RBI to conduct Variable Rate Reverse Repo auction on Jan 15 for notified amount of Rs 2 lakh cr

Reserve Bank of India has announced that it will conduct a Variable Rate Reverse Repo auction on 15th of this month for a notified amount of two lakh crore rupees.   In a statement, RBI today said the decision to restore normal liquidity management operations in a phased manner has been taken after a review of the evolving liquidity and financial conditions.  In view of the COVID-19 outbreak, RBI had temporarily suspended the revised liquidity management framework.

Round the clock RTGS Money transfer facility becomes operational

Reserve Bank of India has made Real-Time Gross Settlement (RTGS) money transfer facility operational round-the-clock. The announcement to this effect was made by RBI Governor Shaktikanta Das. In a tweet, he said it has been decided to make RTGS available round the clock on all days of the year from last night. RBI Governor said, India has become one of the few countries in the world to operate its RTGS system round the clock throughout the year. The move is aimed at giving a push to digital paym...

RBI issues draft circular on declaration of dividend by NBFCs

Reserve Bank of India has issued draft circular on declaration of dividend by non-banking financial companies (NBFCs) in pursuance to the announcement made in the monetary policy declared last Friday. Accordingly, deposit-taking NBFCs and systemically important non-deposit-taking NBFCs must have their net non-performing assets  below six percent and a capital adequacy ratio of at least 15 percent for the last three years, including the accounting year for which it proposes to declare dividend. R...

Reserve Bank keeps repo rate unchanged at 4 %

RBI asks HDFC to stop new digital business launches; avoid adding new Credit Card customers

RBI names 2 startups as a part of its regulatory sandbox programme

Reserve Bank of India reallocates portfolios of deputy governors

Reserve Bank of India has reallocated portfolios of deputy governors, with the department of regulation entrusted to the newly-appointed M Rajeshwar Rao.    Mr Rao was executive director of the Reserve Bank before being elevated to the post of deputy governor.   He took the new charge last week.   Besides the department of regulation, Mr Rao will look after the departments of communication, enforcement legalities among others.   Mr Rao was appointed to the post vacated by NS Vishwanathan, who st...

RBI revises PSL guidelines; Bank loans to start-ups to get priority sector tag

Rs 2,000 currency notes not printed in 2019-20: RBI

Reserve Bank of India has said that it did not print currency notes of 2,000 rupee denomination in 2019-20. In its annual report, RBI said the circulation of these high denomination currency notes has been on a decline. On the other hand, the circulation of currency notes of 500 and 200 rupee denomination has gone up substantially, both in terms of volume and value over the three years beginning 2018.   The report also said, a total of 2.96 lakh of counterfeit currency notes was detected by the ...

RBI directs banks, NBFCs, digital lending platforms to disclose full information

To make digital lending more transparent, the Reserve Bank of India has directed banks, Non Banking Financial Corporations and digital lending platforms to disclose full information upfront on their websites to customers. The direction comes against the backdrop of several complaints relating to exorbitant interest rates and harsh recovery measures, among others, against lending platforms.   The RBI said that immediately after sanction of loan, a letter must be issued to the borrower on the lett...