Page 76 - Latest Updates on Reserve Bank of India
Fleecing of floating rate borrowers continues
The fleecing of borrowers is so widespread and egregious that Moneylife Foundation filed a PIL (public interest litigation) petition, leading to an order by SC asking the RBI, to respond in six weeks
 "Fleecing of floating rate borrowers continues")
Reserve Bank again postpones submission of TLTRO reversal requests
The rates have come down by more than 100 basis between these two points.
 "Reserve Bank again postpones submission of TLTRO reversal requests")
Loan moratorium: RBI urges SC to lift order banning declaration of NPAs
The RBI urged the Supreme Court to lift its interim order, which held that accounts not declared as non-performing assets till August 31 this year are not to be declared NPAs till further orders
 "Loan moratorium: RBI urges SC to lift order banning declaration of NPAs")
Why states should find newer resources rather than cut back on spending
For states staying within the fiscal deficit targets is important, but not by cutting back on expenditure
 "Why states should find newer resources rather than cut back on spending")
Indian companies prefer commercial paper route to raise cash, shun banks
Rs 1.9 trn of short-term debt issued in September, against Rs 1.3 trillion in August
 "Indian companies prefer commercial paper route to raise cash, shun banks")
Bad debt will hinder India's economic recovery: Ex-RBI Guv Subbarao
Even before the pandemic struck, India's financial sector was going through tough times
 "Bad debt will hinder India's economic recovery: Ex-RBI Guv Subbarao")
Banks told to credit 'interest on interest' to borrowers, RBI tells SC
Banks, financial and non-banking financial institutions have been asked to take "necessary actions" to credit into the accounts of eligible borrowers by November 5, RBI has told the Supreme Court.
Statsguru: Rough terrain for states amid slowing economy hit by Covid-19
In FY20, provisional accounts indicate that states' revenue receipts were 12 per cent lower than the Budgeted amount
 "Statsguru: Rough terrain for states amid slowing economy hit by Covid-19")
A fresh lease of life for real estate?
The Reserve Bank has taken all the right steps to attract home buyers and encourage housing finance companies. A couple of other things can complete the suite
 "A fresh lease of life for real estate?")
Reserve Bank to evaluate impact of 'RBI Kehta Hai' awareness campaign
The Reserve Bank will evaluate the impact of multi-media public awareness campaign 'RBI Kehta Hai', which was launched in 14 languages to educate the public about safe banking and financial practices.
 "Reserve Bank to evaluate impact of 'RBI Kehta Hai' awareness campaign")
Book excerpt: How RBI under Raghuram Rajan started the war against NPAs
The RBI found that the banks were delaying recognising large accounts as NPAs, even if projects were not starting up, and the 'project commencement' milestone was largely cosmetic
 "Book excerpt: How RBI under Raghuram Rajan started the war against NPAs")
Axis Bank, subsidiaries to acquire 19% stake in Max Life in revised deal
RBI did not consider Axis's earlier proposal of acquiring 17% stake in Max Life
 "Axis Bank, subsidiaries to acquire 19% stake in Max Life in revised deal")
Bank lending expanded by over Rs one trillion in Sept: Soumya Kanti Ghosh
Overall credit that month was Rs 71,500 cr from a negative Rs 36,000 cr in August. Hence, effectively credit jumped by Rs 1.07 trillion in Sept, says SBI's chief economic advisor
 "Bank lending expanded by over Rs one trillion in Sept: Soumya Kanti Ghosh")
A reform that demands more attention
Awareness of the banking sector's many initiatives to help stressed businesses tide over the pandemic is low
Banks focus on services sector for credit growth, shows RBI data
Credit growth to the services sector accelerated to 9.1 per cent YoY at the end of September from 7.3 per cent a year ago.
RBI to conduct second OMO purchase of State Development Loans next month
The Reserve Bank of India will conduct the second Open Market Operations (OMOs) purchase of State Developments Loans (SDLs), aggregating Rs 10,000 crore, on November 5, 2020.
Best of BS Opinion: Coupling of power exchanges, regulatory overkill & more
Here's a selection of Business Standard opinion pieces for the day
 "Best of BS Opinion: Coupling of power exchanges, regulatory overkill & more")
Growth constraints
State govt finances would remain under pressure for years
RBI fines Jio Payments Rs 1 cr for failing on CEO reappointment rule
Action was based on the deficiencies in regulatory compliance, says central bank.
 "RBI fines Jio Payments Rs 1 cr for failing on CEO reappointment rule")
States facing increasing redemption pressure as borrowings have zoomed
RBI report lauds Odisha, Haryana for dipping into own 'rainy funds' instead of borrowing more; views Gujarat, UP and Punjab as over-leveraged
