The Indian rupee saw a decline of 105 paise against one US dollar, on April 7 markets shuts at 74.47 making it the biggest fall in last 20-months. However, the RBI's status quo on repo rate remains firm. According to a Research analyst Saif Mukadam, the depreciation is fuelled due to new lockdown restrictions. Besides, the Central government claims that the economic growth remains uncertain due to lockdown.
Courtesy: Deccan Herald
Reserve Bank of India (RBI), on April 7, announced the doubling of the maximum deposit limit to Rs 2 lakhs from Rs 1 lakh in digital payment banks, under the "Guidelines for Licensing of Payments Banks". The limit was extended "to expand their (banks) ability to cater to the needs of their customers." Additionally, it has also extended RTGS and NEFT services to payments bank users.
Courtesy: Live Mint
The RBI has extended the deadline for banks failing to adhere to the regulator’s new e-mandate guidelines for recurring payments till September 30. According to the 2019 RBI notification, banks are required to seek approval from customers before auto-debit transactions. Citing it a move to protect customers against fraudulent transactions, RBI earlier fixed it to roll from April 1. Moreover, the banking regulator also asked them to comply or… read-more
Courtesy: Business Standard
The RBI has issued rolled new rule for banks and payment platforms to send notifications of auto and recurring payments of mobile, utility and OTT platform bills. Applicable from April 1, the rule provisions banks and pay-platforms to send a 24-hour pre-transaction notification to users and mandates banks to send OTP to customers for payments above ₹5,000. Including payment wallets, the rule asks for additional authentication by customers for… read-more
Indian rupee has emerged as the only thriving Asian currency in the month of March, owing to foreign investments attracted by share-sale offers. Reportedly, $2.4-billion worth international acquisitions of local stocks and an array of initial public offerings improved rupee's stature by 1.3% this month. Public companies raising $1 billion-plus loans and the RBI allowing the currency appreciation have also been driving factors. However,… read-more
The Reserve Bank of India (RBI) on March 10 stated that private lender IDBI Bank has been removed from its prompt corrective action (PCA) framework after four years. Reportedly, the IDBI's removal resulted from the bank's refined financial and credit profile, especially in regulatory capital, net non-performing assets, and leverage ratio. Besides enabling amplification of business, the freshly granted immunity may facilitate strategic… read-more
Courtesy: Business Standard
Addressing an event organised by the Entrepreneur's Organisation, Union Minister Anurag Thakur reiterated the Centre's willingness to improve governance by evaluating and using cryptocurrencies. Besides, Anurag welcomed innovation mentioning blockchain technology. Interestingly, the Reserve Bank of India banned cryptocurrency trading in 2018, directing all government-regulated concerns to stop dealing in cryptocurrency. However, the Supreme… read-more
Courtesy: The Financial Express
The Reserve Bank of India has requested banks to dilute their stake in the capital intensive insurance sector to 20%, reducing the limit to over half. The regulator urged banks to focus on the dominant area of business instead of the insurance sector, seen as a 'money guzzling business,' Earlier, banking institutions were eligible to hold a 50% stake in insurers. Interestingly, the move came after the Centre increased the FDI cap to 74%.
Courtesy: Hindustan Times
Recovering from COVID-19 led recession, the Indian economy posted a 0.4% growth in the Q3 FY2020-21. Reportedly, India became one of the few economies that posted a post-COVID growth in the final quarter of 2020. While India's growth slid to -23% in the June quarter, it regained gradually to -7.5% in the September quarter. Amidst the major eight core sectors showing a slight recovery in 2021, the RBI estimated a 10.5% growth for FY2021-22.… read-more
The RBI on February 19 placed a withdrawal cap limit of Rs1000 on the customers of Karnataka-based Deccan Urban Co-operative Bank. Valid for six months, the RBI barred the bank from issuing loans and accepting deposits due to its liquidity status. Specifying that restrictions not be misunderstood with the cancellation of banking license, the RBI assured insurance of 99.58% of depositors. Last year, RBI had penalised DUCB for breaching banking… read-more