No one, including Indian government’s chief economic adviser Arvind Subramanian, is expecting the Reserve Bank of India (RBI) to lower its policy rate this week…
Where will the money come from for such an expansionary budget?
The equity market shrugged off the 10% LTCG tax (the smart move of sparing all gains up to 31 January 2018 prevented a sell-off) proposed…
Budget 2018-19: what banks will watch out for
The suspense over the Rs2.11 trillion recapitalisation of India’s public sector banks is over. A week ahead of the budget, the finance ministry announced that…
Long live India Post Payments Bank
A June 2016 report in Mint described India Post Payments Bank (IPPB) as the “hottest game in town”. Some 50 entities, including International Finance Corp.,…
Why Indian bankers are on overdrive to clean up books
The December Financial Stability Report of the Reserve Bank of India (RBI) suggests that the gross non-performing assets (NPAs) in the Indian banking system may…
2018: the year of bank resolution and recovery?
Globally, bankers are expected to do three things: collect deposits, give loans and invest in government bonds and other financial instruments. In India, they end…
Bank recapitalization: The mockery of MoUs and statements of intent
Public sector banks (PSBs) are “instrumentalities of the state”; managing them efficiently to promote economic development and further public interest calls for efficient public administration…
The story of ‘need-based’ capital infusion
Over the years, the government of India has been infusing “need-based” capital in public sector banks (PSBs) to enable them to maintain capital adequacy (both…