RBI

The direction of movement of interest rates for 2019 is now a foregone conclusion from the point of view of the RBI unless there are nasty shocks on the oil and monsoon fronts.

To provide greater operational flexibility to non-banking lenders, the Reserve Bank of India on Friday created a single category for them by bundling their present three-tier structure. The central bank also decided that exposures to all NBFCs, excluding core investment companies, will be risk weighted as per credit ratings.

The minutes of the last monetary policy committee (MPC) meeting suggest that the RBI going dovish under the new governor Shaktikanta Das, and increases the possibilities of more rate cuts, says analysts.

Niti Aayog vice chairman Rajiv Kumar today made a strong case for setting up of an independent debt management office outside the purview of Reserve Bank of India, saying it was “an idea whose time has come”.

Shares of Yes Bank tumbled over 8 per cent today after the Reserve Bank warned the lender of regulatory action for disclosure of nil divergence report in violation of norms.

Inflation based on wholesale prices fell to a 10-month low of 2.76 per cent in January over the previous month on softening prices of fuel and some food items, according to government data released today.

Within a day of RBI reducing repo rate by 25 basis points, the country’s largest lender State Bank of India announced a cut in interest rates by 5 basis points on its home loans up to Rs 30 lakh.

With growth improving in the second half of 2019 and pick-up in food inflation, RBI may have to shift back to tightening mode, Goldman Sachs said in a report.

Governor Shaktikanta Das on Thursday said it is legitimate for the government to demand an interim dividend from the RBI as it’s part of the statutes and use it the way it wants.

The government on Thursday welcomed RBI’s decision to change its monetary policy stance to neutral and cutting its key lending rate for commercial banks to 6.25 per cent.