Tag: RBI

RBI rebuts social media rumours on closure of 9 banks

MUMBAI: Rebutting social media rumours swiftly, the Reserve Bank of India on Wednesday said no commercial banks are going to be shut. Finance secretary Rajiv Kumar discribed such social media messages as “mischievous” saying the government was in process of strengthening public sector banks by infusing capital in them. “Reports appearing in some sections of social media about the RBI closing

RBI puts Mumbai-based PMC Bank under directions

The Reserve Bank of India has put limits on amount that can be withdrawn by depositors from the urban co-operative bank. The Reserve Bank of India has placed Mumbai-based Punjab and Maharashtra Cooperative Bank (PMC Bank) under directions for six months from the close of business of the bank on September 23, 2019. The depositors

RBI policy: India’s central bank faces calls to do more than just one rate cut

India’s central bank is poised to deliver its fourth successive quarter-point interest rate cut on Wednesday, amid calls from investors and the government for further easing as a slowdown gripping the economy becomes more pervasive. The Reserve Bank of India will lower the benchmark repurchase rate by 25 basis points to 5.5%, according to almost all of the 36

After RBI delivers, the big question: Will the banks yield, too?

Significant easing of liquidity is critical for better transmission The RBI delivered on expected lines and cut its policy repo rate by 25 bps. While the central bank changing its stance from neutral to accommodative — essentially implying that rate hikes are out of the way — has further buoyed sentiments, the bigger question is whether banks

RBI asks shadow banking companies to appoint risk officers

India’s central bank said on May 16 that shadow banks with asset size of more than 50 billion rupees should appoint a chief risk officer in a move to tighten regulation after a series of defaults at top lender Infrastructure Leasing & Financial Services’ (IL&FS). The government took control of IL&FS last year after its default

Want efficient banks? Go for more mergers, says RBI research

More consolidation in India’s struggling banking sector will help lenders lower costs and efficiently scale their operations, said researchers at the Reserve Bank of India. Labour cost efficiency, or output per employee, moderated across the sector between 2005-18, according to the recently-published paper. The authors added that state-owned banks fared better than private rivals on this metric

RBI says no to IDBI Bank name change proposal

The Reserve Bank of India (RBI) has turned down IDBINSE -0.58 % Bank’s proposal to change its name following the transfer of controlling 51 per cent stake to insurance behemoth LIC from the government of India. The board of IDBI Bank had last month sought RBI’s approval for change in the name of the lender to either LIC IDBI