As widely anticipated, the Reserve Bank left interest rates unchanged for a second consecutive policy meeting. Giving a major boost to the rupee, Reserve Bank of India (RBI) governor Sanjay Malhotra on Friday announced several steps to attract foreign capital at a time when the US-Iran conflict is putting pressure on India’s external sector resilience.The … Read more
The Reserve Bank of India has capped the maximum dividend payout by banks at 75% of profit after tax (PAT), with the new prudential norms set to take effect from the financial year 2026-27.The central bank on Tuesday issued the Reserve Bank of India (Commercial Banks – Prudential Norms on Declaration of Dividend and Remittances … Read more
Many corporate groups are caught in a bind over a Reserve Bank of India (RBI) rule on their holding and strategic investment companies. While promoter families use these entities to own equity stakes and control group companies, they are unlike regular holding companies. The difference lies in their income streams: more than half of their … Read more
Amid intense speculation over Tata Sons‘ perceived non-compliance with the RBI‘s mandate to list, Governor Sanjay Malhotra on Wednesday said an entity can continue to do business till its registration is not cancelled. The central bank had asked a set of entities, including Tata Sons, the holding company of the salt-to-software conglomerate, to list by … Read more
RBI governor Sanjay Malhotra in his maiden monetary policy committee (MPC) meeting had said that it was an ‘appropriate time’ to cut rates, given the macroeconomic outlook and expected inflation alignment with the target. Malhotra had argued that monetary easing, along with agricultural growth and budgetary measures, would stimulate household consumption, housing investment and capital … Read more
The combination of monetary policy stance and macroprudential measures by the central bank, and structural factors, may have contributed to slowdown in demand, a finance ministry report said on Thursday in the latest sign of divergent views between North Block and the Reserve Bank of India (RBI) over growth and inflation. This is the first … Read more
India’s central bank is likely to defer a decision on slashing rates to at least February, economists said, illustrating the risks posed by imported inflation from a sliding currency and higher US yields after the election of stiff tariffs-backing Donald Trump as the incoming president. Reserve Bank of India (RBI) Governor Shaktikanta Das has said … Read more
The Reserve Bank of India (RBI) may grant non-banking financial companies (NBFCs) access to the public tech platform for frictionless credit (PTPFC). Earlier this week, RBI Governor Shaktikanta Das announced that the PTPFC would be rebranded as the Unified Lending Interface. He compared its potential impact on lending to the transformation brought by the Unified … Read more
A consensus appears to be emerging among the external members of the Reserve Bank of India’s monetary policy committee that high interest rates are damaging to economic growth, a sign that the debate over the timing of any easing is intensifying. Jayanth Rama Varma and Ashima Goyal voted at the June meeting for a rate … Read more