Page 16 - Interest Rates

Gold spot of bother: Little sparkle for financiers despite tailwinds

Increased competition, lower spreads, moderate growth are among hurdles to overcome

Inflation, rate hikes play market party poopers in FY23; smallcaps hit hard

The small-caps were hit on the chin with the S&P BSE Small-cap index slipping nearly 7 per cent thus far during in FY23, underperforming the S&P BSE Midcap and the BSE 500 indexes

At 8.15% for FY23, EPFO returns are second lowest in over 45 years

EPFO's return in 1977-78 was 8%. It has since been 8.25% or more; the peak was 12%, a rate that remained unchanged between 1989-90 and 1999-2000

EPFO fixes 8.15% interest rate on employees' provident fund for FY23

Fund paid 8.1% interest rate to subscribers in 2021-22, marking a four-decade low

EPFO marginally raises interest rate on PF deposits to 8.15% for FY23

Not enough to meet rising inflation, say some quarters; EPFO likely to distribute Rs 90,000 cr to members' accounts, on a total principal amount of Rs 11 trn

EPFO likely to decide rate of interest on EPF deposits for FY23 by Tuesday

The retirement fund body EPFO is likely to announce the rate of interest on employees' provident fund (EPF) deposits for 2022-23 at its two-day meeting beginning Monday. EPFO had lowered the interest on EPF for 2021-22 to an over four-decade low of 8.1 per cent for its about five crore subscribers, from 8.5 per cent in 2020-21 in March 2022. This was the lowest since 1977-78, when the EPF interest rate stood at 8 per cent. "The Employees' Provident Fund Organisation's (EPFO's) apex decision making body Central Board of Trustees (CBT) is likely to decide the rate of interest on EPF for 2022-23 at its two-day meeting beginning on Monday afternoon," a source said. Besides interest rate, the CBT will also discuss the annual accounts of the EPFO for 2022-23. The trustees will also deliberate on the action taken by the EPFO on the Supreme Court order for giving a four-month window to Employees' Pension Scheme 1995 subscribers to opt for higher pension. The EPFO has provided the facilit

EPFO board meet on Monday: Interest rate, higher pension top agenda

The meeting is also likely to focus on the steps to widen the social security organisation's coverage to embrace about 100 million workers and address the dip in its corpus

Powell's playbook

Fed is striving to maintain a fine balance

Bank of England raises interest rates again, sees inflation shock fading

BoE announces quarter-point rate hike to 4.25%; MPC says it expects inflation to fall faster

Rate transmission better in easing cycle than tightening period

Experts said, generally, in an easing cycle banks tend to reduce the interest rates on deposits faster than on loans to protect their margins

Fixed deposit interest rates to go up again? RBI hits at another hike

In the bulletin, the RBI said that the Indian economy is unlikely to face any major repercussions from the ongoing global financial turmoil

Inflows into NRI deposits more than double in April 2022-January 2023

Inflows into NRI deposits more than double in April 2022-January 2023

Will the global economy bend or break?

What's different this time is that global financial stress - which has its genesis in four policy choices made in recent years - is juxtaposed with a more resilient real economy

Lesson for India from the Silicon Valley Bank collapse

The rules of the games are not the same on the US and Indian banking turfs but if risks are mispriced, the fallout could be similar

OECD raises India's FY24 growth forecast by 20 basis points to 5.9%

OECD expects India's gross domestic product (GDP) to grow at 6.9 per cent in FY23 against 7 per cent estimated by the Central Statistical Organisation

Expect India's GDP to moderate to 6% in FY24: CRISIL MD & CEO Amish Mehta

Amish Mehta discusses the factors behind this downgrade and road ahead for the Indian economy

This Chris Wood owned stock hit a 52-week low. What's worrying the Street?

In the last few sessions, the stock of Mukesh Ambani-controlled Reliance Industries (RIL), hit its 52-week low level of Rs 2269.75, and has been one of the worst performers among the Sensex pack

Can a Fed rate hike slowdown trigger global equity markets rally?

Only if more skeletons don't emerge from the closet

Bank of Maharashtra cuts home loan rate to 8.4% from existing 8.6%

State-owned Bank of Maharashtra (BoM) on Sunday announced a reduction in the interest rate on home loans to 8.4 per cent from the existing 8.6 per cent. The new rate is effective from March 13, 2023, BoM said in a statement. The home loan at 8.4 per cent makes it one of the lowest in the banking sector. Besides, it said, the bank has also a special rate of interest (ROI) for defence personnel, including paramilitary forces, benefiting salaried and pensioner categories for home loans. BoM has already waived processing fees for its gold, home and car loans under the festive offer, the lender said. By introducing this offer, it said, BoM is offering the most lucrative ROI with added benefits on its array of products, benefiting customers availing them. Last week, public sector lender Bank of Baroda slashed its home loan interest rates by 40 basis points (bps) to 8.5 per cent. Further, BoB also reduced its MSME loan interest rates starting at 8.4 per cent. Both offers were effectiv

Shifting expectations

Markets are preparing for higher US interest rates