Page 39 - Reserve Bank Of India

India's foreign exchange reserves rise by $8 billion to six-month high

The reserves had hit a record high of $705 billion in September 2024

RBI imposes penalty on Indian Bank, Mahindra & Mahindra Financial Services

The Reserve Bank of India (RBI) on Friday said it has imposed penalties on Indian Bank and Mahindra & Mahindra Financial Services for certain deficiencies in regulatory compliance. A penalty of Rs 1.61 crore has been imposed on Indian Bank for contravention of certain provisions of Banking Regulation Act and non-compliance with some directions on 'Interest Rate on Advances', 'Kisan Credit Card (KCC) Scheme' and 'Lending to Micro, Small and Medium Enterprises (MSME) Sector'. In another release, the RBI slapped a fine of Rs 71.30 lakh on Mahindra & Mahindra Financial Services Limited for non-compliance with certain provisions of the 'Non-Banking Financial Company - Systemically Important Non-Deposit taking Company and Deposit taking Company (Reserve Bank) Directions, 2016' and Know Your Customer Directions. In both cases, the central bank said penalties are based on deficiencies in regulatory compliance and not intended to pronounce upon the validity of any transaction or ...

RBI cancels licence of Imperial Urban Co-op Bank over inadequate liquidity

The Reserve Bank of India on Friday said it has cancelled the licence of Jalandhar-based Imperial Urban Co-operative Bank as the lender does not have adequate capital and earning prospects. The Registrar of Cooperative Societies, Government of Punjab has also been requested to issue an order for winding up of the bank and appoint a liquidator for the bank. On liquidation, every depositor would be entitled to receive deposit insurance claim amount of his/her deposits up to Rs 5 lakh from Deposit Insurance and Credit Guarantee Corporation (DICGC). As per the data submitted by the bank, RBI said 97.79 per cent of the depositors are entitled to receive the full amount of their deposits from DICGC. As on January 31, 2025 DICGC has already paid Rs 5.41 crore of the total insured deposits. Giving reasons for cancellation of the licence of Imperial Urban Co-operative Bank, the RBI said the continuance of the bank is prejudicial to the interests of its depositors. "The bank with its prese

RBI's cash infusion to aid more rally in short bonds, says Nomura

The strategist expects the RBI to buy bonds worth Rs 3 trillion in the current financial year, with a bias towards more action

TMB to continue growing gold loan business in FY26, says MD & CEO Nair

The bank's total gold loan portfolio as of March 31 is a little over Rs 18,000 crore

Net ECB inflows more than double in Apr-Feb; highest in at least 5 years

The net inflows were $1.9 billion in February 2025, up from $1.3 billion in February 2024

RBI MPC minutes: Members see need to support growth on benign inflation

The MPC decided to cut the policy repo rate by 25 basis points earlier this month, after reducing the rate by a similar magnitude in the February meeting

Coming soon: A new system to integrate netbanking, payment aggregators

This new switch being developed by NPCI subsidiary NPCI Bharat BillPay Limited (NBBL) will not leverage any existing payments system tech but will focus on creating a new system altogether

RBI provides export relaxations through warehouses in Bharat Mart in UAE

The Reserve Bank on Wednesday relaxed norms to facilitate export through warehouses in 'Bharat Mart', a multimodal logistics network-based marketplace in the United Arab Emirates, that will provide Indian traders, exporters, and manufacturers access to the markets around the world. In a circular, the RBI said banks may allow exporters to realise and repatriate full export value of goods exported to 'Bharat Mart' within nine months from the date of sale of the goods from the warehouse. Further, banks have been asked to allow opening/hiring of a warehouse in 'Bharat Mart' by an Indian exporter with a valid importer exporter code without any pre-conditions, after verifying the reasonableness of the same. It also apply on remittances by the Indian exporter for initial as well as recurring expenses for setup and continuing business operations of its offices.

India to remain fastest growing even as FY26 GDP forecast cut to 6.2-6.7%

Amid the ongoing tariff war and uncertainty over the US trade policy, international agencies have cut India's growth projections by up to 0.5 per cent for the current fiscal, though the country will continue to be the fastest growing major economy. India is expected to grow in the range of 6.2-6.7 per cent in the current fiscal, despite the possibility of the US economy slipping into recession, China's growth taking a heavy beating and globally, countries seeing slowing economic activity. The International Monetary Fund (IMF) and the World Bank have slashed India's growth projections for 2025-26 to 6.2 per cent and 6.3 per cent, respectively, citing uncertain global environment and high trade tensions. In January, the IMF and the World Bank had projected India to grow at 6.5 per cent and 6.7, respectively, in the current fiscal. The Indian economy is estimated to have grown 6.5 per cent in the last fiscal. As per the projections by the Reserve Bank of India, the country's economy

Govt extends tenure of RBI Deputy Governor T Rabi Sankar by one year

The government has extended the term of RBI Deputy Governor T Rabi Sankar for another one year till May 2026, according to sources. This is the second one-year extension granted to him. The Appointments Committee of the Cabinet (ACC) has approved the re-appointment of Rao for a period of one year with effect from May 3, 2025, or until further orders, sources said quoting a government order dated April 21. The ACC is headed by Prime Minister Narendra Modi. He was appointed as RBI Deputy Governor in May 2021 for an initial period of three years. In his previous role as Executive Director, Sankar was looking after the Department of Payment and Settlement Systems, the Department of Information Technology, Fintech and the Risk Monitoring Department in RBI. Sankar has also in the past served as an IMF Consultant (2005-11) towards developing government bond markets and debt management. Outside his career at the RBI, Sankar holds the role of Chairman at Indian Financial Technology and A

RBI's new liquidity norm to free up $35 bn, likely boosting credit growth

India's banking system, which has an estimated HQLA of almost ₹45 trillion to ₹50 trillion, could have an additional ₹2.7 trillion to ₹3 trillion in lendable resources

Brokerages pick bank stocks that will benefit from RBI LCR guidelines

RBI LCR norms: The guidelines, as per analysts at CLSA, could potentially infuse liquidity worth ₹2.5 trillion in the system, which is "modest but sentimentally positive"

RIL buys up to ₹10,000 crore govt bonds as market expects softer yields

According to market participants, RIL may have bought between Rs 7,000 crore and Rs 10,000 crore worth of government bonds during the second week of April

RBI allows minors above 10 years to open bank accounts independently

Minors of any age can open and operate savings and term deposit accounts through their natural or legal guardian

RBI mandates 2.5% additional run-off factor on digital retail deposits

Final norms will come into effect from April 1, 2026

BluSmart users' wallet woes: 'Closed loop' model may pose refund issues

Closed loop prepaid payment instruments (PPIs), such as the BluSmart wallet, enable users to only purchase services from the ride-hailing entity alone

RBI directs banks to increase run-off rates for digital deposits

The net impact of these measures will improve banks' liquidity coverage ratio as on December-end by around 6 percentage points, the Reserve Bank of India said in a release

RBI's draft gold loan norms: Compliance cost may rise for lenders

Banks, NBFCs need to adopt standardised documentation across all branches

CD ratio cut won't be as steep in FY26: HDFC Bank MD & CEO Jagdishan

CD ratio of HDFC Bank to return to pre-merger levels (85-90 per cent) in FY27