Page 7 - Reserve Bank Of India

RBI sets compliance blueprint for AI-driven finance under draft framework

The draft framework requires regulated entities to establish board-approved model risk management systems covering all models, including AI and machine learning applications

Energy stress, weak monsoon to slow India's growth to 6.6% in FY27: S&P

The rating agency expects higher inflation, a possible RBI rate hike and slower economic growth amid energy market disruptions and below-normal monsoon conditions

Currency questions: Higher costs of incentives for NRIs must be debated

RBI's push to attract FCNR deposits may ease external pressures, but improving conditions raise questions over the costs, risks and necessity of the incentives

RBI withdraws concentration-risk exemptions for govt-owned NBFCs

The revised framework mandates annual identification of Upper Layer NBFCs and brings government-owned entities under the same exposure norms as their regulatory peers

Premature to talk about rate hikes, says RBI Governor Sanjay Malhotra

Central bank chief says RBI is monitoring the inflation impact of higher crude oil prices, while highlighting India's stronger external position and resilient banking system

Bandhan Bank raises FD rates by up to 20 bps on select deposit tenors

The lender has increased rates on fixed deposits in the two- to five-year buckets as banks intensify efforts to mobilise deposits amid widening credit-deposit gaps

State lenders plan $2 bn overseas borrowing under RBI concessional route

Small Industries Development Bank of India is in talks with the International Finance Corp. to raise as much as $1 billion in five-year and seven-year tenors

Building buffers: Forex inflows should be used to build up reserves

Falling crude prices and US-Iran talks have eased pressure on the rupee, but RBI may continue building forex buffers amid global and domestic uncertainties

RBI aligns prudential norms for UPI-linked credit lines with base loans

Central bank says prudential treatment of payment-linked credit facilities will depend on the nature of the underlying loan, irrespective of delivery mode

RBI eases MSME onboarding on TReDS, allows guarantee cover for financiers

Central bank consolidates TReDS regulations, eases MSME access and permits financiers to obtain credit guarantee cover on platform exposures

RBI injects ₹1.41 trn liquidity in banking system via 7-day VRR auction

The Reserve Bank of India (RBI) on Tuesday injected Rs 1,41,171 crore transient liquidity into the banking system through a seven-day variable rate repo (VRR) auction. The funds were infused at a cut-off and weighted average rate of 5.26 per cent, according to the RBI's release. This was done after the liquidity in the banking system turned in to deficit of Rs 19,971.89 crore as on June 22, from a surplus of Rs 30,685.11 crore as on June 21. Experts attributed the tightening of liquidity to the outflows on account of goods and services tax (GST) payments from the banking system. The liquidity entering the deficit territory has put pressure on the overnight money market rates, with weighted average call money rate trading at 5.43 per cent, which is 0.18 per cent above the RBI's repo rate. Similarly, the tri-party repo (treps) were trading 0.05-0.07 per cent over the repo rate. In the last few days, the central bank has been infusing transient liquidity into the banking system as i

RBI defended rupee with $8.94 billion net dollar sale in April: Bulletin

The central bank remained a net seller in the spot forex market as the rupee came under pressure from geopolitical tensions and persistent foreign outflows

Bank credit outpaced non-bank funding to commercial sector: RBI data

Non-food bank credit rose 17.4 per cent year-on-year in May, outpacing growth in non-bank funding and lifting total credit to the commercial sector

Banks must tap digital rails to deepen MSME credit access: RBI Governor

Sanjay Malhotra says financial institutions should leverage ULI, Account Aggregator and other digital platforms to build a more inclusive MSME credit ecosystem

For sophisticated financial inclusion: Looking beyond distribution, access

The rising proportion of citizens interacting across the financial landscape also bears witness to growing financial inclusion

Alternatives to intervention: The case for freer markets, fewer distortions

Stepping in may address immediate pressures, but fewer distortions and freer markets could deliver more durable outcomes

Foreign currency inflows to support domestic liquidity: RBI's MPC member

The growth-inflation outlook remains clouded despite easing West Asia tensions, with risks from food prices and supply chains, says Bhattacharya

Liquidity view fuels CRR hike possibility as RBI moves lift inflow outlook

Expectations of stronger forex inflows have sparked talk of an RBI CRR hike if surplus liquidity builds sharply by August

Markets hope for weekly update of FCNR (B) inflows under swap scheme

Market participants expect the RBI to disclose FCNR(B) inflow data regularly after asking banks to submit daily figures under the special concessional scheme

Shifting composition: Dependence on services exports is increasing

Services exports are driving India's trade growth and resilience, but stronger manufacturing output remains essential for broad-based job creation and sustainable growth