India’s Financial System

With several domestic startups facing the heat due to the collapse of Silicon Valley Bank, CII President Sanjiv Bajaj on Monday said that India could look to create its own enabling financial ecosystem to support budding entrepreneurs. Talking about the startup sector, the CII President in an interview with PTI said it is an unusual sector where the normal banking parameters do not work. "It (startup sector) is a very high growth, it is very innovative, it is loss-making in the initial years. So, the normal banking parameters for lending don't really work. How do you create the right financial ecosystem in India to support startups because we are a startup nation," said Bajaj, who is also the Chairman and MD of Bajaj Finserv. Observing that India is the third largest startup ecosystem in the world, he said there is a need to encourage startups. "We have the entrepreneurial zeal, we have the technical capability and the enabling ecosystem for it, but finance is something that is ...

Guidelines for selection of general managers and directors of public sector general insurance companies have been made part of FSIB

The Reserve Bank of India has run down its forward-dollar book by $12 billion to $15 billion from about $64 billion at the end of April

Decentralized finance needs to give up on its techno-anarchist utopia, and get more real and centralized. Otherwise DeFi lending will enter annals of finance as failure where hawala has been success

Banks' gross NPAs may jump to 8.1-9.5% by Sept 2022 from 6.9% in Sept 2021, says RBI in financial stability report

Regulatory oversight and supervision of ARCs need a revamp and, like other regulated entities, rogue ARCs should be punished

The RBI is weighing carefully if this could eventually lead to a backdoor entry of Big Tech in the Indian banking system

Sajith Sivanandan also dwells on instances where certain offerings have been reported as 'Google Pay's offerings', fueling misinterpretation

Bitcoin, which commands more than $50,000 on any exchange today, was founded anonymously in 2009

The need then is to regulate, not ban, experts say

The writing is on the wall. The next investment product to lose the unwarranted tax exemption will in all likelihood be traditional life insurance products

The Bill will prohibit all private cryptocurrencies in India, but will allow for certain exceptions to promote the underlying technology of cryptocurrency, and its uses

Many firms will seek capital. The financial system will decide which ones get it

Beyond perking up the economy, the RBI needs to ensure proper functioning of the bond market, the credit market and the larger financial system

"The challenge before us is to deeply involve those included. I would urge all of you to think of financial products that meet the needs of those at the bottom of the ladder," Kovind said.

Surge in foreign borrowing poses risks

The spread of unconventional monetary policies threatens to set off dangerous and unpredictable feedback loops

The move is expected to generate an additional lending and liquidity in the financial system to the tune of Rs 5 lakh crore, she said at a press conference

Private persons, domestic and foreign, need to see a capable Indian policy establishment that is able to work with clarity and cohesion