The nation’s foreign currency reserves were depleted after it bought a $140 million bond to pay the GMR group $240 million as compensation for cancelling a contract.
Both the former and current RBI governors are surely acquainted with the Gujarati saying “Kona Baapni Diwali”. This cannot be the Centre’s stance when it comes to solving India’s NPA crisis.
The RBI’s statement, the first after the Budget, carries forward the Budget’s message of fiscal discipline and consolidation.
The RBI is opting to wait for more clarity on inflation trends and on how a radical crackdown on “black money” is impacting economic growth.
If the monetary policy committee waits until April, it will have a better idea of demonetisation’s negative impact and a firmer grasp of global commodity price trends.
Given the imperious attitude of new leaders to institutions of the old order, the questioning of central bank independence is a given.
Proposed amendments to RBI Act, IT Act and RP Act would leave the RBI and IT department with no means to probe funding of political parties.
Improving export competitiveness depends on the government, through prudent fiscal policy, and the RBI, through appropriate monetary policy that maintains price stability.
The Reserve Bank also promised to review the weekly limit in the near future depending on the pace of remonetisation.
The RBI must now revisit its blanket refusal to answer an RTI query on demonetisation and provide a proper reply in a fortnight’s time.
The RBI governor also stated that Rs 9.2 lakh crore has been introduced into the economy in the form of new notes since November 8.
The Reserve Bank announced today that it raised the withdrawal limit at ATMs to Rs 10,000 with immediate effect, though the weekly limit remains Rs 24,000
In an interview with The Wire, the former central banker talks on the infeasibility of executing demonetisation while raising concerns over re-starting the working capital cycle of small and medium businesses.
In a letter to RBI governor Urjit Patel, the employee’s union says that the image of the central bank has been dented beyond repair.
Rising non-performing assets and sluggish economic growth have led to a decline in corporate borrowing, inhibiting the anticipated lending bonanza to companies from banks after demonetisation.
Deputy governor R. Gandhi’s claims on the quantity of low-value notes pumped into circulation are false. The giant release of small change is just another attempt at spin.
The Modi government’s claim that the public supports demonetisation ignores the localised agitations and dissenting voices from across the country.
Reddy also said that the problem of black money cannot be eliminated through demonetisation alone.
The latest rules create a window for NRIs and Indians who travel abroad to change their last 500 and 1000 notes, but what about everyone else?
The Sena also said that the BJP is living in a fool’s paradise if they think that demonetisation has ended the menace of black money
People have lost their jobs, small businesses are closing down and the agricultural sector has been hit hard as a result of demonetisation. The RBI must increase the supply of cash to curb further fallout.
India’s economy had some positives in 2016, but issues like joblessness, lower agricultural incomes and the demonetisation aftermath remain matters of concern.
Demonetisation has proved that it’s time we revisit what Gandhi and his colleagues had to say about public welfare and the importance of decentralisation.
More stonewalling from the ‘Reserved’ Bank of India
On Saturday evening, Modi addressed the country for the second time after the demonetisation announcement. Here’s what he had to say.
2017 will need to see less of the carrot and more of the stick in order to persuade India’s institutions to prepare against an ever-increasing number of cyber security threats.
Refusal to disclose reasons for the demonetisation decision does not stand up to legal scrutiny, RTI experts say.
Calculations based on the meagre numbers the RBI has released prove that the government’s aim of extinguishing black money has fallen flat.
The penalty for holding more than ten old notes may include financial fines and a jail term of up to four years in certain cases.
It is dangerous for the government to seek financial stability at the cost of people who entrust their money to banks.
The official line seems to be, ‘Show me your money but I won’t show you my records’.
When the RBI signed off on demonetisation, its central board had the lowest number of directors in 15 years and only three truly independent directors.
The gap between what the apex bank claims it has disbursed and what, according to its own earlier numbers, it could possibly have disbursed, has now grown to over Rs 66,000 crore.
Doctored videos, false news and WhatsApp hoaxes. India has it all and cannot afford to be silent during a debate on how best to fix fake news.
Customers with non-KYC accounts will be subject to the stiff conditions imposed by the RBI on December 19 for depositing old notes.
Either parliament has been misled by the government or claims about the supply of new currency by the RBI are flawed.
Deposits in excess of Rs 5,000 will only be credited once, and that too after the depositor is questioned as to why the notes weren’t deposited earlier.
The greater and longer the pain of demonetisation, the greater is the degree to which one of its key premises is undermined.
Though India will be affected and the rupee may weaken, comforting levels of foreign exchange reserves will likely soften the blow. Emerging economies with high external debt measured in US$ will suffer more.
The apex bank has repeatedly said that there are enough new notes available in the banking system. But the numbers they are providing show a different reality.