Credit Flow to Agriculture- Collateral free agricultural loans

With  reference to paragraph 13 of the Statement on Development and Regulatory Policies of the Sixth Bi-Monthly Monetary Policy Statement for 2018-19 released on February 7, 2019 RBI has vide notification dated 7th February 2019 informed all the Scheduled Commercial Banks including RRB & SFB’s to raise the limit for collateral free agriculture loans to Rs. 1.6 lakh thereby…

Highlights of Sixth Bi-monthly Monetary Policy Statement, 2018-19 Resolution of the Monetary Policy Committee (MPC) Reserve Bank of India

The six-member Monetary Policy Committee (MPC), headed by RBI Governor Shaktikanta Das, which met on 7th February 2019, Thursday cut key policy rate by 25 basis points as falling inflation provided room for policy easing. After the cut, the repo rate stood at 6.25 per cent. Likewise, the reverse repo rate adjusted to 6 per…

The Reserve Bank introduces Ombudsman Scheme for Digital Transactions

As announced in the Monetary Policy Statement of December 5, 2018, the Reserve Bank of India (RBI) launched on 31st January 2019, the Ombudsman Scheme for Digital Transactions (OSDT) vide Notification dated January 31, 2019 for redressal of complaints against System Participants as defined in the said Scheme.  Follow the link for the Scheme: The Ombudsman Scheme for Digital Transactions, 2019…

RBI removes Three Banks Bank of India, Bank of Maharashtra & Oriental Bank of Commerce out of PCA Framework

On a review of the performance of Public Sector Banks (PSBs) currently under the Prompt Corrective Action Framework (PCAF), it was noted that a few banks are not in breach of the PCA parameters as per their published results for the quarter ending December 2018, except Return on Assets (RoA). However, though the RoA continues…

RBI guidelines on restructuring of advances to MSMEs

Micro, Small and Medium Enterprises (MSMEs) form an important component of the Indian economy and contribute significantly to the country’s GDP, exports, industrial output, employment generation, etc. Considering the importance of MSMEs in the Indian economy, it is considered necessary at this juncture to take certain measures for creating an enabling environment for the sector.…

ESAF small finance bank gets RBI nod to operate as scheduled bank

ESAF small finance bank which received the first banking license in Kerala since independence has got RBI approval to operate as scheduled bank.

RBI’s institutional capabilities strong, will do whatever is required for economy: Rajiv Kumar

Niti Aayog Vice-Chairman Rajiv Kumar on Tuesday said the central bank’s institutional capabilities are ‘very strong’ and it will do whatever is required for the markets and economy.

Modi government needs to heed RBI’s message on financial stability: IMF chief economist

The Indian government must heed the RBI’s message on financial stability, IMF’s Chief Economist Maurice Obstfeld has said, amidst reports of friction between the central bank and the finance ministry over several issues, including how much capital the apex bank needs.

Shaktikanta Das is new RBI governor

With the appointment of Shaktikanta Das as the new governor of the RBI, the top position at the central bank returns to a career bureaucrat after a gap of five years when D. Subbarao demitted office in 2013