The
essence of the ‘this-time-is-different’ syndrome is simple. It is
rooted in the belief that financial crises are things that happen to
other people in other countries at other times; crises do not happen to
us, here and now. We are doing things better; we are smarter; we have
learned from our past mistakes. The old rules of valuation no longer
apply. Unfortunately, a highly leveraged economy can unwittingly be
sitting on the edge of a financial cliff for...........
The very purpose of VITALINFO is to provide a platform for wider dissemination of updated information related to and happening of events in and around RBI.
Wednesday, April 3, 2013
Economy: For policy harmony
IN the run-up to the review of monetary policy it has now become fashionable for the Finance Ministry to nudge the Reserve Bank of India (RBI) to ease its policy rates to pep up aggregate demand. The central bank hardly obliges at a time when inflation at the retail level remains relentlessly high. In the backdrop of the economic slowdown, the call for a rate-cut has become so cacophonous that the RBI deems it de rigueur to underscore the importance of fiscal-monetary policy coordination. It has come out with a monograph, Report on Currency & Finance 2009-12: Fiscal-Monetary Coordination, prepared by a team of young officers under the guidance of Executive Director Deepak Mohanty............
Youth detained for carrying air gun near RBI building
.....Retired director general of police, D Sivanandhan, who is working with the RBI as security advisor, said, "He tried to enter from the staff entry gate. On being stopped, he pushed a guard and took 5 steps after which other guards stepped him near the entry wall of RBI. He is changing his versions. More information will be sought about him from Kerala Police. RBI's security is in place and effective," said Sivanandhan.......
Following RBI the public sector might adopt flexitime — not that the public will notice
........And more good news — impressed by the whoops of joy emanating from the RBI, other government sector organisations might follow suit. Except that, hey — we thought the public sector was already on flexitime! Whenever you enter a sarkari daftar trying to file a claim or deposit forms, book a seat or pay bills, it`s usual to find the official imperative to the task goofing off. ...........
YES Says ‘No’ to Staff for Sharing Internal Mails
YES
Bank has sacked some employees after they forwarded an email from the
CEO’s office to their friends. The mail was about the dos and donts
following the Cobra Post sting operation. The mail shares no interesting
fact, but the bank has taken an exception to the way a communication
from the corner room was handled.
ET
ET
IBA’S NEXT CHAIRMAN COULD BE FROM A PRIVATE BANK
In the
last bankers’ conference (Bancon) held in Pune, finance minister P
Chidambaram told the Indian Banks Association (IBA) members that its
next chairman should be from a private bank since none of the top-level
private bankers were present at the conference. The idea was to give the
private sector a representation at IBA. The vacancy for the chairman’s
(held by KR Kamath, CMD of PNB) post is a long way off. IBA could
consider appointing an official from private banks for the CEO’s post
which is due to be vacated by middle of this calendar year. In the past,
ICICI CEO HN Sinor has been at the helm of the bankers’ body and made
it a vibrant organisation.
ET
ET
Mobile Payment Systems:What Can India Adopt From Kenya’s Success?
............The inactive low-income users expressed their keenness to restart using mobile money in the future subject to a reasonable pricing policy by the service provider. The study concludes that despite the immense potential of mobile money in promoting financial inclusion in India, very little efforts have been made by the RBI and banks to promote the model among the prospective low-income clients. Regulations in India permit mobile transactions only they are linked to a registered bank account, through which transactions take place.........
WHAT IS THE LIKELY DA INCREASE FOR BANK OFFICERS AND WORKMEN FROM May 2013 to July, 2013
The exact increase for DA cannot be given at this stage as GOI has yet to announce the CPI for the month of March 2013. However, based on the CPI already announced for the month of January 2013 and February, 2013, we are doing this guess work. The CPI announced and projected so far are as follows:-..........
Read...........
Read...........
Tax dept wants to count your cash
Now, keeping cash more than Rs 50,000 with you may draw the attention of the Income Tax Department. In the new forms for income tax returns, the government may ask non-salaried individuals to declare in-hand cash of more than Rs 50,000.........
The big rate puzzle
I get the point that some analysts are making: that despite the recent cuts in the Reserve Bank of India's (RBI's) policy rate, bank lending rates are unlikely to come down. But I am not entirely convinced. Yes, some heavyweight banks have raised deposit rates recently and, if they are indeed interested in protecting their interest margins, it would be irrational for them to drop lending rates, even if repo rates are lower. That seems like a fair argument, but .......
Videocon to enter banking, earmarks Rs 1,000 crore
............"The minimum requirement as per RBI is Rs 500 crore but we have set aside Rs 1,000 crore. There is a big market in rural and semi-urban areas."..........
Banks in good spirits
.........While there is no doubt that banks have to be careful while lending and that they also need to provide more prudently than they have been doing so far, the recovery process must work smoothly; with net non-performing assets in the banking system estimated to be close ...........
Current account shocker - Renu Kohli
India’s current account deficit was a shocker as it zoomed to 6.7% of gross domestic product ($32.6 billion) in the last quarter of 2012. The $10 billion jump in just one quarter (from 5.4% of GDP in July-September) surpassed all forecasts by a yard and more. While much of the deterioration came..........
Timeline: Changes to SLR for banks since 1949
Following is a timeline on changes in the statutory liquidity ratio (SLR) since 1949...........
Liquidity in banking system turns tight
.....Bankers expect some measures from RBI ahead of the policy because this fiscal it has been scheduled for May 3 whereas a large chunk of government borrowing is expected in April itself. Also with the rupee coming under pressure, RBI may be forced to intervene in the forex markets thereby reducing supply of funds as it infuses dollars and takes out rupee funds......
Should banks pay interest on current accounts as well?
.....Now the only last bastion that remains to be liberated from the regulated interest rateregime is current accounts. And the SBI chief wants this to be deregulated along with the freedom to accept term deposits for periods as low as three days, as RBI permits acceptance of deposits for a minimum of seven days at present. The reasons for such a demand appear to be on the following grounds:.....
Govt will argue for lowering of rates by RBI: Chidambaram
TOKYO: Government will continue to argue for lowering of interest rates by Reserve Bank in the backdrop of softening of headline inflation and the need to promote economic growth, Finance Minister P Chidambaram today said...........
Reserve Bank of India : penalizes Sanmitra Sahakari Bank Ltd., Pune
.....RBI had issued Show Cause Notice to the bank in the response to which the bank had submitted a written reply and after considering facts of the case, bank's reply and personal submission in the matter, RBI came to the conclusion that the violation was sustained and warranted imposition of penalty.
Read........
State blamed for proliferation of fly-by-night companies
.....Addressing a media conference in this connection along with CPI district secretary J.V. Satyaranayana Murthy here on Tuesday, Mr. Anjaneyulu said at a time when the Centre and the RBI were talking of financial inclusion the common man was unable to approach the public sector banks, which were concentrating more on high value customers. He said in the last few months about half-a-dozen unscrupulous finance companies had downed shutters in Visakhapatnam resulting in several families going bankrupt.......
IFRS implementation by banking cos unlikely before 2015: ICAI
New Delhi: Recommendations on implementation of IFRS standards by banking companies have been given to the Reserve Bank of India but are unlikely to come into force before 2015, according to accounting regulator ICAI. Going forward, Indian accounting standard would be converged with the International Financial Reporting Standards (IFRS)............
KVP's kin summoned by ED
.........The ED which got the matter verified through RBI also came to a conclusion that a Fema case could be made out against Raju's firm. In fact, another Rs 600 crore too flowed into the Raju company through the same Mauritius route.......
Crop loan waiver: farmers turn to CM as last resort
.....The RBI, in its “master circular-guidelines for relief measures by banks in areas affected by natural calamities” dated July 2, 2012, says: the principal amount of the short-term loan as well as the interest due for repayment in the year of occurrence of the natural calamity may be converted into term loan. Generally, the restructured period for repayment may be three to five years …. The restructured portion of the short term loans and term loans which have been converted into fresh loans may be treated as current dues and not be classified as NPA.”.......
Subscribe to:
Posts (Atom)