Receding inflation pressures across economies, though still above targets in some advanced nations, have opened space for more accommodative monetary policies in the coming months, the Governor noted.
“No regulator can, or should, substitute for boardroom judgment. Especially in a diverse country like ours, each case, each loan, each deposit is different—different risks, different opportunities,” Malhotra said.
RBI Governor Sanjay Malhotra clarified that minimum balance requirements for savings accounts are set by individual banks, not regulated by RBI. This follows ICICI Bank’s recent hike in minimum balance limits, sparking customer concerns and social media criticism.
Reserve Bank of India (RBI) Governor Sanjay Malhotra asserted that the measures taken to combat money laundering should not be overzealous, as they could stifle legitimate activities and investments.
Reserve Bank of India Governor Shaktikanta Das was admitted to a private hospital in Chennai late on Monday night after he complained of uneasiness. According to the hospital, his condition now is stable and there is no cause for concern.
It can be noted that the Indian economy contracted by 23.9 per cent in the first quarter of the fiscal year, and the RBI expects the economy to shrink by 9.5 per cent in FY21.
The governor said, rather than becoming averse to lending, banks have to improve their risk management and governance frameworks, and also build sufficient resilience.
Union Bank of India managing director and CEO Rajkiran Rai said, There is a possibility of 25 basis points cut or they may hold on (the rate).
Das made the statement while he was delivering a keynote at the 7th State Bank of India Banking and Economics conclave.
The outlook of inflation also remains "highly uncertain", RBI Governor Shaktikanta Das said while announcing a 40-basis point cut in the repo rate as part of the monetary measures to deal with the current crisis.
