The Hindu Business Line : Thursday, October 16, 2008

MONEY & BANKING

CRR & BANK RATES: RBI cuts cash reserve ratio yet again
100 basis point reduction to release Rs 40,000 cr more to banks. Mumbai, Oct. 15 The Reserve Bank of India on Wednesday announced a host of measures including a one percentage point reduction in Cash Reserve Ratio (CRR) to infuse more money into ...

FARM CREDIT: Banks, Nabard to get first instalment of farm debt waiver
New Delhi, Oct. 15 The Finance Minister, Mr P. Chidambaram, on Wednesday announced that the Reserve Bank of India would provide temporary liquidity support of Rs 25,000 crore to commercial banks and Nabard against the farm debt ...

FINANCIAL MARKETS: Brands in trouble
Some of the most iconic brands have taken a thorough beating with the recent meltdown in the global markets.. “Buildings age and become dilapidated. Machines wear out. Cars rust. People die. But what lives on are ...

FINANCIAL MARKETS: Cos see domestic clients delaying payments
Trend evident in aviation, manufacturing, government sectors. Mumbai, Oct. 15 The current liquidity crunch in India seems to be creating a problem for IT companies when it comes to collection of dues from their domestic clients. Several mid-tier ...

CRR & BANK RATES: ‘CRR cuts unlikely to help improve liquidity’
Bankers sceptical of impact in view of rupee depreciation. Bangalore, Oct. 15 The Reserve Bank of India’s (RBI) liquidity support through Cash Reserve Ratio reduction and farm loan waiver payments is likely to have only a short-term ...

FINANCIAL INSTITUTIONS: ‘Reform institutions of international governance’
Need to manage crisis in a way that does not jeopardise development: PM. The Prime Minister, Dr Manmohan Singh, in his address at the third India-Brazil-South Africa summit, expressed a strong need to reform the institutions of international ...

CRR & BANK RATES: ‘A welcome step’
Bankers feel that the steps that the Government proposes to take by providing finance to banks with capital adequacy ratio less than 12 per cent is a welcome step in the interest of the system. Mr N. Kamakodi, Executive Director, City Union ...

SHORT TERM INSTRUMENTS: Call rates close higher
Call rates closed higher at 10-10.25 per cent, against the previous close of 8.75-9 per cent. In the CBLO market, there were 412 trades amounting to Rs 20,118.50 crore in the rate range of 8.8-10 per cent. In the two one-day repo auctions under ...

FINANCIAL MARKETS: Liquidity panel hears out views of industry
Mumbai, Oct. 15 The committee set up by the Finance Minister to assess the liquidity conditions in the system will submit its interim report by next week to the Union Government, said Mr Arun Ramanathan, Finance Secretary and the head of ...

INSIGHT: Ninja and Dinky
No income, no job and no assets (Ninja) is a popular acronym doing the rounds, though for wrong reasons. Those in the know aver that the US financial meltdown triggering off a worldwide contagion has its origin in ...

MUTUAL FUNDS: RBI extends special repo auction for MFs; response poor
Mumbai, Oct. 15 The response from banks to the special repo auction scheme for mutual funds continued to be poor. On Tuesday, banks borrowed only Rs 200 crore, against the available limit of Rs 16,500 ...

FINANCIAL SERVICES: Post offices to sell gold coins, in tie-up with Reliance Money, WGC
New Delhi, Oct 15 The ubiquitous post offices would now start selling gold coins. India Post, Reliance Money and World Gold Council (WGC) on Wednesday announced a strategic tie-up under which gold coins would be sold in little over 100 ...

PUBLIC SECTOR BANKS: Andhra Bank to launch mobile ATM in Vizag
Visakhapatnam, Oct. 15 Andhra Bank is planning to introduce a mobile ATM in Visakhapatnam shortly, according to Mr V.S. Sarma, Deputy General Manager of the ...

FOREIGN INSTITUTIONAL INVESTORS: Economists differ over likely FII response
Thiruvananthapuram, Oct. 15 Leading economists have welcomed the coordinated measures taken by the Reserve Bank of India and the Finance Ministry intended to boost domestic ...

PRIVATE BANKS: Axis Bank wins case against Rajshree Sugars
Chennai, Oct. 15 IN what is termed as a precedent-setting judgement, the High Court of Madras has ruled that contracts of derivatives are not contracts of wager and are not null ...

CRR & BANK RATES: ‘Move will cool call rates’
Chennai, Oct. 15 Mr S.A. Bhat, Chairman and Managing Director, Indian Overseas Bank, said that the CRR cut of 1 per cent to 6.5 per cent will cool down the interest rate prevailing in the call money market but it must also be taken ...

CREDIT MARKET: Banks must lend, but can they be forced to?
The main difference between free market and State-controlled economies is not ownership of assets, but the presence or absence of ...

FINANCIAL POLICY: Proposed scheme may benefit listed public sector banks
Raising of FII cap in debt market positive for rupee. BL Research Bureau The Finance Minister on Wednesday announced measures to improve the liquidity in the system and to make sure that credit will continue to flow, to meet the short-term ...

CRR & BANK RATES: ‘Credit situation may improve’
The 100 basis points cut in CRR will inject additional liquidity into the system and is expected to ease the credit situation to some extent, according to Mr V.K. Dhingra, Executive Director, UCO Bank. “The cash crunch had put ...

FOREX: Rupee falls
The rupee fell against the dollar on Wednesday as it tracked the equities market and on month-end dollar demand. “There are no positive signs for the rupee and it will continue to remain under pressure for some time. There was overall ...

GOVT BONDS: Bond prices volatile
Bond prices gained but the mood in the market was jittery on expectations of further measures to ease the liquidity crunch. Prices fell by Re 1 in intra-day trade, but closed slightly higher. There was heavy receiving in the shorter ...

GENERAL INSURANCE: Insurance cover for student loans
Allahabad Bank has tied up with Kotak Mahindra Old Mutual Life Insurance to provide a group insurance plan to the bank’s education loan borrowers. The bank already has a tie-up with Life Insurance Corporation of India to provide ...