Golden Jubilee Celebration of Reserve Bank of India, Bhubaneswar

Governor Sri M C Bhandare Inaugurating the Golden Jubilee Celebration of Reserve Bank of India, Bhubaneswar

 

RBI workers urged to observe industrial strike

The All India Reserve Bank Employees Association and the All India Reserve Bank Workers' Federation on Thursday urged its members to jointly observe the strike called by central trade unions across the country on February 28. "The call to the RBI employees to join the strike on February 28 was given to show solidarity with the working class in the country," Samir Ghosh and SV Madhadik, general secretaries of AIRBEA and AIRBWF respectively said in a statement in Kolkata.

DNA

Centre nominates D. K. Mittal on RBI's central board

.....Mr Mittal's nomination follows the recent amendment to the RBI Act, 1934, allowing the Central Government to nominate two Government officials to the central board instead of one. The RBI Governor has been underscoring the importance of central bank autonomy at various public forums. ......

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RBI Governor asked to fix gaps in tax immunity schemes

….."The RBI needs to ensure that banks entrusted to implement said (tax immunity) schemes place necessary checks and plug the holes and also monitor the implementation of the schemes in right earnest," Special CBI judge A K Mendiratta said while hearing a nearly two-decade-old case……..

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Not so high

..............In recent years, speeches by RBI officials have veered into smug exercises of self-praise. A greater recognition is needed that RBI has failed on the central bank’s prime task: delivering price stability. Achieving price stability will be a slow and long battle, one critically interwoven with household expectations. ................

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Increase education loan lending: Nair Committee recommendations

.......The committee headed by MV Nair, chairman, Union Bank of India, in a report suggested to that limit under priority sector for loans for studies in India may be increased to Rs15 lakh and Rs25 lakh in case of studies abroad, from existing limit of Rs10 lakh and Rs20 lakh, respectively. The RBI has sought comments on the report of the Committee............

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Experts discuss RBI's recos on priority sector lending

The RBI committee under the current Union Bank Chairman MV Nair has come out with its recommendations on lending to priority sector. It has reviewed the existing guidelines on lending to priority sector categories including agriculture, MSME and export. In an interview to CNBC-TV18, BA Prabhakar, CMD of Andhra Bank, MV Nair and N Seshadri, ED of Bank of India, discuss pros and cons of the recommendations........

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RBI may cut rates on respite from inflation

The time is ripe for the Reserve Bank of India (RBI) to start the rate reversal cycle. economists say. This is because owing to a high base effect, inflation is expected to remain low for a few more months. Economists expect a cut in the repo rate, or the rate at which banks borrow from RBI, in at least one of the two policy review meetings scheduled for the March-April period…………

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The new normal

In an interview to The Wall Street Journal, Reserve Bank of India Governor D. Subbarao has said that the Indian economy can manage a maximum of 7% growth without stoking inflation. This is significant, especially as it comes from Subbarao, known to choose his words carefully. What he is trying to say is that unless the current bottlenecks in the economy are fixed, the Indian economy will have to get used to a much lower rate of growth than what it recently experienced: 9%. In other words, this is going to be the new normal. It is more than double the low growth rate trap that India found itself in the 1970s—the so-called Hindu rate of growth—but lower than the ideal. The writing is on the wall: reform or perish. Low growth will hit tax buoyancy and curb spending, especially for the raft of inclusive measures. But is the UPA listening?

Mint

Cost of a rate cut delay in India

......... It is critical that the RBI resume rate cuts. Every week of delay costs in terms of investment and income. The RBI need not wait for its quarterly review to engineer a change. It can do that at any time to correct financial imbalances. The immediate need is a lower rate and it has to be initiated now. Each passing week means a loss of Rs 21.8 billion in investment and Rs 73.6 billion in GDP.

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How fast can India grow?

..... “We are not locked into a 7% growth rate. We should certainly accelerate that, and it’s certainly possible to do that, but for that, supply responses must come.”......

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What is non-inflationary rate of growth (NIRG)?

Employee retirement benefit costs up 45% at top- 100 cos

Public sector banks face more pressure...............

.............While, the liabilities have increased significantly in the last one year, the proportionate rise in assets has not been commensurate, which would impact profits..................

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Repositioning will improve operations: Nabard

State-run National Bank for Agriculture & Rural Development (Nabard) has justified its restructuring and repositioning exercise, based on the recommendations of the Boston Consulting Group. Speaking to Business Standard, chief general manager K R Nair said the exercise was aimed at improving the scope of operations by increasing the production credit and investment credit portfolios, as well as their impact. Nabard has said the repositioning initiative did not replace or modify its traditional credit and development functions…………..

…………..All India Nabard Officers' Association, a representative body of 2,700 officers have said it was apprehensive that the Boston Consulting Group's recommendations, if implemented without wide-scale debate, would lead to dilution of Nabard's role.

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National policy on investor awareness to be out soon

........... We have also been working very closely with the Reserve Bank of India (RBI) and others to provide a national policy on investor events. We think grievance redressal and investor awareness both have to go hand in hand. So we have been working with RBI and others towards this national policy and the final outcome is going to come out very soon; the draft policy has already been approved.........

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Aadhaar panel favours e-payment for all social safety net schemes

....The task force has also suggested that the Reserve Bank of India may consider recognising the Aadhaar letter as proof of identity and proof of address for money transfer. The central bank should notify guidelines for interoperability of business correspondents. The RBI should publish a policy in conjunction with the Government to formulate a plan and set targets for reducing the usage of cash in the Indian economy.For banks, the task force has suggested that at least one microATM be deployed in every bank branch. Banks have been asked to deploy a network of one million business correspondents.........

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India Police Crack Down on Coin Scrapping

..... “The letter, dated June 29, 2010, issued by RBI just requests the manager of Punjab National Bank’s Mascati Market branch in Kalupur to extend exchange facility of old and mutilated notes and coins to Gupta and six others. However, Gupta was blacklisted in February 2011, when we suspected him to be misusing the facility for profit-mongering.”......

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Soon, coin to mark Bhagat Singh's birth centenary

BARNALA: The Bhagat Singh aficionados' are elated over union government decision of introducing Rs. 5 coins having legendary martyr picture. The reserve bank of India(RBI) has announced to soon introduce coins devoted to martyr' birth anniversary with Bhagat Singh picture on one side of the coin………….

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Black money & Prez Patil: Is it time to scrap Rs 500-1,000 notes?

…………One such decisive step was taken in January 1946 when currency notes of Rs 1,000 and Rs 10,000, which were then in circulation, were demonetised primarily to curb unaccounted money. The higher denomination bank notes of Rs 1,000, Rs 5,000 and Rs 10,000 were reintroduced in 1954, and were again demonetised in January 1978. This action was taken through the with the passage of the High Denomination Bank Notes (Demonetisation) Act, 1978..........

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ICIF Discusses Islamic Finance& Banking at BHU

…………..The paper concluded stating that Government of India – Finance Ministry & RBI – should now re-examine its stand on Islamic Finance and create an attractive environment for Islamic Finance investors to participate in the market as undertaken by modern, secular and industrialised countries. It would go a long way to contribute a lot to the inclusive growth of the marginalised and the minorities…………..

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