Not too many in the market expected Reserve Bank of India (RBI) governor Raghuram Rajan to hike the policy rate in the third quarter review of monetary policy on Tuesday, 28 January. Most economists had said there would be no hike (42 of the 45 economists surveyed by Bloomberg expected a status quo), while bond dealers were divided on the outcome of the policy between a hike and a status quo. To that extent, Rajan surprised the markets by going for a quarter percentage point hike in the policy rate, raising it to 8%.
Three out of five bond dealers I spoke to over the weekend on the likely outcome of the Reserve Bank of India’s (RBI) 28 January quarterly monetary policy review expect no change in policy rates. One stuck his neck out and said there could be a rate cut, and another forecast a rate increase. Each has his own logic.
The key takeaway from the 130-page report of the Urjit Patel committee on changes in the Reserve Bank of India’s (RBI) monetary policy framework, put up on the central bank’s website on Tuesday, is inflation targeting. It does not talk about the so-called core inflation or non-food, non-oil, manufacturing inflation and wholesale inflation. The anchor will be the headline consumer price or retail inflation.
The Reserve Bank of India (RBI) deputy governor Anand Sinha retired last week. So, the Indian central bank had to distribute Sinha’s portfolio among three other deputy governors—K.C.
G. Gopalakrishna, the most senior among Reserve Bank of India’s (RBI’s) nine executive directors, seems to have lost in the race to become a deputy governor in the Indian central bank even as incumbent Anand Sinha retired last week. His colleagues B.
By January 2016, anywhere in India, one would need to walk just 15 minutes to access a kiosk to deposit or withdraw cash of any amount to and from one’s bank account and transfer balances from one account to another, in a secure environment, paying reasonable charges. The Nachiket Mor panel on financial inclusion has envisaged this scenario. An audacious dream, considering the fact that in 2011, in every 1,000 sq.
Following are the New Year resolutions never made by commercial bankers, regulators and other finance professionals in 2014: Usha Ananthasubramanian, chairman and managing director, Bharatiya Mahila Bank: I have a huge task in hand—I will have to expand the branch network, create customer base and disburse loans to women borrowers. We started with seven branches and 77 customers but we will make it big this year. Indeed, we will inspire women with entrepreneurial skills; we will train them in vocations like toy-making, driving tractors and mobile phone repairs.
Mumbai: C handa Kochhar, managing director and chief executive of India’s largest private lender, ICICI Bank Ltd, says it might take a year to kick-start capital investments. The recovery is going to be slow, but things will not deteriorate from the current level as the economy has bottomed out, Kochhar said in an interview on Friday. The banking industry will continue to see additions to bad and restructured assets, she said.