Unwelcome news to depositors of Savings and term deposits in banks
State Bank of India, country’s largest lender announced the cut the interest rate on savings bank (SB) deposits up to Rs.1 lakh to 3.25 per cent from 3.50 per cent effective from November 1, 2019. The bank has also announced a reduction in interest rates on term deposits across select maturities. This has created panic…
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RBI asks SLBCs to identify one district per state for Digital Payments Ecosystem expansion
With a view to expanding and deepening the digital payments ecosystem, on Monday, October 7, 2019, directed all state level bankers’ committees to find out one district each on a pilot basis to expand digital payments ecosystem. The development comes after the Statement on Developmental and Regulatory Policies announced by RBI on October 4, 2019,…
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Scope of Special Non-Resident Rupee (SNRR) Account being enhanced: RBI
RBI in its Statement on Developmental and Regulatory Policies, on Friday, October 4, 2019, announced that the scope of non-interest bearing Special Non-resident Rupee (SNRR) Account being enhanced. The statement said that in consultation with the Government, it is decided by RBI to permit persons resident outside India to open SNRR accounts, facilitating Rupee denominated…
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RBI taking steps to develop Off-shore Rupee market
Reserve Bank of India, in the Statement on Developmental and Regulatory Policies announced on Friday October 4, 2019, announced that it would take steps to develop offshore Rupee Market based on the recommendation of Task Force on Offshore Rupee Markets. The Task Force chaired by Smt. Usha Thorat had recommended several important measures to develop…
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RBI raises lending capacities of Micro Finance Institutions
RBI in its Statement on Developmental and Regulatory Policies announced, on Friday, October 4, 2019, raising the household income limit for borrowers of NBFC-MFIs from the current level of ₹ 1.00 lakh for rural areas and ₹ 1.60 lakh for urban/semi-urban areas to ₹ 1.25 lakh and ₹ 2.00 lakh, respectively. The Y.H.Malegam sub-committee of…
RBI slashes Repo rate by 25 Basis points
Today October 4, 2019, RBI decided to cut interest rate by 25 basis points. With this cut RBI reduced Repo rate for the fifth time in a row. While releasing the fifth Bi-Monthly Monetary Policy Rates for 2019-20 the MPC said that the rate is reduced on the basis of an assessment of the current…
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