After having already cut CRR by 0.75 percentage points last week, bankers feel the Reserve Bank may not do much, especially with regard to reducing the interest rate, in its mid-quarterly review of monetary policy tomorrow.

RBI unlikely to cut key policy rate tomorrow: Bankers

Press Trust of India

The government today said the Reserve Bank of India (RBI) is not in favour of relaxing norms on loan restructuring for any specific sector, including textiles.

RBI not in favour of relaxing loan restructuring norms

Most of the largest banks passed their annual stress test, according to the Federal Reserve, in a conservative report card that underscored the recovery of the financial sector but called out a few laggards, including Citigroup.

Banks get high marks in Fed's stress test

Reuters 

Rates on short-term debt instruments inched closer to three-year high levels as liquidity tightened a day ahead of the advance tax payment deadline.

Certificates of deposit rates near 3-year high

Business Standard

The Reserve Bank of India will announce its mid-quarter review at 11 am today and the jury is out on whether the interest rate cycle will start reversing. While oil prices and uncertainty over fiscal consolidation may deter a rate cut, fall in core inflation and economic slowdown suggest the contrary.

RBI's Dilemma

Investment bankers have finally something to cheer about. At a time when most foreign banks and financial services firms are reducing their headcount, domestic financial institutions have chalked out aggressive expansion strategy and are expanding their investment banking teams with new recruits.

Investment bankers may ride hiring wave

The Reserve Bank of India (RBI) left interest rates unchanged on Thursday, citing concern over resurgent inflation risks, even as economic growth remains sluggish.

RBI holds rates, flags inflation risks

The Reserve Bank of India (RBI) left interest rates unchanged as expected on Thursday, underscoring its concern about inflation following the sudden spike in global oil prices even as economic growth has turned sluggish.

'RBI is not dovish as expected, it cautioned on inflation'

Expressing dissatisfaction over the RBI decision to keep interest rates unchanged, India Inc today said rate cuts were needed to make the industry invest more and drive economic growth.

India Inc unhappy with RBI move on unchanged rates

Nomura on Thursday said it now expects the Reserve Bank of India (RBI) to cut the repo rate by 75 basis points in 2012 compared with 100 basis points previously forecast.

Nomura trims RBI rate cut expectation to 75 bps

The RBI also left its key lending rate, the repo rate, unchanged at 8.5%. Consequently, the reverse repo rate too remains at 7.5%.

Timeline: Changes to CRR since 2008

&quot;A sum of Rs 12,000 crore has been provided in the Revised Estimates 2011-12. For capital infusion in PSBs to enable them to maintain a minimum Tier I CRAR at 8% as on March 31, 2012 and also to increase shareholding of the government of India in the PSBs to 58%,&quot; the Economic Survey 2011-12 said today.

To infuse Rs 12,000 cr in PSU banks this fiscal: Survey

Though Indian banks' exposure to the troubled euro zone is negligible, funding pressure could impact them, Economic Survey 2011-12 today said.

Banks may indirectly be affected by euro zone crisis: Survey

Investment banker Nomura expects the Reserve Bank to cut key policy rate by 0.75 percentage point, instead of 1 percentage point forecast earlier, in 2012 due to high crude oil prices.

RBI may cut key policy rate by 0.75% in 2012: Nomura

Leading bankers today termed the Reserve Bank's decision to keep all key policy rates unchanged as &quot;on expected lines&quot;.

RBI policy on expected lines, say bankers

The bank has already crossed Rs 2,700 crore this fiscal in terms of total business by the end of December and expecting a growth of more than 20 per cent in 2012-13, said SK Mahunta, Deputy General Manager, Syndicate Bank at the inauguration of the bank&rsquo;s 61st branch here recently. For providing banking services at the door step of the customers, the PSU bank is planning to open 21 more ATMs across the state this year. The bank also intends to open seven more branches by the end of this year and ten more branches next year over and above its network of 60 branches in the state, said Ravi Chaterjee, Executive Director of the bank. However, the bank has failed to achieve the stipulated Credit-Deposit (CD) ratio.

Syndicate bank aims 20% growth in state

India Inc has pinned hopes on the Union Budget for some relief and also steps to get out of an economic slowdown in 2012-13. But rating agencies warn that the next financial year (FY13) might not bring much comfort, as the slowdown might continue. The corporate rating downgrades might remain elevated in FY13, ratings agencies said.

More pain awaits corporate ratings in FY13

At a time when most banks have failed to convince the Reserve Bank of India (RBI) in allowing them to set up subsidiary companies, Federal Bank has revived its wholly-owned arm to expand its retail loan business.

Federal Bank revives arm to expand retail lending business

The Economic Survey said asset quality of banks improved in percentage terms in 2010-2011 from the previous year. But the improvement was due to write-offs of bad debts. &ldquo;The banking sector has written off almost 10 per cent of the outstanding gross non-performing (GNPA) assets at the end of March 2010, which helped in limiting their growth of gross non-performing loans,&rdquo; said the survey conducted by the finance ministry. The GNPAs increased in absolute terms in 2010-11 over the previous year, it added.

Debt write-offs aided asset quality improvement

Patience may well pay off for Kapil Wadhawan, chairman and managing director of Dewan Housing Finance (DHFL). After Britain&rsquo;s Ashmore Investment Managers walked out of their negotiations, the promoters of Milestone Capital have reached out to DHFL once again to buy them out from the fund. These negotiations had, in the past, fallen through on valuations.

Milestone re-approaches Dewan Housing after other suitors pull out

The World Bank has announced $4.3 billion financial aid to India through a new innovative and flexible financing arrangement to help the country fight poverty. This arrangement, while facilitating a $4.3 billion increase in support to India, is designed to maintain International Bank for Reconstruction and Development's (IBRD), which is its lending arm, net exposure within the limit of $17.5 billion established by it.

World Bank nod for $4.3 bn aid to India

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