......IDFC's executive chairman Rajiv Lall, whose name has been proposed to the Reserve Bank of India for the post of managing director and chief executive officer of the banking entity, had earlier indicated that the lender would trim its infrastructure exposure. "As we prepare ourselves to be compliant with regulations, we will have to expand our book and build CRR ( cash reserve ratio) and SLR (statutory liquidity ratio). The idea is to diversify the asset portfolio. We will shrink our............
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.
1 comment:
A bird in hand is better than two in the bushes goes the saying. Here is a real story where IDFC, the only agency to provide funding support for infra projects is killed to create a commercial bank which may focus on all types of financing. It is now planning to sell off Rs.5000 cr of infra project portfolio to comply with the RBI requirements for commercial bank licence. Infra project funding may be or may not be in its portfolio as a commercial bank. It is an irony that the new govt at the Centre under Mr Modi has emphasized the need for funding support for infra projects for speedy growth of economy. At the same time, the only infra dev organisation has been converted /killed to make way for a commercial bank. In hindsight, the RBI may think that their decision to issue banking licence to IDFC may not be met with the objectives of the GoI for infra development in the country. So, RBI/ GoI should rethink and cancel the licence issued to IDFC and strengthen it by infusing more funds for infra dev projects.
Post a Comment