LIFE INSURANCE
Life insurance comes under service tax net — Not much comfort for policy holders
LIFE insurance services have come under the service tax net with effect from Friday, with the Finance Ministry withdrawing the exemption that was granted to such services in 2002. For the existing life insurance policyholders, the upsetting ... More

DEBT MARKET
Fall in bond prices feared
THE 50-basis-point hike in the cash reserve ratio (CRR) may not be good news to bankers who planned to shift statutory liquidity ratio (SLR) securities to the held to maturity (HTM) category by the end of this month. While the Rs 8,000 crore ... More

RBI & OTHER CENTRAL BANKS
RBI tightens liquidity to curb inflation — Cash reserve ratio hiked to 5 pc
IN a bid to check the liquidity overhang in the system, the Reserve Bank of India has hiked the cash reserve ratio (CRR), to be maintained by banks, by 50 basis points to 5 per cent of their demand and time liabilities. The CRR will be raised ... More

PRIVATE BANKS
Federal Bank to hike capital base
IN its bid to chart out a more strident growth trajectory, the Aluva-based Federal Bank is poised to increase its authorised capital base from the current level of Rs 50 crore to Rs 200 crore. The AGM of the bank, which is set to be held at ... More

FINANCIAL INSTITUTIONS
Banking cos, FIs exempted from service tax
BANKING companies and financial institutions need not henceforth fork out any service tax on any "taxable services" provided by them to either the Central Government or State Government in relation to collection of any duties or taxes. The ... More

GOVT BONDS
RBI announces auction of treasury bills
THE Reserve Bank of India announced the auction of 91-day and 364-day Government of India treasury bills for a notified amount of Rs 2,000 crore each. The auction will be conducted on September 15 and its payment will be on September 17, said ... More

CREDIT MARKET
Bank credit rises by Rs 24,114 cr
BANK credit for the fortnight ended August 27, increased by Rs 24,114 crore to touch Rs 9,08,309 crore. While food credit declined by Rs 2,428 crore to end at Rs 39,865 crore, non-food credit rose by Rs 26,541 crore to Rs 8,68,444 ... More

CREDIT CARDS & DEBIT CARDS
Bobcards joins credit card rate war
BOBCARDS Ltd is picking up the gauntlet on behalf of the public sector in the ongoing interest rate war in the credit card market. Close on the heels of rate war initiated by a leading foreign bank, Standard Chartered Bank, and the Indian ... More

REGULATORY BODIES & RULINGS
G7 forum focuses on standards in financial regulation
THE Financial Stability Forum (FSF) of the Group of 7 industrial countries has highlighted risks and vulnerabilities in the international financial system and the progress and challenges around the world associated with the implementation of ... More