RBI

India's forex reserves down $685 mn

India's forex reserves down $685 mnMumbai, Sep 14 : India's foreign exchange (forex) reserves decreased by $685.1 million to $274.80 billion for the week ended Sep 6, according to data released by the Reserve Bank of India (RBI).

The reserves had fallen by $2.23 billion to $275.49 billion for the week ended Aug 30.

The foreign currency assets (FCA) - the biggest component of the forex reserves - fell $656.5 million to $246.74 billion, the weekly statistical supplement of the central bank showed.

The FCA had declined by $3.08 billion at $247.40 billion in the previous week.

Don’t use currency notes to make garlands: RBI

Don’t use currency notes to make garlands: RBIThe national currency should not be used for making garlands or showering on personalities at social events, the Reserve Bank of India (RBI) said.

Urging people to show respect to the currency and curb their enthusiasm, the central pointed out that using the bank notes in making garlands or for showering on personalities deface the notes and also shorten their life.

RBI to issue inflation-indexed savings certificates

Raghuram-RajanMumbai, Sep 4 : The Reserve Bank of India will issue inflation-indexed savings certificates which will be linked to Consumer Price Index (CPI) by November 2013 as a means to protect households against inflation.

Governnor Raghuram Rajan announced this Wednesday, saying the need of the hour is to protect households from inflation.

He also announced other steps to mitigate inflation pressures.

For eaxample, there will also be a Giro-based bill payment system where households can pay utility bills, school fees etc. anywhere and at any time.

Second, White-label ATMs will also be increased pan-India.

RBI to set up panel on mobile-based payments: Rajan

Raghuram-Rajan-RBIMumbai, Sep 4 : The Reserve Bank of India (RBI) will soon set up a committee to examine feasibility of encrypted SMS-based fund transfers, Governor Raghuram Rajan said Wednesday.

"There is substantial potential for mobile based payments. We will set up a technical committee to examine the feasibility of using encrypted SMS-based funds transfer using an application that can run on any type of handset,” he said at his first news conference after taking over as the 23rd governor of the country's central bank.

RBI to issue new bank licences by January 2014

RBI to issue new bank licences by January 2014Mumbai, Sep 4 : The Reserve Bank of India (RBI) will issue new bank licences by January 2014, Raghuram Rajan said Wednesday after becoming the central bank's governor.

“We hope to announce new licences by January 2014,” Rajan told the media after taking charge from Duvvuri Subbarao.

He said a committee headed by former RBI governor Bimal Jalan will screen licence applications and the decisions will be largely based on the recommendations of that committee.

Raghuram Rajan takes over as 23rd governor of RBI

Raghuram-RajanMumbai, Sep 4 : Raghuram Govind Rajan Wednesday took over as the 23rd governor of the Reserve Bank of India (RBI).

Rajan, 50, who was chief economic advisor in the finance ministry, took charge at the Mint Street here from Duvvuri Subbarao, the RBI said in a statement.

"I handed over charge to Raghuram Rajan... the country could not have asked for a more capable person to lead the RBI in these difficult time”," Subbarao said after stepping out of the RBI office.

RBI directs banks to link home loans to stages of construction

RBI directs banks to link home loans to stages of constructionThe Reserve Bank of India (RBI) on Tuesday directed banks to make sure that housing loans sanctioned to individuals must be disbursed in line with the completion of the different stages of construction of a project.

The central bank made it mandatory for banks that all disbursements of housing loans must not paid upfront to the developer/builder.

The main objective behind the move is to protect borrowers of home loans from the potential risk of a dispute between the borrower and developer.

Raghuram Rajan to take over as RBI governor

Raghuram-Govind-RajanNew Delhi, Sep 3 : Raghuram Govind Rajan, chief economic advisor in the finance ministry, is scheduled to take over as governor of the Reserve Bank of India (RBI) Wednesday.

At 50, Rajan will be among the youngest to occupy the high office at Mint Street in Mumbai, where he takes over from incumbent Duvvuri Subbarao.

Rajan, who joined the finance ministry last year in August, brings with him wide experience as a banker, academician and technocrat, having served institutions such as the International Monetary Fund and taught at the University of Chicago.

RBI Gov. Subbarao takes direct dig at P Chidambaram

RBI Gov. Subbarao takes direct dig at P ChidambaramOutgoing Reserve Bank of India (RBI) governor Subbarao has blamed the government's policies for constrained central bank's monetary policy as well as the rupee depreciation.

In his last public address, at the 10th Nani Palkhivala memorial lecture, Subbarao said the government adopted a very loose fiscal policy between 2009 and 2012 that constrained the central bank's monetary policy.

RBI looking into the issue of SBI shaming students

RBI looking into the issue of SBI shaming studentsChennai, Aug 28 : The Reserve Bank of India (RBI) is looking into the complaint against State Bank of India (SBI) for shaming students and their parents for defaulting on their education loan.

"RBI's assistant general manager Sharmila Sampath Kumar has sent me an email Aug 28 stating that the issue is receiving the attention of the central bank," K. Srinivasan, convenor, Education Loan Task Force (ELTF), told IANS here Wednesday.

Indian Stock Market Recovers: Currency Still Down

Indian Stock Market Recovers: Currency Still DownIndian Stock Market recovered smartly after massive decline in the morning trade on Wednesday. Indian currency also witnessed worst ever single day fall in decades as the currency plunged to its all-time low level of 68.75 against US dollar. There were reports that RBI asked PSU banks to sell US dollars in the market and that helped by offering some recovery in the Indian currency.

White-label ATM rollout may take more time

White-label ATM rollout may take more timeThe roll out of white-label automated teller machines (ATM) may still take a long time as most of the successful applicants are not still unready to start operations, a Reserve Bank of India (RBI) official said.

White-label ATMs are teller machines that don't have a label of a particular bank as these machines are installed and operated by non-bank entities. In simple words, these machines offer services to customers of all banks.

India's forex reserves up $205 million

India-forexMumbai, Aug 24 : India's foreign exchange (forex) reserves increased by $205.8 million to $278.80 billion for the week ended Aug 16, according to data released by the Reserve Bank of India (RBI).

The reserves had increased by $1.43 billion to $278.60 billion for the week ended Aug 9.

The foreign currency assets (FCA) - the biggest component of the forex reserves - grew by $211.7 million at $251.56 billion, the weekly statistical supplement of the central bank showed.

The FCA had grown by $1.45 billion at $251.34 billion in the previous week.

RBI to buy long-term govt. bonds worth Rs 80bn

RBI to buy long-term govt. bonds worth Rs 80bnThe Reserve Bank of India (RBI) on Tuesday announced its decision to buy long-term government bonds worth Rs 80 billion (nearly $1.3bn) to pump more liquidity into the country's banking system.

The central bank said that it would buy government bonds through open market purchase operations (OMOs) route on 23rd of August.

The decision was announced just a few days after the RBI announced measures to tighten liquidity as part of its efforts to arrest the rupee's fall.

RBI should revisit monetary policy measures: PM

Manmohan-SinghNew Delhi, Aug 17 : Prime Minister Manmohan Singh Saturday said there is a need for fresh thinking on economic policy-making and the Reserve Bank of India (RBI) should revisit its monetary policy keeping in mind the fiscal constraints facing the globalised economy.

"I would venture to think that the time has come when we should revisit some of those areas - the possibilities and limitations of monetary policy in a globalised economy, in a fiscally constrained economy," the prime minister said.

Committed to inflation control as RBI cares for growth: Subbarao

D-SubbaraoNew Delhi, Aug 17 : The Reserve Bank of India (RBI) is concerned about price stability as well as growth, and it would be “inaccurate and unfair” to conclude that the central bank is obsessed with inflation, Governor Duvvuri Subbarao said Saturday.

“The Reserve Bank’s monetary policy aims at three objectives - price stability, growth and financial stability. To contend that the Reserve Bank is obsessed with inflation, oblivious to growth concerns, I think, is both inaccurate and unfair,” Subbarao said.

Non-banking firms must be under RBI regulation: Subbarao

D-SubbaraoMumbai, August 13 : Banking as well as non-banking financial companies must be under a unified regulation of the central bank to prevent 2008 like crisis, Reserve Bank of India (RBI) Governor D Subbarao said Tuesday.

Subbarao said there are strong inter-linkages between banks and non-banking financial companies (NBFCs) and a “unified regulation by the same regulator” was essential for financial stability.

The RBI governor's comment assume significance in view of the government's plan to take away the regulation of non-banking financial companies from the central bank and put it under a unified financial authority.

RBI’s tightening measures can drag GDP growth to sub 5%: experts warn

RBI’s tightening measures can drag GDP growth to sub 5%: experts warnThe Reserve Bank of India's (RBI's) liquidity tightening measures may have an adverse impact on the country's already sluggish economic growth, which could fall below 5 per cent, experts warned.

India's forex reserves down $2.99 billion

India's forex reserves down $2.99 billionMumbai, Aug 9 : India's foreign exchange (forex) reserves decreased by $2.99 billion to $277.16 billion for the week ended Aug 2, according to data released by the Reserve Bank of India (RBI).

The reserves had increased by $960.2 million to $280.16 billion for the week ended July 26.

The foreign currency assets (FCA) - the biggest component of the forex reserves - fell by $2.15 billion at $249.89 billion, the weekly statistical supplement of the central bank shows.

The FCA had grown by $914.1 million at $252.05 billion in the previous week.

Govt. appoints Rajan as OSD to RBI ahead of his formal takeover as governor

Govt. appoints Rajan as OSD to RBI ahead of his formal takeover as governorRaghuram Rajan will start working at the Reserve Bank of India (RBI) well ahead of taking over as the central bank's next governor on 5th of September.

The Congress-led United Progressive Alliance (UPA) government on Wednesday notified that that Mr. Rajan had been appointed as an officer on special duty (OSD) at the central bank in the run-up to his formal taking over as governor.