Bank Liquidity

Overnight rates dip as government spends boost bank liquidity

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Overnight rates dip as government spends boost bank liquidity

Mumbai: Overnight money market rates fell on Monday on improvement in the banking system liquidity surplus, led by month-end spending by the government, bank treasury dealers said. The weighted average call rate (WACR), which acts as the operative rate for monetary policy transmission, closed at 5.35% compared to previous close of 5.39%, while TREPS (tri-party … Read more

MPC meet: Status quo on rates, cut in CRR to ease liquidity pain

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MPC meet: Status quo on rates, cut in CRR to ease liquidity pain

Mumbai: The central bank’s rate-setting panel on Friday kept policy rates unchanged for its 11th straight review meeting, but slashed the cash reserve requirement, which could ease borrowing costs and opens a window to begin the easing cycle in its next meeting. It temporarily lifted the cap on interest rates on US dollar deposits, amid … Read more