Zero percent Risk Weights for existing or future maximum eligible claims under Credit Guarantee Schemes (CGS)
The Reserve Bank of India on Wednesday advised all the financial institutions that the risk weight of zero percent shall be applicable in respect of exposures guaranteed under any existing or future schemes launched by CGTMSE, CRGFTLIH, and NCGTC satisfying certain conditions. “In order to have a consistent approach with regard to risk weights for…
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RBI initiates Project digitalisation of KCC lending
The Reserve Bank of India considering the importance of digitalisation of rural finance in India initiated a pilot project for end-to-end digitalisation of Kisan Credit Card (KCC) lending. This initiative of fintech is developed by the Reserve Bank Innovation Hub (RBIH) in association with the RBI. The pilot project will commence in September 2022 in…
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RBI formulates new digital lending rules. Know how new system works
The Reserve Bank of India (RBI) has laid a new framework for digital lending. Regulated entities like All Commercial Banks, Primary (Urban) Co-operative Banks, State Co-operative Banks, District Central Co-operative Banks; and Non-Banking Financial Companies (including Housing Finance Companies) are required to comply with the new guidelines by November 30, 2022. The new rules will…
Read article RBI clarifies on a bulletin article on privatization of public sector banks
The Reserve Bank of India (RBI) on Friday issued a clarification on a bulletin article on privatisation of public sector banks.“This is regarding reports in certain sections of the media stating that the RBI is against privatisation of Public Sector Banks (PSBs). These media reports have cited an article titled “Privatisation of Public Sector Banks:…
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Banks in India cannot perennially rely on RBI’s money to support credit offtake: Shaktikanta Das
RBI Governor Shaktikanta Das on Friday said banks cannot perennially rely on the central bank’s money to support credit offtake and they need to mobilise more deposits to aid credit growth. Indian banks cannot perennially rely on the central bank’s money to support credit offtake and they need to mobilise more deposits to aid credit…
RBI hikes Repo rate by 50 BPS, other policy rates are also gone up
RBI Governor Shaktikanta Das-headed six-member monetary policy committee (MPC) on Friday decided to raise the repo rate by 50 basis points and announced the withdrawal of the accommodative stance, largely in line with expectations, making it a non-event. “On the basis of an assessment of the current and evolving macroeconomic situation, the Monetary Policy Committee…
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