Page 12 - Rbi Monetary Policy

RBI harmonises provisioning norms for UBCs irrespective of their tier

The Reserve Bank on Monday harmonised the provisioning norms for standard assets applicable to all categories of urban cooperative banks (UCBs). In December last year, the RBI had categorised UCBs into four tiers -- tier 1, 2, 3 and 4 -- for regulatory purposes. Prior to that, such banks fell only in tier 1 and tier 2 categories. "On a review, it has been decided to harmonise the provisioning norms for standard assets applicable to all categories of UCBs, irrespective of their tier in the revised framework," the central bank said in a circular. Direct advances to agriculture and SME sectors which are standard, would attract a uniform provisioning requirement of 0.25 per cent of the funded outstanding on a portfolio basis to all categories of UCBs under the revised framework. Advances to commercial real estate (CRE) sector which are standard shall attract a uniform provisioning requirement of 1 per cent of the funded outstanding on a portfolio basis. In case of Commercial Real ...

RBI paper sees enough signs of firming up disinflationary trends

Defending the surprise unanimous pause in the April policy after a steep 250 bps hikes in six consecutive steps since May 2022, an RBI paper sees "enough early signs of disinflation firming up into a central tendency" -- meaning going forward, more monetary policy actions may not be warranted. According to a paper by Michael Debabrata Patra -- the deputy governor heading the monetary policy department and also a member of the MPC -- and his department colleagues Joice John and Asish Thomas George, persistence and inflationary trends are on the decline, suggesting that inflation expectations are slowly getting re-anchored as policy actions and stance are gaining traction and have started showing demand restraining influences. Blaming the high inflation of the recent past, especially in the first half of the past fiscal, to the succession of supply shocks first arising from the pandemic and then the Russian invasion of Ukraine in late February 2022, the paper, which is the opinion of .

RBI cautions banks on unsecured lending amid rising interest rates

The RBI, according to bankers, is concerned that the sharp rise in interest rates could trigger defaults and pose more risk. The RBI did not reply to an email requesting comment

RBI monetary policy review: What led to the interest rate pause?

Real GDP growth for FY23 is expected at 7%, indicating resilient economic activity

RBI proposes expanding UPI digital payments system to allow credit

UPI is an instant real-time payments system that allows users to transfer money across multiple banks without disclosing bank account details

LIVE: We will work towards inflation target of 4%, says RBI Governor

Catch all the updates of the live address by Reserve Bank of India's Governor Shaktikanta Das on the decision by the Monetary Policy Committee on repo rate

No change: MPC presses 'pause' after hiking rate by 250 bps since May 2022

RBI governor makes it clear that if required, MPC could hike rates in future meetings

Present CPI aggregation method raises issues for monetary policy: RBI paper

Rebasing CPI necessary to make index relevant to present consumption patterns

Inflation expected to come down over the year: RBI MPC member Ashima Goyal

Inflation is expected to come down over the year, RBI Monetary Policy Committee (MPC) member Ashima Goyal said on Sunday, asserting that the government's supply-side action coordinated with a flexible inflation-targeting regime has kept the rate of price rise lower than that in other countries. Goyal said that India has successfully dealt with 'pluri-shocks' over the past three years, showing considerable resilience. "Inflation rates are expected to come down over the year. "Government supply-side action coordinated with a flexible inflation targeting regime has kept Indian inflation rates lower than other countries and our own past averages even in this period of major adverse external supply shocks," she told PTI in a telephonic interview. She was asked whether high inflation become the norm in India. "Since nominal policy rates rise with inflation to maintain an expected real positive rate under inflation targeting this prevents demand over-heating and anchors inflation ...

How to approach IT stocks amid tighter monetary policy, recession fears?

According to Jefferies, analysts' consensus revenue growth estimates for CY24 have been lowered for top clients of all IT firms, barring Wipro, with the highest cuts for HCL Tech and Tech Mahindra

Core inflation must ease towards 4%, says RBI MPC's Shashanka Bhide

"High core inflation also points to the cost-price nexus in the economy more sharply," Bhide said, adding that stabilizing core prices was necessary for manufacturing firms to expand their capacities

RBI MPC minutes show deepening concerns over inflation pressures

Disinflation can't rely only on food, must be firm in inflation fight, says RBI Das

How have the home loan EMIs changed since RBI's repo rate hike in May 2022?

The deposit and lending rates are directly proportional to the repo rate, and they generally go up if the benchmark rate is hiked

MPC's 11.7% nominal GDP growth projection way higher than Budget estimate

If MPC's projections hold good, various figures in the Budget would change when the revised estimates are worked out

Prepay at least 5% of your home loan each year to tackle rising rates

With rates cuts unlikely anytime soon, debt mutual fund investors should avoid duration calls

Adani Enterprises, RBI policy takes Nifty above 17,850, Sensex leaps 378pts

CLOSING BELL: Adani Enterprises surged 23 per cent, while Adani Ports zoomed 9 per cent, leading the winners' list on the Nifty50

RBI Monetary Policy: Repo rate up by 25 bps, FY23 inflation pegged at 6.5%

RBI MPC: Shaktikanta Das said that the repo rate hike of 25 bps is considered appropriate at this juncture but the monetary policy will remain agile to inflation

RBI MPC increases repo rate by 25 bps, pegs FY24 inflation at 5.3%

Need to see decisive decline in inflation, core inflation still sticky, says RBI governor

Rupee eyes RBI policy decision, weighs US Federal Reserve's comments

The non-deliverable forwards indicate an opening of 82.68-82.74 for the rupee, compared with 82.70 in the previous session

RBI MPC: When and where to watch policy announcement by Shaktikanta Das

RBI monetary policy: In December, Das had said that despite consecutive rate hikes, core inflation had continued to remain 'sticky'