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RBI will have to raise rates, not anti-national to do so: Former RBI governor Raghuram Rajan

Taking a dig at his critics in a social media post, former RBI governor Raghuram Rajan said that bureaucrats and politicians need to realise that raising policy rates does not amount to anti-national activity that benefits foreign investors. As inflation is on the rise, Rajan is of the view that India’s central bank would have …

RBI’s new guidelines for credit, debit cards: NBFCs can now issue cards, and other key things to know

The Reserve Bank of India has published master directions to the banks and NBFCs (Non Banking Financial Corporations) for issuance of credit and debit cards this year. These guidelines will be effective from July 1, 2022, the RBI said, adding that the guidelines apply to all the banks excluding payment banks, state co-operative banks, and …

Will ensure abundant liquidity for credit system to function normally, RBI Governor says

On the banking sector, he said public and private lenders have raised additional capital over the last few quarters. Reserve Bank of India will ensure abundant liquidity in the market for the credit system to function normally, Governor Shaktikanta Das said on Monday. He emphasised that even as RBI is pulling out liquidity given over …

RBI allows microfinance lenders to fix interest rates on loan

Each regulated entity (RE) should put in place a board-approved policy regarding pricing of microfinance loans, said the ‘Master Direction – Reserve Bank of India (Regulatory Framework for Microfinance Loans) Directions, 2022’. The Reserve Bank of India (RBI) on Monday allowed microfinance lenders to fix interest rates on loans with a rider that those should …

Reserve Bank asks NBFCs to implement core financial services solution by September 2025

In a circular, Reserve Bank of India (RBI) said it has been decided that NBFCs – Middle Layer and NBFCs – Upper Layer with 10 and more ‘fixed point service delivery units’ as on October 1, 2022 shall be mandatorily required to implement CFSS. Reserve Bank on Wednesday asked certain class of Non-Banking Financial Companies …

RBI likely to leave policy rates unchanged till April: Report

The key repo rate has been at 4 per cent since May 2020, an all-time low, even though bond yields have been heading north for many months now. Striking a different note from its peers, US brokerage Bank of America Securities has maintained that the Reserve Bank will leave rates unchanged next week, recognising growth-focused …

India gears up for a Sovereign Digital Mint, but these regulatory challenges must be kept in mind

The importance of an enabling legal framework for issuing CBDCs cannot be overstated in realising this policy objective. Curiously, however, policymakers have seemingly sidestepped a key regulatory concern for CBDC issuance. By KS Roshan Menon It is increasingly likely that India will soon roll out a Digital Rupee. The early groundwork for trialling an indigenous …

RBI expresses doubts over Centre meeting fiscal deficit targets

Total expenditure grew 9.9 per cent, the noteworthy feature being expansion of capital outlay by 28.3 per cent, led by roads and highways, notes the report. The Reserve Bank on Wednesday expressed doubts about the government’s ability to contain fiscal deficit at the budgeted 6.8 per cent this fiscal year after it moved the second …

Bank Holidays January 2022: Banks to remain shut for up to 16 days in January; check list here

List of Bank Holidays in January 2022, Bank Holidays January 2022 in India: Banks in India will remain closed for up to 16 days in January 2022, including second and fourth Saturdays, and Sundays. Bank Holidays in January 2022 in India: Banks in India will remain closed for up to 16 days in January 2022, …