SC Explains When Shares Received After Company Amalgamation are Taxable as Business Income  ||  SC: Excavators, Dumpers Etc Used Within Factories aren’t Motor Vehicles For Road Tax Purposes  ||  SC: Complaints Alleging Fraud under Companies Act Can Be Filed Only By SFIO, Not By Private Parties  ||  SC: Preventive Detention Cannot Override Bail and Requires Proof of a Threat to Public Order  ||  Supreme Court: Multiple Complaints Are Valid For Dishonour of Several Cheques in One Transaction  ||  SC: Bail Should Not be Refused Mechanically Nor Granted Based on Irrelevant Considerations  ||  Gujarat HC: Motor Accident Compensation Doesn’t Cover Medical Expenses Paid by Charity  ||  HP High Court: Panchayati Raj Elections Cannot Be Postponed Beyond Five-Year Term  ||  Ker HC: Victim Cannot File Second Appeal Seeking Special Leave Against Acquittal Under S.419(4) BNSS  ||  Delhi HC: Right to Higher or Professional Education is Fundamental and Cannot be Curtailed Lightly    

Initiation of proactive steps after the assessment of financial markets- (Reserve Bank of India) (27 Sep 2018)

MANU/RPRL/0086/2018

Banking

Based on its assessment of the financial markets, the Reserve Bank of India has taken several proactive steps in the last few days. The Reserve Bank has conducted/will be conducting Open Market Operation (OMO) in successive weeks on September 19 and September 27, 2018. As abundant caution, the Reserve Bank has also provided a liberal infusion of liquidity through term repos in addition to the usual provision via the Liquidity Adjustment Facility (LAF). As of September 26, banks had availed of Rs. 1.88 trillion through term repos from the Reserve Bank. As a result of these steps, the system liquidity is in ample surplus. Further, the increase in Facility to Avail Liquidity for Liquidity Coverage Ratio (FALLCR), announced today for effect from October 1, 2018, from the existing 11 per cent to 13 per cent will take the carve out from SLR available to banks to 15 per cent of their NDTL. This should supplement the ability of individual banks to avail of liquidity, if required, from the repo markets against high-quality collateral. This, in turn, will help improve the distribution of liquidity in the financial system as a whole.

Going forward, the Reserve Bank stands ready to meet the durable liquidity requirements of the system through various available instruments depending on its dynamic assessment of the evolving liquidity and market conditions.

Tags : PROACTIVE STEPS   INITIATION   ASSESSMENT   FINANCIAL MARKETS  

Share :        

Disclaimer | Copyright 2026 - All Rights Reserved