Forex reserves scale record high of $434.6 billion

Source: The Economic Times, Oct 04, 2019

MUMBAI: The foreign exchange reserves touched a record high of USD 434.6 billion as on October 1.

While announcing fourth bi-monthly monetary policy, the RBI Governor Shaktikanta Das said as of October 1 the forex kitty peaked to the record high. Between April and October 1, the country’s forex reserves had increased by USD 21.7 billion.

According to the latest weekly data, the reserves surged by massive USD 5.022 billion to USD 433.594 billion for the week to September 27.

In the previous week, the reserves had declined by USD 388 million to USD 428.572 billion. Read the rest of this entry »

UPI transactions hit a new high of 955 million in September

Source: LiveMint.com, Oct 01, 2019

New Delhi: Unified Payments Interface (UPI) based transactions witnessed a new high of 955.02 million during September compared with 918.35 million a month ago, National Payments Corporation of India (NPCI) data showed on Tuesday.

Such transactions were worth ₹1.61 trillion compared with ₹1.54 trillion in August.

According to the data, on a year-on-year basis, there has been a 2.3 times or 135% increase in such transactions. Currently, 141 banks are live on UPI compared with 21 banks at the time of its launch. Read the rest of this entry »

Govt to borrow Rs 2.68 trillion in H2 FY20

Source: Business Standard, Sept 30, 2019

New Delhi: The government on Monday said its borrowing in the current fiscal will be within the budgeted Rs 7.1 trillion, and will stick to the fiscal deficit glide path, but it remained non-committal on the country’s maiden overseas sovereign debt plan.

With over 62 per cent of the budgeted borrowing being already resorted to in the six months to September 30, Economic Affairs Secretary Atanu Chakraborty said the remaining half of the current fiscal will see the remainder of Rs 2.68 trillion being borrowed in rupee denomination.

With the Rs 1.45 trillion tax dole threatening to upset budgeted numbers, he sought to allay concerns saying the government is sticking to the glide path of keeping fiscal deficit at 3.3 per cent of the GDP in the current fiscal. Read the rest of this entry »

CAD narrows as higher trade deficit is offset by rise in services income and remittances

Source: The Economic Times, Sept 30, 2019

MUMBAI: India’s current account deficit- excess of imports over exports, for the quarter ended June 2019, contracted to 2 per cent of the GDP from 2.3 per cent a year earlier, as higher services income and remittances by the Indian diaspora more than made up for a wider trade deficit.

In dollar terms, the current account deficit or CAD for the quarter ended June 2019, amounted to $14.3 billion, compared to $15.8 billion during the June 2018, quarter, according to the preliminary numbers released by the Reserve Bank of India on Monday. “ CAD contracted primarily on account of higher invisible receipts at $ 31.9 billion as compared with $ 29.9 billion a year ago” said an official release by the central bank. Read the rest of this entry »

RBI tightens norms for banks, up penalties for failed ATM transactions

Source: IBEF.org, Sept 23, 2019

The Reserve Bank Friday prescribed a turnaround time (TAT) for banks to settle failed transactions for customers and also notified compensations payable for various types of customer complaints.

The financial compensation should be done suo motu by the bank, without waiting for a complaint or a claim by a customer, the RBI said.

The central bank had first announced a move to harmonise TAT this April for resolving customer complaints and compensation after observing that time taken for resolving customer complaint varies across payment systems. Read the rest of this entry »

Non-residents’ investments in India’s mutual funds near Rs 1 trillion

Source: Business Standard, Sept. 18, 2019

Non-residents’ (NRIs’) investments in Indian mutual funds are up by nearly a tenth, and is now approaching Rs 1 trillion. The value of such holdings is now over Rs 93,000 crore at the end of March quarter, according to the Reserve Bank of India’s ‘Survey of Foreign Liabilities and Assets of Mutual Fund Companies, 2018-19’ released on Tuesday.

It was Rs 86,000 crore a year ago. “Foreign liabilities of MF companies ($13.5 billion) in the form of non-residents’ investments in the units substantially exceeded their foreign assets in the form of overseas equity investments (US $ 0.7 billion) in March 2019 with both foreign liabilities and foreign assets recording increases during 2018-19,” according to the central bank’s data.

Banks’ 2018-19 savings deposits up at Rs 39.72 lakh crore: RBI

Source: The Economic Times, Sept 16, 2019

Mumbai: Indian private and public sector banks (PSBs) had aggregate savings deposits of Rs 39.72 lakh crore as on March 31, 2019, while foreign banks had a share of Rs 58,630 crore, according to RBI data published in the Handbook of Statistics on Indian Economy 2018- 19.

The total savings deposits with commercial banks, including foreign ones, in 2018- 19 stood at Rs 40.31 lakh crore, up from Rs 36.55 lakh crore in 2017-18, the data showed.

The savings deposits with Indian banks stood at Rs 35.99 lakh crore in 2017-18, the Reserve Bank of India (RBI) said, while it stood at Rs 55,896 crore for foreign banks in the same fiscal. Read the rest of this entry »