The Financial Stability Report, December 2022 released by the Reserve Bank of India presents a very detailed account of the kind of challenges the Indian economy is faced with on account of the current global scenario of continued war in Europe and retaliatory sanctions and the resurgence of the Covid 19 pandemic syndrome with new […]
Continue ReadingIn its Monetary Policy Statement dated December 7, 2022, The Reserve Bank of India (RBI) has increased the policy repo rate under the liquidity adjustment facility (LAF) by 35 basis points from existing 5.90 percent to 6.25 percent. ‘’Policy Rate” means the rate for repo-transactions as specified under sub-section (12AB) of section 17 of the […]
Continue ReadingRecently the SEBI has made an important change in the methods of appointment and removal of independent directors in listed companies through an amendment in the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (Listing Regulations) vide its notification dated 14.11.2022. The amendment has been made in sub-regulation 2(A) of […]
Continue ReadingRecently a researcher at Harvard Business School with a focus on the long-term sustainable growth dynamics of countries has observed that a new global economy driven by size is emerging and that economic competitiveness is determined by several micro and macro-economic factors. While the micro-economic forces influence how businesses innovate in a competitive environment, the […]
Continue ReadingThe Monetary Policy Committee (MPC) of the Reserve Bank of India has decided to further increase the policy repo rate under the liquidity adjustment facility (LAF) by 50 basis points. As a result, the repo rate has increased from 5.40 per cent in the last Monetary Policy instance to 5.90 per cent now. Accordingly, the […]
Continue ReadingThe Monetary Policy Committee (MPC) of the Reserve Bank of India has decided to Increase the policy repo rate under the liquidity adjustment facility (LAF) by 50 basis points to 5.40 per cent with immediate effect and accordingly, the standing deposit facility (SDF) rate has been adjusted to 5.15 per cent and the marginal standing […]
Continue ReadingRecently, the Federal Reserve Bank raised its interest rates by 0.75 percentage points. This has pushed up the benchmark overnight borrowing rate to the rage of 2.25 – 2.50 percent. In fact, the possibility of a consecutive increase in the interest rates was considered as imperative in the policy document of June 2022 itself, due […]
Continue ReadingRecently the government raised concern about the possibility of twin deficit problem emerging in Indian economy. A twin deficit problem occurs when there is a simultaneous increase in both the fiscal deficit and the current account deficit due to factors that cause these deficits to widen as a side effect of one or the other. […]
Continue ReadingNormally the Reserve Bank of India declares its Monetary policy every two months. Last policy was announced on April 8. 2022. However, this time it has not waited till the scheduled meeting of the Monetary Policy Committee to be held in June and so everyone was surprised as to how come a revision in the […]
Continue ReadingIn its recent Monetary Policy the Reserve Bank of India seems to have shifted its bias from growth back to keeping inflation within the tolerable limits. In the last two years the central bank has adopted accommodative monetary policy stance in tandem with the large scale economic stimulus and policy reforms introduced by the central […]
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