Page 2 - Liquidity

BS BFSI Insight Summit 2022: Fireside chat with SIDBI Chairman S Ramann

Ramann joined Sidbi in the midst of the second wave of Covid-19 pandemic, he has been involved in crafting policies for providing timely liquidity, and schemes for restructuring support to MSME sector

Liquidity slips into deficit; RBI cash injections at over one-month high

Tax outflows drive tightness; banks face pressure to raise deposit rates

Digital lenders seek cap on default loss guarantee models from RBI

They suggested that the central bank could look at a reasonable cap to the FLDG models, given RBI's concerns of around build-up of systemic risk and 100% risk transfer rather than banning it outright

Spurt in India's liquidity surplus may not sustain through FY end: Experts

India's banking system liquidity surplus has averaged above 1.50 trillion rupees on a daily basis from Dec 1 to Dec 14, as against an average of around 500 billion rupees in November

Paytm can't use IPO proceeds for buyback; co's liquidity to be used: Report

One 97 Communications Ltd, the operator of India's largest digital payments provider Paytm, cannot use proceeds of its mega initial public offering (IPO) for the proposed repurchase of its own shares, as rules prohibit such a move, sources said, adding the firm will use its strong liquidity for the purpose. Paytm has a liquidity of Rs 9,182 crore, as per its last earnings report. The company's board is scheduled to meet on December 13 to consider a share buyback proposal. "The management believes that given the company's prevailing liquidity/ financial position, a buyback may be beneficial for our shareholders," it had stated in an exchange filing on Thursday. After a much-watched listing late last year, the stock is down 60 per cent in 2022 amid a global tech selloff and questions swirl around the firm's profitability, competition and costs related to marketing and employee stock options. Sources said regulations prevent any company from using IPO proceeds for a share buyback. Pa

Indian govt allows Lankans to hold $10,000 worth of rupee in cash

SL banks must open nostro accounts with Indian banks

SBI likely to raise Rs 10,000 crore through infrastructure bonds

The planned issuance worth Rs 10,000 crore includes a greenshoe option of Rs 5,000 crore, the bank said

China to ramp up monetary stimulus as growth outlook darkens amid lockdown

The State Council said in a statement Wednesday that monetary tools "such as a RRR cut" will be used "in a timely and appropriate manner" to maintain reasonably ample liquidity

Banks' overnight SDF balances eligible for LCR computation: RBI

Circular embraces all commercial banks, leaves out local area banks, RRBs and payments banks

Share of low-cost deposits falls as FD rates rise, banks' NIM may take hit

With RBI on monetary tightening path, liquidity has shrunk and interest rates have hardened, forcing banks to hike rates on term deposits in order to get funds for credit growth

Bank borrowings up 2x amid rush to fund credit growth, shows RBI data

As liquidity shrinks, lenders' reliance on short-term funding routes increases

AMCs line up differentiated target maturity funds amid stiff competition

Yield-to-maturity between 7.36% and 7.5% for these schemes with fixed tenure makes them attractive bet

India's decoupling from global capital market surprising: Mukul Kochhar

Country attractive for global investment because of 'visibility for high growth', says head of Institutional Equities, Investec India.

A healthy debate: The case for and against interest rate hike

Having raised policy rates to about 6 per cent, does India's Monetary Policy Committee need to do more? And, if so, is more front-loading warranted?

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

Will the primary market revival suck out secondary market liquidity?

As market sentiment turns positive for India, 10 firms are looking to raise Rs 9,000 cr via IPO over the next 45 days. Will the primary market activity suck out liquidity from the secondary markets?

Top Headlines: RBI's liquidity infusion; Google fined Rs 936 crore by CCI

Walmart Inc-backed Flipkart is considering raising $2 billion to $3 billion at a valuation of more than $40 billion to expand its product range in India and challenge rivals

RBI's liquidity infusion largest since April 2019 as surplus cash dries up

Lack of repo suggests RBI tolerance of higher money mkt rates: Analysts

Andhra, Telangana, Punjab frequently use RBI's short-term liquidity windows

: Andhra, Telangana, Rajasthan and Punjab along with three north-eastern states are repeatedly using the Reserve Bank's special short-term liquidity windows instead of market borrowings, indicating their serious cash imbalances, says a report. The north-eastern states which are over and again using these facilities are Manipur, Mizoram and Nagaland. The central bank offers three short-term liquidity windows -- special drawing facility (SDF; for 5 working days), ways and means advances (WMA, for 5 working days) and over draft (OD, for 14 working days) facilities to states to tide over their liquidity needs. One of the main reasons for the states to use these windows is the cheaper pricing than market borrowings. Till August, states have availed SDF facility at an average rate of 3.2-4.2 per cent, while state bonds are priced at 7.8 per cent or more. A recent RBI study has identified 10 "vulnerable states" in terms fiscal management -- Andhra Pradesh, Bihar, Haryana, Jharkhand, Keral

Banks offer over 3-year high interest rate to raise funds through CDs

Call mkt rates at higher end of rate corridor as liquidity shrinks rapidly