The Reserve Bank of India (RBI) has banned four non-banking financial companies (NBFCs) to cease and desist from sanction and disbursal of loans, effective October 21, 2024. The NBFCs include Asirvad Micro Finance, Arohan Financial Services, DMI Finance Private and Flipkart founder Sachin Bansal’s Navi Finserv.In a statement, the central bank said that the “action…
RTGS, which is used for real-time fund transfers between banks, is operated by the RBI. (AI image) RTGS in dollars soon? Real Time Gross Settlement System or RTGS could possibly be expanded to include the settlement of transactions in major trade currencies such as the US dollar, euro, and pound sterling. The RTGS, which is…
MUMBAI: RBI governor Shaktikanta Das cautioned against unchecked use of artificial intelligence and machine learning in banking, saying it poses risks like market concentration, systemic instability, and increased vulnerability to cyberattacks.“Heavy reliance on AI can lead to concentration risks, especially when a small number of tech providers dominate the market.This could amplify systemic risks, as…
NEW DELHI: Retail inflation surged to a 9-month high in Sept on the back of a sharp spike in food prices, particularly vegetables, edible oils and pulses, dashing hopes of any interest rate cut for now.Data released by the National Statistics Office (NSO) on Monday showed the retail inflation, as measured by the consumer price…
MUMBAI: India’s foreign exchange reserves declined for the first time in eight weeks, falling by $3.7 billion to $701.2 billion in the week ended Oct 4, according to RBI data. Despite the decline, reserves remained above the $700 billion level.The fall comes after reserves reached a record high of $704.9 billion in the week ending…
HDFC Bank has increased lending rates by 5 bps on the 6-month and 3-year tenures. HDFC Bank Loan Rates: HDFC Bank has raised its marginal cost of funds-based lending rates (MCLR) on two tenures by a maximum of 5 basis points (bps). Following the adjustment, HDFC Bank’s MCLR interest rates will range from 9.10% to…
MUMBAI: Indian farmers are getting only about one-third of the final selling price of fruits and vegetables, while a majority share is skimmed away by wholesalers and retailers, a series of research papers published by RBI on food inflation has showed. This is in contrast to other sectors, such as dairy, where farmers receive around…
MUMBAI: India’s foreign exchange reserves crossed the $700 billion mark for the first time, following a $12.6-billion surge during the week-ended Sept 27, making it the fourth country after China, Japan, and Switzerland to reach the milestone. The weekly surge was the fifth-highest ever. Forex reserves were estimated at $704.8 billion, according to data released…
MUMBAI: Record growth in gold loans sanctioned by banks and non-banking finance companies is seen to be the trigger for RBI to step in and ask lenders to fix gaps in accounting for these loans to avoid a build-up of bad debt on their books.Gold loan sanctions in Q1 FY25 grew 26% year-on-year and 32%…
MUMBAI: RBI deputy governor Swaminathan J has sounded a word of caution for small finance banks (SFBs). Swaminathan has asked the boards of these banks to assess whether there is overdependence on high-cost term deposits or bulk deposits from a limited number of institutions from the point of long-term stability. The deputy governor also cautioned…
