The Reserve Bank of India (RBI) in its monetary policy review undertaken by the Monetary Policy Committee (MPC) has made the following decisions: RBI cuts repo rate to 5.4% from the current 5.75%. Reverse repo rate under liquidity adjustment facility stands revised to 5.15%. Marginal standing facility (MSF) rate and the bank rate reduced to 6%. ..
Topic: Interest Rates [10 items]
The United States Federal Reserve has announced a quarter-percentage-point cut in interest rates. This was the first-rate cut in 11 years- the first since the global financial crisis broke in 2008. The rate cut marked a departure from the hawkish rate-hike trajectory of US Federal Reserve moving in the direction of bolstering the debt-laden American economy. ..
The budget 2019-20 has reduced the corporate tax rate (CTR) from 30 per cent to 25 per cent for all firms with a turnover of Rs 400 crore. This would cover about 99.3 per cent of all firms in India. OECD Data on Corporate Tax across 100 Economies India has one of the highest corporate ..
Reserve Bank of India is the biggest regulator of the Indian markets. It controls the monetary policy of India. Its control is however limited to the organised part of economy and the unorganised sector which has a significant presence is largely unregulated. RBI frequently introduces many reforms to bolster the Indian economy which is in ..
Person in News: Bob Diamond Bob Diamond, Barclays Chief Executive resigned. Mr. Diamond and COO Jerry del Missier stepped down the day after Barclays Chairman Marcus Agius resigned and b/w an intense and deepening political row over standards in the City of London financial sector. Why was Mr. Diamond pressurized to leave? There was an ..
India has pursued financial sector reforms as a part of structural reforms initiated in the early 1990s. A major component of the financial sector reform process was deregulation of a complex structure of deposit and lending interest rates. The administered interest rate structure proved to be inefficient. It, therefore, became necessary to reform the interest ..
RBI works as a banker to the State Governments by agreement. But there is no fixed minimum reserve balance for the State Governments. All state Governments are required to maintain a minimum reserve balance with RBI, but it depends upon the size of the economy of the state and its budget. However, there are times, when there ..
The Cash Reserve Ratio is the amount of funds that the banks are bound to keep with Reserve bank of India as a portion of their Net Demand and Time Liabilities (NDTL). The objective of CRR is to ensure the liquidity and solvency of the Banks. The CRR is maintained fortnightly average basis. Impacts of ..