EU moves to tweak rules on foreign central counterparties amid tussle between RBI and European regulators

EU moves to tweak rules on foreign central counterparties amid tussle between RBI and European regulators

Mumbai: European Union authorities have proposed amending norms on exposure to third-country clearing houses, a move that comes amid a protracted tussle between the Reserve Bank of India (RBI) and regulators from the continent on treating the primary domestic sovereign bond platform. ET has seen a document dated February 13 that showed the General Secretariat … Read more

RBI proposes norms for disclosure of climate-related financial risks for lenders

RBI proposes norms for disclosure of climate-related financial risks for lenders

Kolkata: The Reserve Bank of India has told banks and other lenders to disclose more information about their climate-related financial risks so that stakeholders — from regulators to customers — can understand and assess the risk early. Climate-related disclosures by regulated entities is an important source of information for different stakeholders — customers, depositors, investors … Read more

RBI wants to keep inflation vigil, MPC’s external members see room to ease a bit

RBI wants to keep inflation vigil, MPC’s external members see room to ease a bit

Mumbai: Temporary food shocks, fiscal consolidation and high real interest rates have created the scope for reduction in policy interest rates, said external members of the Monetary Policy Committee, but those from the Reserve Bank of India (RBI) believe that the markets are running ahead of policy makers. Prof. J.R. Varma, who voted for a … Read more

India’s debt to GDP ratio by 2030-31 will be much lower than IMF’s projection: RBI paper

India’s debt to GDP ratio by 2030-31 will be much lower than IMF’s projection: RBI paper

Indian government expenditure needs to be focused on development given the growth needs and the interim budget intentions signal that the general government debt-GDP ratio could decline to 73.4 per cent by 2030-31, around 5 percentage points lower than the IMF’s projected trajectory of 78.2 per cent, a research paper by RBI showed. “With recalibration … Read more

Central bankers’ models need to increase emphasis on supply side: Shaktikanta Das

Central bankers’ models need to increase emphasis on supply side: Shaktikanta Das

KOLKATA: Central bankers may have to junk their historical economic models to handle crises in the future after they were found deficient during the pandemic, with the global economy undergoing a paradigm shift spawned by rapidly altering labour dynamics and advancements in artificial intelligence, said the governor of the Reserve Bank of India (RBI). Emerging … Read more

India needs to grow at 7-8 per cent annually to become developed nation by 2047, says Ex RBI Guv C Rangarajan

India needs to grow at 7-8 per cent annually to become developed nation by 2047, says Ex RBI Guv C Rangarajan

India needs to grow at seven to eight per cent annually in order to become a developed nation with USD 13000 per capita income by 2047, former Reserve Bank Governor C Rangarajan said on Tuesday. Asserting that innovation cannot be a single solution to reduce inequalities or poverty, the former Chairman of the Prime Minister’s … Read more

India inflation likely cooled to a three month low in January: Reuters poll

India inflation likely cooled to a three month low in January: Reuters poll

India’s retail inflation likely eased to a three-month low of 5.09% in January on slowing food price rises and favourable base effects, according to economists polled by Reuters who also predicted a moderation in core inflation to 3.70%. The Reserve Bank of India, which held its repo rate at 6.50% for a sixth consecutive meeting … Read more

RBI’s nimble and flexible in managing liquidity: Guv

RBI’s nimble and flexible in managing liquidity: Guv

Mumbai: The Reserve Bank of India (RBI) will inject or absorb funds in the banking system in a nimble manner, depending on deficit or surplus conditions, top central bank officials said, adding that when interest rates are the principal tool of monetary policy, liquidity is used to achieve a certain rate. “As (RBI) governor has … Read more

Effective rates now largely higher than repo rate

Effective rates now largely higher than repo rate

Mumbai: The Monetary Policy Committee has not officially raised interest rates for a year, but its novel stance of “focussing on withdrawal of accommodation” has led to much tighter financial conditions than the traditional rate hike stance of “calibrated tightening”, effectively delivering a rate hike without touching the policy rate. An analysis of the weighted … Read more