"In India, right now we have about Rs 12 lakh crore in small savings schemes and roughly Rs 114 lakh crore in bank deposits. So the liability side of banks is getting affected by Rs 12 lakh crore. When banks say this, it seems a bit of a tail wagging the dog situation," he said. … [Read more...] about Small savings rate may see moderation next quarter: DEA secy
Rbi policy rate
Since debt is a crucial part of the portfolio for senior citizens, with low appetite for risk, asset allocation would play a major role. PPF, which is a fixed income option used for long-term savings can’t be a standalone wealth creation tool for young earners. Presence of equity investments in your portfolio is needed to beat inflation. … [Read more...] about Interest cut in small-savings: Rates still attractive in many schemes
The progress report prepared by the new board of IL&FS, and filed by MCA with NCLT, mentioned the following challenges: 1) IL&FS has 301 group entities, of which 128 are located in offshore jurisdictions; 2) The remaining 174 companies are incorporated in the country, of which 71 companies have external debt; and 3) Since these companies are incorporated in an offshore destination, legal course of action will have to be pursued under the law of that land. … [Read more...] about Banking body may again implore RBI to defer provisioning for IL&FS arms
This means the borrower will have to pay up the additional interest amount once the moratorium ends. According to bankers, this will reflect in the loan repayment schedule later. “It is not going to be three EMIs as against the three EMIs deferred. The customer may have to pay five or six EMIs additional depending upon the loan size and year of repayment cycle,” said the banker quoted earlier. … [Read more...] about SBI’s ‘automatic’ EMI moratorium offer: Watch out for this hidden risk for borrowers
Given all this, it’s highly ironical that during a pandemic caused by a biological virus, the authorities are encouraging people to opt for a solution which itself is so prone to a (computer) virus attack. Human beings are full of hubris when it comes to ‘innovations’ which create a chain of intended and unintended consequences. When these unintended consequences (which are known in advance) break out and harm the public at large, the purveyors of these ideas act surprised. … [Read more...] about COVID-19 | What if a digital virus hits our payment systems?