RBI bans Kotak Mahindra Bank from on boarding new online customers
However, the RBI (Reserve Bank of India) said the bank shall continue to provide services to its existing customers, including its credit card customers.
Governor of Reserve Bank of India, Shaktikanta Das, said momentum is gathering pace on credit growth and expressed hope that the transmission of rate cut will gradually and steadily improve in the coming times.
Das’ comments come against the backdrop of concerns over growth of the economy, which has also registered spike in inflation and slowdown in industrial production.
Addressing the media persons after the customary post-budget central board meeting, Das said RBI is sticking to the 6 per cent growth estimates for FY 21 and that the Budget proposals were not inflationary and the drop in crude prices should check the inflation in near future.
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He added that the said the transmission of rate cuts have improved by 69 bps from earlier 35 bps and will improve further.
The Governor said he expected credit flow to corporate sector to improve in the coming months from all sources like banks, external borrowings.
He said the recently announced new liquidity measures from the RBI will help to create more liquidity in the system.
The post-budget meet was attended by Finance Minister Nirmala Sitharaman, RBI Governor Shaktikanta Das, MoS Anurag Thakur, and other RBI board members and government functionaries.
(With input from agencies)
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