Govt notifies MPC to decide interest rates
The Dollar Business Bureau The government has set the stage for the six-member committee to take over the job of fixing interest rates and notified the new Monetary Policy Committee (MPC) which will conduct its first review on October 4. “Monetary Policy Committee (MPC) constitution under the Reserve Bank of India (RBI) Act, 1934, notified,” said the finance ministry. The MPC, which consists of three members from RBI and other three from government, will have a target to keep the inflation at four percent, with a lower and upper tolerance level of two percent. Last week, the government had nominated three academicians to join the RBI Governor Urjit Patel, deputy governor in charge of monetary policy R Gandhi and RBI executive director Michael Patra on ...
Banks should tighten cyber security: Dpty Gov, RBI
The Dollar Business Bureau The latest cyber theft attempt in a state-owned lender’s offshore account indicates the strong need of vigilance on sensitive remittance services, said R Gandhi, Reserve Bank Deputy Governor, on Friday. Recently, the Union Bank of India had informed that it foiled a cyber theft bid in its US dollar Nostro account. No financial bearing existed as the attempt was foiled. Gandhi, redrawing the attention on the cyber incident at the annual summit 'Cyber & Network Security', stated that no monetary loss occurred in the incident, but it was too early to say how it all happened. He emphasized the need for vigilance on delicate systems like remittances, particularly on configuration of the systems and its management. He further stated that the ...
RBI to banks: MSME lending can be more competitive
The Dollar Business Bureau Urging the banks to be sensitive towards the need of small entrepreneurs, the Reserve Bank of India (RBI) said that lending to Micro, Small and Medium Enterprises (MSMEs) will be more competitive once small financiers get bank licence. "Lending to MSMEs makes a strong business case for the banks in view of the changing dynamics in the economy like demographic patterns, urbanisation trends, increasing thrust on industrialisation, addition of new customers under financial inclusion programme and growing levels of literacy," said RBI Deputy Governor, S S Mundra. He said that banks should help small entrepreneurs develop innovative products that are suitable to their unique and seasonal requirements for working capital and for capital expenditure purposes. “A paradigm shift in ...
