RBI hints at normalization through secondary sale of government securities

MUMBAI: The Reserve Bank of India has sold government securities worth ₹1,435 crore cumulatively in the secondary market in the last two weeks, which could be a clear sign of normalization of liquidity. This central bank may have resorted to secondary market bond sales to cut excess liquidity from the banking system. After some time … Read more

Earnings improving, deleveraging, wider ownership in equities: ICICI Bank KB Prasanna

Over the past few weeks, Indian equity markets have seen severe volatility, with many questioning whether a much-discussed correction in rich valuations was finally materializing. Benchmark indices – Nifty and Sensex – rallied up to 8 per cent from higher levels and termed the latest strain of Covid-19 as ‘Omicron’, which has done little to … Read more

RBI-backed CBDC likely to be included in crypto bill: Officials

New Delhi: A top government official told ET that the proposal for a Central Bank Digital Currency (CBDC) backed by the country’s banking regulator may be included in the upcoming bill. Describing the Centre’s bill as a response to the central bank’s concerns about macro-economic stability, an official familiar with discussions on the upcoming legislation … Read more

Resurgence of Covid will force RBI to keep monetary tap open, shows bond market

New Delhi: Central banks across the world have certainly cut their work. At a time when monetary officials were preparing the ground to reverse the ultra-lax policies adopted in response to the coronavirus crisis, the virus appears to have taken new and potentially more dangerous incarnations. Global bond markets took a 360-degree turn on Thursday, … Read more

RBI silent on allowing corporate entities to own banks, allows raising minimum holdings

MUMBAI: The Reserve Bank of India on Friday accepted most of the recommendations made by the Internal Working Group on review of ownership guidelines and corporate structure of private sector banks. The central bank has accepted 21 of the 33 recommendations made by the internal panel with some modifications. However, the central bank has put … Read more

RBI accepts Ricoh of 21 out of 33 working group on private banks

The Reserve Bank of India has barred industrial houses from entering full-fledged commercial banking, even as it accepted 21 out of 33 recommendations of an internal working group, allowing the Tatas and Birlas to bank on their vast business empires. Hopes of joining have been dashed. While it did not explicitly say whether the bank’s … Read more

Crypto-focused funds switch strategy amid talk of trading ban

Mumbai: Some blockchain and crypto-focused funds are rethinking their investment strategy amid speculation that trading in virtual currencies will be banned. They are planning contingencies to ensure that they do not face a situation like 2018 when the Reserve Bank of India cut banking access to the crypto and blockchain community. Although the broader crypto … Read more

180 bps more NPAs likely for NBFCs, says ICRA

The non-performing assets of non-banking finance companies are expected to increase because of the revised rules for recognition and upgradation of bad loans, the rating company said. It has projected the NPAs of NBFCs to increase by 160-180 basis points by the end of March 2022 as compared to a year ago. For housing finance … Read more

180 bps more NPAs likely for NBFCs, says ICRA

The rating company said the non-performing assets for NBFCs are likely to increase after the revised bad debt recognition and upgradation norms. It projected an increase of 160-180 basis points in NPAs for NBFCs by the end of March 2022 from the level of March 2021. NPAs of housing finance companies (HFCs) are expected to … Read more

54% do not want cryptocurrency to be legalized in India: Survey

New Delhi: Nearly 54 per cent of those polled in a pan-India survey did not support legalizing cryptocurrencies in the country and instead considered them as digital assets held abroad, said a report by digital community platform LocalCircles. LocalCircle said the study received more than 56,000 responses from people living in 342 districts across the … Read more