Rupee gains
Mumbai: The rupee opened at 42.94/95 against the dollar and closed at 42.84 on Thursday against the previous close of 42.87.

In forwards, the 6-month premia closed at 5.36 per cent (4.93 per cent) and the 12-month closed at 4.20 per cent (3.99 per cent).

Bonds: The auctions of 7.38 per cent- 9 year-2015 paper for Rs6,000 crore and the 8.33 per cent-29 year-2036 paper for Rs4,000 crore were fully subscribed.

G-secs: The 8.07 per cent- 10 year-2017 paper opened at Rs100.17 (8.04 per cent YTM) and closed at Rs99.99 (8.07 per cent YTM), against Wednesday's close at Rs100.10 (8.05 per cent YTM). The 7.55 per cent-3 year-2010 paper opened at Rs98.65 (8.05 per cent YTM) and closed at Rs 98.66 (8.04 per cent YTM).

Call rates: Call rates closed at 1.75-2.25 per cent against the previous 3.50-3.75 per cent.

Reverse repo: In the first one-day reverse repo auction, RBI received 25 bids for Rs28,690 crore while it accepted Rs1,999 crore.

In the second one-day reverse repo auction, RBI received 21 bids for Rs22,925 crore while it accepted Rs1,000 crore. There were no repo bids.
Back to News Review index page  

RBI facilitates infrastructure financing
Mumbai: The Reserve Bank of India has issued a notification that provides easier terms of finance for infrastructure companies. According to the notification an infrastructure project that requires bank finance can now delay production by a year from the scheduled date of completion. The loan will be treated as a substandard account if the delay is beyond a year.

Earlier infrastructure projects were given a six months extension.
Further if the date of commencement of commercial production extends beyond a period of one year after the date of completion of the project, as originally envisaged, the account should be treated as sub-standard. The revised instructions come into force with effect from March 31 according to the RBI notification.
Back to News Review index page  

Nabard scheme for MFIs
Mumbai: Agricultural lending institution Nabard plans to extend capital or equity support to micro-finance institutions through its Micro Finance Development and Equity Fund.

Nabard has sanctioned Rs 1 crore to three MFIs each. The new scheme will facilitate MFIs to leverage funds from commercial banks, donor agencies and others, and help provide a range of micro-financial services at affordable costs to the poor.

The scheme aims at providing promotional, equity, capital and revolving fund assistance to banks, NGOs, SHG Promoting Institutions and MFIs.
Back to News Review index page