RBI MPC member predicts ‘less severe’ high food inflation
The Reserve Bank of India (RBI) Monetary Policy Committee (MPC) member highlighted that going ahead, as India develops, the problem of high food inflation would be "less severe".
Financially cripple Yes Bank is all set to begin full-fledged banking services from Wednesday, 6.00 pm onwards. Customers will also be able to access all digital services and platforms. Accordingly, the Reserve Bank of India (RBI) imposed moratorium will also end around the same time.
“We will resume full banking services from Wed, Mar 18, 2020, 18:00 hrs. Visit any of our 1,132 branches from March 19, 2020, post commencement of banking hrs to experience our suite of services. You will also be able to access all our digital services & platforms @RBI @FinMinIndia,” the bank said in a tweet on Monday.
Meanwhile, as soon as Yes Bank’s reconstruction scheme comes into effect and the bank announced that it will resume functioning from next week, the shares of private lenders soared.
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At 2.48 p.m., its stock price on BSE stood 47.55 per cent higher at 37.70 from its previous close. Similarly, it was up 47.75 per cent up at Rs 37.75 on NSE.
So far, yes Bank has hit day’s high at Rs 40.40 apiece.
Earlier in the day, SBI Chairman Rajnish Kumar clarified that investments by banks in the crippled bank are being made to maintain financial stability in the system, and not guided by the principle of return on investment (RoI).
As per RBI’s revival plan, private lender has allotted 1,000 crore equity shares to seven private banks and the state-run State Bank of India for a total consideration of Rs 10,000 crore.
The SBI-consortium includes companies like ICICI Bank, Housing Development Finance Corp Ltd, Axis Bank, Kotak Mahindra Bank, Bandhan Bank, Federal Bank and IDFC First.
Investment by private banks has so far reached Rs 3,950 crore. HDFC will invest Rs 1,000 crore in Yes Bank through a purchase of 100 crore shares. Axis Bank will invest Rs 600 crore by buying 60 crore shares and Kotak Mahindra Bank Rs 500 crore through 50 crore shares.
Bandhan Bank will invest another Rs 300 crore through the purchase of 30 crore shares. IDFC First and Federal Bank have invested Rs 250 crore and Rs 350 crore, respectively, in the lender.
(With input from agencies)
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