The Reserve Bank of India has cut the repo rate (at which it lends to the banks) by 525 basis points to 4.75 per cent from the pre-credit crunch level. Yet, companies continue to borrow much of their working capital at 12.25 per cent, which is State Bank of India's prime lending rate and a sort of benchmark. Nearly three-fourths of all working capital loans like cash credit and overdraft are lent at bank's prevailing PLR.
Air India is understood be in negotiations with state-run banks to avail working capital loans at low interests.
The most financially successful borrowers will not necessarily be those who have the easiest access to credit. They will be the ones who understand how to manage it wisely
Loans to micro, small and medium enterprises (MSMEs) in India saw moderated growth in April 2026, with early signs of stress emerging among micro borrowers and manufacturers, according to a report by credit bureau CRIF High Mark. The slowdown is attributed to potential impacts of global uncertainty.
The Indian banking sector is projected to experience a steady 9-13 per cent industrial credit growth in the first half of 2026, driven by capital expenditure, infrastructure development, and sectoral demand recovery, according to a Ficci-IBA survey.
LAMF allows investors to access liquidity while staying invested.
Fintech giant PhonePe has announced it has surpassed 50 million registered merchants on its platform, marking a significant milestone as it expands its financial service offerings beyond QR code payments.
Ask rediffGURU and PF, MF and insurance expert Purshotam Lal your mutual fund, insurance and personal finance-related questions.
The Reserve Bank of India (RBI) has allowed banks to grant need-based working capital loans to manufacturers using gold as raw material, extending the provision currently available only to jewellers. Banks are generally prohibited from lending for the purchase of gold/silver in any form, or lending against the security of primary gold/silver.
Banks have become more vigilant over the past two weeks, with many more officials involved in loan approval and disbursal.
"With the leverage available, I believe the scheme remains reasonably attractive," said P D Singh, India and South Asia Chief Executive Officer, Standard Chartered Bank, regarding the Foreign Currency Non-Resident (Bank) or FCNR (B) deposits.
'You empower a man, you are not necessarily empowering a family, you are just empowering him.'
Beijing clearly intends to extend the China-Myanmar Economic Corridor to Bangladesh as part of its larger Maritime Belt and Road Initiative to boost its Indian Ocean presence.
India's market regulator, Sebi, has approved the re-introduction of open-market share buybacks through stock exchanges, effective August 1, 2026, alongside easing debt listing norms for RBI-regulated entities and simplifying rules for mutual funds and alternative investment funds.
Life cycle funds may suit people who are starting their investing journey. They may suit those who do not want to monitor their investments frequently. Busy professionals, beginners and delegators, who lack the time, information or interest to manage asset allocation actively, may find these funds useful.
Tata Capital Ltd, set to launch its IPO next week, has identified green financing and digital innovation as its core growth pillars, backed by the merger of its IFC-backed subsidiary Tata Cleantech Capital in 2024. By FY25, the cleantech and infrastructure finance book reached Rs 18,000 crore, growing at a 31.8 per cent CAGR over the last two years, the NBFC said on Friday.
The pickup was driven partly by fresh corporate investment but more by higher working-capital demand.
'We strongly believe that anyone with capability and a strong work ethic should have a chance at the top job.'
Work has commenced on restoring the North and South Blocks to their original design, paving the way for the Yuge Yugeen Bharat National Museum project, with a target completion date for the first phase set for 2028.
A delegation of Indian startup founders and leaders visited the UK to explore collaborations in artificial intelligence and technology, aiming to strengthen the India-UK innovation corridor.
Investors can meet cash needs without selling their securities.
State Bank of India Chairman C S Setty has expressed support for a 'pause' in policy rates by the Reserve Bank of India's monetary policy committee, believing it will help stabilise conditions and support economic growth. He also urged investors to look beyond short-term equity market movements and focus on India's structural transformation, driven by reforms and digital infrastructure.
If TVK MLAs and ministers are perceived as clean, or demonstrably cleaner than their predecessors, the credibility dividend will be enormous. The voter will feel rewarded, points out Ramesh Menon.
Ask rediffGURU and PF expert Nitin Narkhede your mutual fund and personal finance-related questions.
The Confederation of Indian Industry (CII) has proposed a 20-point policy agenda to the finance ministry, including a conflict-linked emergency credit line guarantee scheme and tax rationalisation on energy inputs, to support MSMEs, exporters, and energy-intensive industries affected by the ongoing West Asia war.
Deferred payment plans may come with a cost, which may not be immediately visible.
'We are staying away from making forward-looking statements on when we will reach 1 trillion, etc. But growth will be rapid; it's only a matter of time.'
'Healthcare costs in India rise by 10 to 14% annually, causing treatment costs to double roughly every 5-7 years.'
rediffGURU T S Khurana answers readers' personal income tax queries
Ask rediffGURU Reetika Sharma your insurance, mutual fund and personal finance-related questions.
'There is a challenge in repositioning yourself, maybe reinventing yourself.'
'Reinvention is not a hugely difficult task. With technology as available today, you can reinvent yourself pretty quickly.'
There are hopes of a turnaround in overall corporate earnings after six quarters of single digit growth.
Indian corporate are increasingly shifting away from bank funding towards alternative sources, such as equity and bond markets, as their deleveraged balance sheets have improved their ability to raise equity at better valuations. Moreover, the 100 basis points (bps) rate cut by the Reserve Bank of India (RBI) has enabled them to access long-term funds from the debt capital market at cheaper rates.
West Asia conflict triggers sharp sell-off in Indian markets, with realty, banking and auto stocks leading losses amid energy shock fears.
Leading non-banking financial company (NBFC) Shriram Finance on Friday said Japan-based MUFG Bank would invest Rs 39,618 crore, or $4.4 billion, to acquire a 20 per cent stake on a fully diluted basis through a preferential issue of equity shares.
A disruption in the supply of LPG cylinders caused by tensions in the Strait of Hormuz is impacting Indian kitchens, leading to restaurant closures, price hikes and a surge in demand for electric cooktops.
'Money is not just about greed or accumulation. It gives you freedom, dignity and choice. And you have every right to all three.'
The Gems and Jewellery Export Promotion Council (GJEPC) has urged the Centre to provide immediate relief measures as the tariffs imposed by the United States have started hitting the industry. US tariffs of 50 per cent on Indian goods came into effect on August 27.
A court in Mumbai has issued a non-bailable warrant against diamantaire Mehul Choksi in the Canara Bank-led consortium loan fraud case involving about Rs 55 crore. Choksi, a prime accused in the multi-million dollar Punjab National Bank (PNB) 'fraud', was arrested in Belgium on April 12 following an extradition request by Indian probe agencies.
