New Delhi: Encouraged by the declining trend in inflation, the Finance Ministry on Tuesday made a case for further rate cut by the Reserve Bank to boost sagging growth. "I think we need to look at statement made by RBI Governor during the last policy review where he had stated that RBI is closely monitoring inflation figures and if there is dramatic change in inflation figures then RBI will take that in to consideration during its next review," Department of Economic Affairs Secretary Arvind Mayaram said here.
"So, we do believe that RBI would look at this figure (inflation coming below 5 per cent in April)," he said. RBI is scheduled to announce mid-quarter review of monetary policy for 2013-14 on June 17.
Inflation fell to 41-month low of 4.89 per cent in April on account of decline in prices of food items, including fruits and vegetables. Based on the Wholesale Price Index (WPI), it stood at 5.96 per cent in March. In April, 2012, it was 7.50 per cent.
April recorded the lowest level of inflation since November, 2009 when it was 4.78 per cent. In order to accelerate economic growth, RBI earlier in May cut key interest rates by 0.25 per cent....
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03:41 PM, May 14, 2013
Mumbai/ New Delhi: Big banks say it will be difficult for them to pass on the benefit to customers even though the Reserve Bank of India (RBI) cut repo rate by 25 basis points on Friday even though the cash reserve ratio was left untouched. The banks say RBI's move is not enough to cut interest rates for customers. The State Bank of India (SBI) said there is not much...
03:03 PM, May 03, 2013
Mumbai: Sticking to its cautious stance, the Reserve Bank on Friday cut the key interest rate by just 0.25 per cent to 7.25 per cent and kept the liquidity enhancing cash reserve requirement unchanged, disappointing the industry and stock market. The RBI in its annual monetary policy statement said there would be modest improvement in the country's economic growth to 5.7 per cent in the current fiscal, as against the...
12:38 PM, May 03, 2013
Mumbai: In a move that is likely to bring cheers to the consumers, the Reserve Bank of India (RBI) cut repo rate by 0.25 per cent on Friday for the third time since January. The cut may lead to softening of loan EMIs. Following the 25 basis points cut, the repo rate stands at 7.25 per cent, its lowest since May 2011 even as Cash Reserve Ratio (CRR) has been...
11:21 AM, May 03, 2013
Mumbai: The Reserve Bank of India (RBI) on Thursday warned of "very limited" space for further easing of monetary policy this fiscal year, striking a hawkish tone a day before it was expected to cut interest rates by 25 basis points for the third time in 2013. The central bank's cautious language in its report on macroeconomic and monetary developments could dent rising market hopes for RBI Governor Duvvuri Subbarao...
08:25 AM, May 03, 2013
Mumbai: Dashing expectations of an interest rate cut that have risen because of the recent softening in inflation, as well as decline in crude and gold prices, the Reserve Bank of India on Thursday said there is "very limited" space for that in fiscal 2013-14 because of multiple global and domestic risks, notably inflation. A day before its annual monetary policy statement, the bank released the country's macro economic report...
11:10 PM, May 02, 2013
New Delhi: The Reserve Bank of India is likely to cut rates by 0.25 per cent in its monetary policy review on May 3, driven by falling inflation levels and recent declines in the prices of oil, gold, and the trade deficit, according to a Barclays report. "We expect the central bank to cut rates 50 bp (0.50 per cent) by mid- 2013," Barclays said, adding that RBI is likely...
11:45 AM, Apr 28, 2013
Washington: At a time when many countries are facing challenges on the fiscal consolidation front, India with its favorable interest rate growth differential has an advantage in addressing deficit concerns in 2013, International Monetary Fund (IMF) said on Tuesday. In its latest edition of annual Fiscal Monitor report, the IMF said there is an improved picture across most of the world in terms of countries getting a handle on their...
01:50 AM, Apr 17, 2013
New Delhi: Expressing disappointment over poor industrial performance, India Inc on Friday pressed for rate cut by the Reserve Bank of India (RBI) to boost production and further revive the economic growth. Industry chamber FICCI said the RBI should intervene and cut interest rates. "The IIP data for February calls for serious attention. It is important that RBI focuses on bringing down interest rates to stimulate investments which will further...
05:32 PM, Apr 12, 2013
Reserve Bank on Thursday notified 0.1 per cent reduction each in interest rates on Public Provident Fund (PPF) and Senior Citizen Savings Scheme (SCSS) to be effective from the fiscal beginning April 1, 2013. The rate of interest on PPF has been lowered from 8.8 per cent to 8.7 per cent with effect from April 1, 2013, RBI said in a notification. The rate of interest on 5 year SCSS...
06:51 PM, Mar 28, 2013
The finance ministry has lowered interest rates on Public Provident Fund (PPF), five-year and 10-year National Savings Certificates (NSC) by 0.1 per cent each, with effect from April 1. Interest rate on PPF has been cut to 8.7 per cent from 8.6 per cent, five-year NSC to 8.5 per cent from 8.6 per cent and that of 10-year NSC to 8.8 per cent from 8.9 per cent. ...
02:54 PM, Mar 25, 2013
Is the Income Tax surcharge on the super-rich the right way? Meera Sanyal, Country Executive India, Royal Bank of Scotland Group (RBS Group), joined IBNLive readers for an interaction on the issue. ...
06:10 PM, Mar 01, 2013
A day ahead of the Union Budget 2013, speculations are that Finance Minister P Chidambaram is likely to present a political budget ahead of the polls. But the question is whether it will reduce taxes for the aam aadmi. ...
09:29 AM, Feb 27, 2013
Over the last few years, there's been a trend of interest rates going up. Investors were generally happy investing in fixed deposits that offered a modest rate of interest. But now things are going to change. We are at an inflection point in the interest rate cycle; I am positive on the movement of interest rates and expect them to go down over the course of the next one year....
02:30 PM, Jan 23, 2013
New Tata Motors Ltd is the best performer among Sensex stocks in 2012, helped by hopes for a turnaround in the performance of luxury unit Jaguar Land Rover. Infosys Ltd earns the worst performer status among blue chips, given the persistent concerns about global demand for software services. GAIL, down over 9 per cent and Bharti Airtel, down 7 per cent, are among other losers. ...
03:14 PM, Dec 29, 2012
The Reserve Bank of India on Tuesday left policy interest rates unchanged as expected on Tuesday, ignoring the growing clamour from business and politicians to lower them, reiterating its October guidance of further policy easing in the March quarter as it shifts its focus towards boosting growth. ...
11:15 AM, Dec 18, 2012
The Reserve Bank of India (RBI) is expected to keep interest rates unchanged on Tuesday, according to a Reuters poll, with respondents split over whether it will cut the cash reserve ratio (CRR) for banks. ...
12:49 AM, Dec 18, 2012
All eyes are on the Reserve Bank of India on Tuesday as it reviews its credit policy. It is up against stubborn inflation. Will we see a cut in interest rates? CNBC-TV18's banking editor Lata Venketesh tells us what to expect. ...
09:30 AM, Oct 30, 2012
Tokyo: The Reserve Bank and the government must work in tandem to bring down interest rates, Finance Minister P Chidambaram said, while emphasising that high rates hurt everyone. "Fiscal policy and monetary policy should work in tandem to stabilise the exchange rate as well to bring down interest rates," he said in an interview. Chidambaram is in Tokyo to participate in the IMF-World Bank meetings. High interest rates "hurts everyone",...
01:51 AM, Oct 14, 2012
New Delhi: A day after the Reserve Bank of India's mid quarter (July-September) monetary policy announcement, Indias largest lender the State Bank of India on Tuesday slashed its base rate, the minimum benchmark rate below which RBI does not allow a bank to lend, by 25 basis points to 9.75 per cent. The bank took this decision in its asset liability committee meeting concluded late on Tuesday evening. With this...
11:40 AM, Sep 19, 2012
