'The temptation of governments, to have a finger in the RBI pie will be just too great to resist, unless extensive amendments are carried out in the RBI Act treating it almost as the fourth branch of the government.'
From a national point of view, inflation is the biggest threat posed by finance ministers.
The rally followed the govt's plan to bolster state-owned lenders.
Nowadays, our politics is habituated to sitting on a high pedestal, hobnobbing with world leaders, generating impressions of a superpower and returning to earth for the purpose of winning elections. In contrast, the yatra never left earth, observes Shyam G Menon.
Over the past week, the BSE Sensex ended on a muted note, showing a marginal gain of 2.25 points at 28,114.56.
Loans to wilful defaults are said to be a little over Rs 1 lakh crore.
Raghuram Rajan's three-year term is the shortest of any G20 country and the recent governors have been given second terms as much as seven months in advance.
A few market and economic indicators have begun looking up, thanks to what many term the 'Rajan effect'.
The Reserve Bank of India has formulated strategic polices to enhance growth in banking sector.
The Finance Minsiter says country requires 'a larger opening out in more sectors, stability of policy and tax regime'
Enthused by higher than expected GDP numbers in the fourth quarter of 2022-23, Chief Economic Adviser (CEA) V Anantha Nageswaran on Wednesday said India's economic growth may exceed the initial estimate of 6.5 per cent in the current fiscal and the country can look for another year of solid economic performance.
Moody's earlier this week lowered its growth forecast to 7 per cent, from 7.5 per cent.
The S&P BSE Sensex shed 286 points to close at 24,539 and the Nifty50 lost 100 points to end at 7,456.
Analysts have started talking about at least a 25 bps cut immediately.
RBI has already come out with a discussion paper on banking sector in India, on which the regulator has invited comments from stakeholders.
'If there is an RBI majority in the committee, there is no question of a veto.'
RBI expects the growth in the next fiscal to strengthen gradually, notwithstanding the significant headwinds.
RBI will cut rates in its next policy announcement on June 2.
India too will advocate the IMF quote reforms at the two-day meeting of G20 Finance Ministers and Central Bank Governors beginning Saturday.
India is likely to be the fastest-growing Asian economy in 2022-23, according to analysts at Morgan Stanley. They expect India's gross domestic product growth to average 7 per cent during this period - the strongest among the largest economies - and contributing 28 per cent and 22 per cent to Asian and global growth, respectively. The Indian economy, they said, is set for its best run in over a decade as pent-up demand is unleashed.
'Normally, the system is geared towards counting notes -- it is equipped to do x amount of work and one day you are asking them to do 20 x.' 'The processes involved are very complex.'
'It is building the country's infrastructure, and delivering it very efficiently.'
"I am an academic and I have always made it clear that my ultimate home is in the realm of ideas," Rajan said in a letter to staff.
The Reserve Bank of India is not a free agent. It never has been, nor should it ever be.
Shaktikanta Das said in Washington, DC, that there was nothing sacrosanct about the 25 bps rate cut and that monetary policy could be well served by calibrating the size of the policy rate to the dynamics of the situation, and the size of the change itself could convey the stance of policy.
The Indian economy is likely to witness close to double-digit growth in the current fiscal year despite the second COVID-19 wave ravaging the country, Principal Economic Adviser (PEA) Sanjeev Sanyal said on Wednesday. The economy is slowly getting back to normalcy as the number of COVID-19 cases is declining, he said while participating in India Global Forum event. "We are probably going to see close to double-digit, if not double-digit (growth) in this financial year," he said.
Tuesday's policy announcement had a regulatory and development component.
RBI Governor Raghuram Rajan wanted to improve training for staff, through initiatives such as sending them to other central banks for short stints.
The Reserve Bank on Tuesday cautioned that continued uncertainty over monsoon could stoke food inflation, but expressed the hope that government policies will improve supplies in the coming months.
As the clean-up has taken hold, loan growth slipped to 10.7 per cent in the last fiscal
Real estate biggies unhappy with status quo on RBI rate cut.
Raghuram Rajan, whose current three-year tenure ends on September 4, has already said no to a second term.
With a sole mandate of inflation targeting, RBI wears many hats.
After Raghuram Rajan leaves, the world for the succeeding RBI governors will be distinctly different.
The RBI announced its monetary policy on Tuesday.
Only one 25 basis points rate cut is likely this calendar year, between April and June, the poll says
The move will likely attract more retail investors.
Central bank sees ray of hope in govt's latest promises
Headed by Urjit Patel, MPC for the fourth straight time kept the repo rate unchanged, at which it lends to the banks, at 6.25 per cent. The reverse repo, at which RBI borrows, will be 6 per cent.
The final and most significant reset in the relations between the government and the RBI is the manner in which the process of appointing the governor and deputy governors of the central bank has been changed.
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