RBI Policy Review
The Reserve Bank of India (RBI) cut interest rates for a third time this year on Tuesday, taking advantage of subdued inflation to give more support to an economy that many economists doubt is doing as well as latest impressive growth numbers suggest. Full Article | Column: What next?
MUMBAI - India's growth rate may be weaker than headline numbers suggest and demand has yet to pick up strongly, the governor of the Reserve Bank of India said after the bank's policy meeting on Tuesday.
REUTERS - The Reserve Bank of India (RBI) cut its policy interest rate by a quarter percentage point on Tuesday, easing policy for a third time this year, in a move that was widely expected as policymakers try to put the improving economy on a firmer footing.
MUMBAI - State Bank of India (SBI), the nation's top lender by assets, said on Tuesday it would cut its base lending rate by 15 basis points to 9.7 percent effective June 8 after the central bank cut its key policy rate for the third time this year.
MUMBAI - The governor of the Reserve Bank Of India (RBI) said on Tuesday the finance ministry and the central bank agreed on the need for a separate public debt management office, but cautioned against moving in haste to overhaul financial regulation.
MUMBAI - Room for more rate cuts in India may open up if monsoon rains are better than expected or if the government takes steps to prevent food prices from rising and if global oil prices remain low, said Reserve Bank of India (RBI) Governor Raghuram Rajan on Tuesday.
NEW DELHI - The Reserve Bank of India's (RBI) decision to cut interest rates shows the economy needs support, Chief Economic Adviser Arvind Subramanian said on Tuesday.
MUMBAI - Reserve Bank of India chief said the biggest uncertainty ahead was the outcome of the annual monsoon, after the rains missed their normal start date, along with subsequent government action.
Worry Over Monsoon
Reserve Bank of India chief said the biggest uncertainty ahead was the outcome of the annual monsoon, after the rains missed their normal start date, along with subsequent government action. Full Article
What Governor Rajan Said
Hope to announce one set of bank licencing by August end
- Biggest uncertainty is the outcome of the monsoon at this point
- Monetary easing can only create enabling conditions for fuller govt policy thrust to step up public investment
- Our message to banks: provide for bad loans now than wait for later
- Banks should pass through "sequence of rate cuts" into lending rates
- Our policy will continue to be data contingent
Here is the full text of the RBI's second bi-monthly policy statement for 2015, where it cut the policy repo rate by 25 bps while keeping the cash reserve ratio unchanged. The third bi-monthly monetary policy statement will be announced on August 4. Read the press release