The bank credit growth increased to 6.6 per cent in February, higher than 6.4 per cent recorded in the same month last year, returning to the levels observed in the early months of COVID-19
The country's leading private lender announced today that it has reduced its interest rate on home loans up to Rs 75 lakh to 6.70 per cent.
Some of the country's state-owned banks have long struggled with a pile of bad loans, prompting the government to pump in more funds to shore up their balance sheets.
Reserve Bank of India rules allow banks to hold up to 50 per cent stakes in insurers and on a selective basis equity holdings can be higher but must eventually be brought down within a certain period.
State Bank of India, the country's largest lender, on Monday reduced its interest rate on home loans up to Rs 75 lakh to 6.70% from 6.8%.
Bank Holidays March 2021: In addition to five festival holidays, banks will also remain shut on four Sundays and two Saturdays
"Private banks can now be equal partners in development of the Indian economy, furthering the government's social sector initiatives and enhancing customer convenience," Finance Minister Nirmala Sitharaman tweeted
The central bank told lenders in 2018 they could not offer any banking services to any cryptocurrency traders or exchanges, but the order was challenged in court and eventually reversed by the top court.
The Reserve Bank of India's assurances that it will ensure ample liquidity have failed to calm investors' nerves over the larger than expected 12.06 trillion rupees borrowing requirement, and the central bank has rebuffed their calls for a open market operations calendar.
The Reserve Bank has barred Deccan Urban Co-operative Bank from granting new loans or accepting deposits and customers cannot withdraw more than Rs 1,000 from their accounts for six months.
The top court said people are hesitant to keep their liquid assets at home as "we are steadily moving towards a cashless economy."
The government is considering mid-sized to small banks for its first round of privatisation to test the waters.
Franklin Templeton Mutual Fund had closed six debt mutual fund schemes on April 23 last year citing redemption pressure and lack of liquidity in the bond market.
The move comes days after the central bank had proposed tighter, bank-like regulation of the so-called shadow lending sector to prevent the turmoil caused by the collapse of an infrastructure financing firm in 2018.
The lender's home loan book has grown by five times in the last decade from 86,000 crore rupees in 2011.