RBI decides to discontinue I-CRR in a phased manner
The Hindu
RBI to discontinue I-CRR in phased manner; 25% released on September 9, 2023; another 25% on September 23, 2023; 50% on October 7, 2023
RBI has decided to discontinue the incremental Cash Reserve Ratio (I-CRR) in a phased manner.
“Based on an assessment of current and evolving liquidity conditions, it has been decided that the amounts impounded under the I-CRR would be released in stages so that system liquidity is not subjected to sudden shocks and money markets function in an orderly manner,” the RBI said in a circular.
While 25% of the I-CRR maintained would be released on September 9,2023, another 25% would be released on September 23,2023 and the balance 50% would be released on October 7, 2023.
The RBI Governor in his Monetary Policy Statement had announced that scheduled banks would require to maintain an incremental cash reserve ratio (I-CRR) of 10% on the increase in their net demand and time liabilities (NDTL) between May 19, 2023 and July 28, 2023.
The measure was intended to absorb the surplus liquidity generated by various factors, including the return of ₹2000 notes to the banking system.
It was indicated that the I-CRR would be a temporary measure for managing the liquidity overhang and that the I-CRR would be reviewed on September 8, 2023 or earlier with a view to returning the impounded funds to the banking system ahead of the festival season.
Sensex and Nifty close lower amid thin trading and foreign fund outflows, with major laggards including Infosys and Titan.
The U.S. government has granted an annual licence to Samsung Electronics and SK Hynix to bring in chip manufacturing equipment to their facilities in China for 2026, two people familiar with the matter said
Ola Electric's Roadster X+ bike receives government certification, marking a milestone in India's electric vehicle technology with an in-house 4680 battery.
Sensex and Nifty fall in early trade due to foreign fund outflows, while Bharti Airtel and Reliance Industries gain.
The rupee rises 3 paise to 89.95 against the U.S. dollar, influenced by weaker dollar and strong IIP data.
Nvidia has purchased Intel shares worth $5 billion, the American semiconductor firm said in a filing on Monday
SoftBank Group will acquire digital infrastructure investor DigitalBridge Group in a deal valued at $4 billion
Meta said on Monday it would acquire Chinese artificial intelligence startup Manus, as the technology giant accelerates efforts to integrate advanced AI across its platforms.
Gujarat leads India in okra production, with Saurashtra-Kutch emerging as a key horticulture hub ahead of VGRC 2026.
India seeks $30 billion from Reliance and BP for alleged mismanagement of gas reserves in a landmark arbitration case.
Despite several safeguarded and technology interventions, fraudsters continued to game the banking system and duped both lenders and depositors as indicated in a statutory report by the Reserve Bank of India (RBI).
Australia will eliminate tariffs on all Indian exports starting January 1, 2026, enhancing trade under the Economic Cooperation Agreement.
Sensex drops 346 points for the fourth consecutive day amid foreign fund outflows and low year-end trading activity.