Liquidity Crisis

Treasury Bill yields at multi-year high on near-term liquidity fears

Yields across both securities rose 7-8 basis points over the previous week's auction

Listed firms managing liquidity challenges well, says India Ratings

Given the tightening liquidity conditions and higher cost of borrowings, corporates with a weak credit profile are likely to tap a loan against shares facility to meet their funding requirements

Top Headlines: Starlink services in India, partial treatment to EV makers

Start-ups manufacturing electric two- and three-wheelers have alleged they are not getting subsidies under the second phase of the FAME II scheme

China hits 'liquidity trap' as low lending rates fail to spur bank loans

China's Central bank data showed a sharp slowdown in aggregate financing, a broad measure of credit, in July, as new loans and corporate bond issuance weakened

A year of caution

Liquidity tightening will affect financial assets

PAG bet $1 billion on Indian real estate post NBFC liquidity crisis

Scales up lending at a time when most big lenders shying away from sector

Liquidity buffer of NBFCs has improved over last year, says Crisil

But the pace of improvement in collection efficiency, the third of the wave of the pandemic, and access to funds need to be closely monitored, rating agency says

Over 10 MFs may go Franklin Templeton way causing Rs 15 trn loss: CFMA

Urging the Supreme Court to come to the rescue of people who had invested in now-closed Franklin Templeton schemes, investors' body CFMA on Saturday claimed more than 10 mutual funds may otherwise go the same way creating an MF pandemic comparable to the US subprime crisis. In a press release, CFMA (Chennai Financial Markets & Accountability) said the judiciary is the only hope for over three crore unitholders of various mutual fund schemes in the country, including those who had invested in Franklin Templeton schemes. Without disclosing the source of its information to back up its claim, CFMA said it has learned that more than 10 other mutual funds want to put their losses on unitholders' heads and are only waiting for the Supreme Court verdict. The apex court is hearing pleas, including one filed by Franklin Templeton against a Karnataka High Court order that stopped the fund house from winding up its debt fund schemes without the prior consent of the investors. Franklin ...

NCLT issues notice to DGCA, MoCA to clear stance on Jet Airways' slots

Jet was grounded on April 17 due to liquidity crisis and subsequently went into administration in June 2019

Road developers take conciliation route for claims amid liquidity crunch

Debt resolution, Covid-related liquidity concerns, and a long legal process acting as deterrent are some reasons pushing firms to pursue conciliation

Out of the woods? Analysts turn bullish on NBFCs on improved liquidity

Recent steps by the government and the RBI to keep systemic liquidity and rates benign along with direct liquidity to NBFCs facing constraints, in the wake of Covid-19, have helped, analysts say

Govt eases credit guarantee scheme norms for stressed NBFCs, HFCs liquidity

At the portfolio level, AA and AA- investment sub-portfolio under the Scheme should not exceed 50 per cent of the total portfolio of bonds/CPs

Monetary policy: RBI measures preserved financial stability, says Das

The RBI's monetary policy committee has kept the repo rate unchanged at 4 per cent, amid rising inflationary pressure and a grim economic outlook

Govt taking steps to attract FDI in infra to address cash crunch: Gadkari

The Road Transport, Highways and MSME minister also said that talks are on with various pension funds, insurance funds and financial institutions.

RERA to approach RBI for one-time debt recast to overcome liquidity crisis

CREDAI and Naredco have been demanding one time restructuring of developers outstanding loans with financial institutions to prevent bad loans and making them eligible for fresh borrowings

RBI to do buy-sell OMO of Rs 10,000 cr keeping in mind liquidity in banks

Such bond buy and sell operations soften long-term yields that help govt borrow cheap; they also give apex bank enough long-term bonds to support its liquidity operations

Interest rates have moderated, plenty of liquidity in system: Rajnish Kumar

According to him, the rural economy will play a critical role in the revival process

In poor health already, banks come under grip of Covid-19 pandemic

Anaemic credit growth due to risk-averse borrowers; concerns over bad loan build-up resurface

RBI staff studies on NBFCs call for more policy help to avoid systemic risk

While the RBI has done a number of liquidity enhancing measures, and the government has also come up with credit guarantee schemes, the issue in hand is clearly that of solvency

Investments in construction sector to see 12-16% dip in FY21: Crisil report

The decline in investment factors in lower capex by central and state governments due to diversion of funds towards healthcare, public welfare and social obligations