简体中文
繁體中文
English
Pусский
日本語
ภาษาไทย
Tiếng Việt
Bahasa Indonesia
Español
हिन्दी
Filippiiniläinen
Français
Deutsch
Português
Türkçe
한국어
العربية
Abstract:MUMBAI, Sept 8 (Reuters) - The Reserve Bank of India will wind down, in phases, the incremental cash
MUMBAI, Sept 8 (Reuters) - The Reserve Bank of India will wind down, in phases, the incremental cash reserve ratio (I-CRR) requirement imposed on banks by Oct. 7, it said on Friday.
The RBI said it will release 25% of the I-CRR funds on Sept. 9, another 25% on Sept. 23 and the rest on Oct. 7.
“Based on an assessment of current and evolving liquidity conditions, it has been decided that the amounts impounded under the I-CRR would be released in stages so that system liquidity is not subjected to sudden shocks and money markets function in an orderly manner,” the RBI said in a statement.
In August, the RBI had asked banks to hold an I-CRR of 10% on the increase in deposits between May 19 and July 28, withdrawing over 1 trillion rupees ($12.02 billion) of banking system liquidity.
On Wednesday, Reuters reported, citing sources, that market participants expected the RBI to continue with I-CRR, with some tweaks to the proportion.
Market participants had expected the ratio to be lowered to 5% to 8% ahead of twin tax outflows that are due over the next two weeks.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.