Page 106 - Rbi

RBI Monetary Policy meet: RBI keeps repo rate unchanged

The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) on August 8 decided to keep the repo rate unchanged at 6.5% for the ninth consecutive policy review, with a majority vote of 4-2.

RBI MPC highlights: Deposit-credit divergence could lead to liquidity management issue, says Das

RBI Monetary Policy Meeting 2024: Catch all the latest highlights on RBI's monetary policy announcements here

RBI guv warns on deposit growth, urges banks to innovate fund mobilisation

Concerned over household savings moving towards alternative investment avenues, RBI Governor Shaktikanta Das on Thursday asked banks to mobilise deposits through innovative products and services by leveraging their vast branch network. "Banks are taking greater recourse to short-term non-retail deposits and other instruments of liability to meet the incremental credit demand. This, as I emphasised elsewhere, may potentially expose the banking system to structural liquidity issues," he said. Observing that alternative investment avenues are becoming more attractive to retail customers, he said, as a result banks are facing challenges on the funding front with deposits trailing loan growth. Banks, he said, need to focus more on mobilisation of household financial savings through innovative products and service offerings and by leveraging fully their vast branch network. Expressing concern over high growth in 'top-up' housing loans, Das said the regulatory prescriptions relating to lo

RBI to set up repository of lending apps to check unauthorised players

The Reserve Bank on Thursday proposed to create a public repository of digital lending apps in a bid to address the problems arising from mushrooming unauthorised players in the segment. In another significant move, the central bank proposed to introduce a facility of "Delegated Payments" in UPI to enable an individual to allow another individual to make UPI transactions. In a post-monetary policy review address, RBI Governor Shaktikanta Das said the central bank has taken several measures for the orderly development of the digital lending ecosystem in India. In a bid to address the problems arising from unauthorised digital lending apps (DLAs), he said the RBI proposes to create a public repository of DLAs deployed by its regulated entities. "The regulated entities (REs) will report and update information about their DLAs in this repository. This measure will help the consumers to identify the unauthorised lending apps," Das said. On introduction of 'Delegated Payments' through U

RBI's monetary policy committee keeps repo rate unchanged at 6.5%

Monetary policy stance retained at 'withdrawal of accommodation' to aid the MPC's focus on bringing inflation towards the target

Rupee trades in narrow range against dollar ahead of RBI's MPC outcome

The rupee witnessed range-bound trading in initial deals against the US dollar on Thursday, ahead of the Reserve Bank of India's monetary policy outcome. Market participants are awaiting cues from the central bank's observation of recent events and its observations on food inflation which continues to remain high. Foreign fund outflows and gains in Brent crude price further dented investor sentiments. At the interbank foreign exchange, the rupee opened at 83.94 against the greenback, then touched 83.93, registering a rise of 2 paise over its previous closing price. On Wednesday, the rupee consolidated in a narrow range and settled for the day lower by 3 paise at 83.95 against US dollar. "Indian rupee was again sold off as it closed at 83.95 on Wednesday very close to the psychologically important level of 84.00. Market will await the monetary policy before checking on RBI allowing the rupee to fall further as it protects 83.96," said Anil Kumar Bhansali, Head of Treasury and Execu

India's July inflation 'dipped' below RBI target, high base effect at play

Rising food costs, especially for vegetables, and hikes in telecom tariffs last month were offset by a higher base from July last year

RBI expected to hold rates, markets seek hints on possible future cuts

Investors are hopeful the RBI will soften its stance on inflation following the recent souring of global market sentiment

RBI to hold rates, may sound confident of reaching inflation target: Report

The Reserve Bank is expected to hold its key rates at the forthcoming policy review, but may sound more confident about reaching its 4 per cent inflation objective, a foreign brokerage said on Wednesday. The rate-setting panel may prefer to stick to the 'withdrawal of accommodation' stance of the monetary policy, HSBC said in the report on the eve of the RBI MPC's decision. "While it's a close call, we also think the policy stance will remain unchanged, even as the RBI sounds more confident than before about getting to its 4 per cent inflation target," it said, listing out the aspects it will watch out for in the document or the resolution. These include any softness in tone around increased confidence of getting to 4 per cent inflation durably, or a change in growth or inflation forecasts, and, further commentary around the use of OMO (open market operations) sales to take out excess liquidity. In the background of another member dissenting at the last policy review, the brokerage

July inflation dipped below RBI's target, high base effect at play: Poll

The Aug. 2-7 poll of 36 economists forecast the consumer price index rose at an annual rate of 3.65 per cent last month, down sharply from 5.08 per cent in June

RBI asks top banks to refrain from large trading bets against rupee

The Indian rupee turned into the worst-performing Asian currency over the last month, pressured by the unwinding of trades that used the Chinese yuan to fund long bets on the local currency

RBI's firm grip keeps rupee outlook unchanged, limits fall to 0.25%: Poll

That trend was unlikely to change anytime soon as analysts in an Aug. 1-6 poll have barely changed their forecasts from a poll in July

Govt taking initiatives to expand UPI's global reach: MoS Chaudhary in RS

Minister of State for Finance Pankaj Chaudhary on Tuesday said the government and RBI have been taking various initiatives for expanding the global reach of UPI, which is currently available in seven nations. RBI's Payments Vision Document 2025 has also outlined expanding the global outreach of UPI and RuPay cards as one of the key objectives under the internationalisation pillar, he said in a written reply in the Rajya Sabha. "The government along with RBI has been taking various initiatives from time to time for expanding the global outreach of UPI. RBI has been collaborating with various relevant stakeholders (central banks of various countries, Bank of International Settlements, World Bank and other institutions) for expanding the outreach of UPI," he said. With these concerted efforts, he said, UPI is live in seven countries--Bhutan, Singapore, the UAE, France, Mauritius, Sri Lanka and Nepal. Replying to another question, Chaudhary said, the government, Reserve Bank of India .

RBI begins discussions on monetary policy amid no rate change expectations

Reserve Bank's rate-setting panel started its three-day deliberations for the next set of bi-monthly monetary policy amid expectations of no change in benchmark interest rate in view of concerns on inflation and economic growth remaining steady. The decision of the RBI Governor Shaktikanta Das-headed six-member Monetary Policy Committee (MPC) will be announced on Thursday. The MPC may also refrain from rate cut as economic growth is picking up, notwithstanding the elevated interest rate of 6.5 per cent (repo rate), said experts. Retail inflation based on consumer price index (CPI) increased to a four-month high of 5.08 per cent in June as food items, including vegetables became dearer. The government will release the data for July later this month. "RBI is likely to pause as food price movements currently is imparting a positive bias to RBI 4.5 per cent projection...likely prospects of an excess rainfall in August and September could also have a debilitating impact on food prices,"

RBI to lower rates by 100 bps by March 2026, as inflation eases: BOA

The rate easing cycle in Asia's third-largest economy should begin with a 25-basis-point cut in December, Jain said, mirroring the market view

Food inflation target evades RBI MPC members as panel rejig looms

The six-member monetary policy committee (MPC), which includes three central bank officials and three external members, is recast every four years when the govt appoints a new set of external members

RBI monetary policy: The tide is turning

The RBI's monetary policy should be driven by domestic factors and not the Fed

Reasoning for status quo

MPC cannot ignore food inflation

RBI moots certain regulatory principles for models of credit management

The model should have the necessary scalability and flexibility to meet the needs of dynamic business conditions

Banking system liquidity improves to touch 1-yr high; overnight rates ease

According to Bloomberg data, the weighted average call rate also declined 5 bps on Monday to 6.44%