The central bank, however, would prefer money supply in deficit mode.
Can the Indian hedge fund managers convince the wealthy to take up the expensive investment strategy?
Keeping that much money out of the banking system has created a liquidity deficit that has forced banks to borrow as much as RS 1.6 trillion from the central bank to meet daily funding needs.
Current account deficit could ease to around 3 per cent in the current fiscal year from prior estimates of about 4 per cent due to sharp drop in global commodity prices.
While the country imposed limits, it also eased and simplified other restriction to attract foreign inflows. This is done to plug record current account deficit.
It believes that BSE Sensex will reach 22,500 by December-end.
Higher food prices can accelerate broader inflation by pushing up wages, while negatively impacting the government finances and reducing monetary policy flexibility, Moody's said in a report.
It feels govt may find it challenging to meet the revenue projections.
Majority of the experts expect a 25 basis point reduction.
They shied away due to concerns over asset quality and a rise in NPAs.
Rates India 'BBB-' with a negative outlook.
It believes that there had been "little progress" in structural reforms.
New Delhi plans to cut public spending by up to 10 percent in the fiscal year starting in April, officials involved in the budget preparations told Reuters last week, as Finance Minister P Chidambaram struggles to bring down the fiscal deficit to 4.8 percent of gross domestic product and stave off a credit rating downgrade.
Exports were up 0.8 per cent in Jan while imports rose 6 per cent.
The warning late on Wednesday came as a surprise given Tata shares hit a record high earlier this month on a rally sparked by expectations for improving sales at JLR, especially in the key China market, and optimism about the launch of new models.
It said that the company encourages "chronic under-performers" to leave as part of its staff management.
The software services provider looks to cut costs and boost sales.
Remarks come at a time when he is under pressure from the govt to cut interest rates.
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