Banks get trapped in bulk deposits war (Business Standard 27th Dec 2007)
A top official at the Indian Banks’ Association (IBA) was having a discussion with the then two managing directors of State Bank of India (SBI) at the skyscraper headquarters of the country’s largest bank.
IBA’s agenda was to get SBI to agree to douse the bidding war for corporate deposits, with successive cash reserve ratio (CRR) hikes and continued high credit growth having made banks run helter-skelter for resources. More
Bonds gain from RBI’s focus on stability(The Hindu Business Line 27th Dec 2007)Bond markets were stable during the year virtually fire-walled from the turmoil in the foreign exchange markets through both active and passive interventions by the country’s banking regulator, the Reserve Bank of India.
The passive interventions were more by way of sending signals through moral suasion, a euphemism for speeches and by the RBI’s Governor/Deputy Governors and periodic press releases. Bankers take the speeches seriously. Those who failed suffered red-lined statements. Traders with some American banks realised this after getting bruised. More
A top official at the Indian Banks’ Association (IBA) was having a discussion with the then two managing directors of State Bank of India (SBI) at the skyscraper headquarters of the country’s largest bank.
IBA’s agenda was to get SBI to agree to douse the bidding war for corporate deposits, with successive cash reserve ratio (CRR) hikes and continued high credit growth having made banks run helter-skelter for resources. More
Bonds gain from RBI’s focus on stability(The Hindu Business Line 27th Dec 2007)Bond markets were stable during the year virtually fire-walled from the turmoil in the foreign exchange markets through both active and passive interventions by the country’s banking regulator, the Reserve Bank of India.
The passive interventions were more by way of sending signals through moral suasion, a euphemism for speeches and by the RBI’s Governor/Deputy Governors and periodic press releases. Bankers take the speeches seriously. Those who failed suffered red-lined statements. Traders with some American banks realised this after getting bruised. More
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