will introduce currency futures in eligible exchanges in consultation with the capital markets regulator, Securities and Exchange Board of India (Sebi).

Currency futures framework by May end: RBI

In a move to bring the special purpose vehicles (SPVs) and trusts set up by banks to carry out activities such as asset management, facilitating securitisation, and investments in other entities under supervision, the Reserve Bank of India (RBI) has proposed, today in its annual policy statement, to set up a working group to study and recommend a suitable supervisory framework for these activities of banks.

Working Group for SPVs supervision: RBI

Interest rates are not expected to go up immediately even as the Reserve Bank of India (RBI) today announced a fresh 25-basis-point hike in the cash reserve ratio (CRR), the amount of cash banks must keep with the central bank, in its Annual Policy Statement for 2008-09.

Lending rates may be unchanged

Prime Minister Manmohan Singh said early on Tuesday that tackling inflation is an immediate concern as it had "consequences" for growth.

Dousing the inflation fire

Banks now need to set aside less capital for loans of up to Rs 30 lakh; they should be in a position to pass on the savings to customers in the form of lower rates.

Home loans may become cheaper

Overall Assessment 

<LI>While aggregate supply capacities expanded and alleviated domestic macro-imbalances in 2007-08 to some extent, available indicators suggest that economic activity in India currently continues to be mainly demand-driven.

Monetary Policy In 2 Minutes

Reserve Bank of India (RBI) has permitted banks to classify 100 per cent of the credit outstanding under general credit card (GCC) and overdrafts, up to Rs.

General credit card loans to be part of priority sector

Banks exposure to the commodity sector has come under the Reserve Bank of India (RBI) glare.

Commodity sector under RBI's lens

&nbsp;Time period for repatriation of export proceeds increased to a year. 
&nbsp;The credit policy offers exporters greater flexibility in realising and repatriating their export proceeds and addresses some of their long-standing demands.

Life will be easier for exporters now

O P Bhatt Chairman, State Bank of India 
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BS JURY

&nbsp;Refiners can hedge up to 50 per cent of imports. 
&nbsp;The RBI has permitted domestic crude oil refining companies to hedge their commodity price risk on domestic purchase of crude oil and sale of petroleum products on the basis of underlying contracts, which are linked to international prices on overseas commodity exchanges/markets.

Hedging easier for oil companies

&nbsp;Infrastructure companies can now hope to borrow more from commercial banks. 
&nbsp;Taking note of the usual delays an infrastructure project is exposed to, the RBI has relaxed the norm for classifying an infrastructure project as a sub-standard asset by banks to two years from date of completion, from one year earlier.

Easier norms for loans taken for projects

&nbsp;Fresh norms may be introduced for derivatives exposures of banks. 
&nbsp;Reserve Bank of India, in its annual policy for 2008-09, has said that it will review the existing guidelines for banks' off-balance-sheet exposures such as derivative products.

Exposure norms for off-balance sheets of banks under review

Rashesh Shah, Chairman, Edelweiss Group 
In its annual policy announcement, the RBI has hiked the CRR by 25bps and has left other policy rates unchanged.

Good policy, but uncertainty to continue

With banks increasing exposure to systemically important Non Banking Finance Companies (NBFCs), the RBI proposes to review the prudential regulations for the latter.

NBFCs under RBI`s lens

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