English हिन्दी
Connect with us

India News

RBI cuts repo rate by 0.25% to bring it to 5.15%, reverse repo rate at 4.9%; fifth cut this year

The Reserve Bank of India cut its repo rate by 25 basis points to 5.15 percent, the fifth cut this year, in a bid to boost the flow of credit and reverse economic slowdown.

Published

on

RBI Governor Shaktikanta

[vc_row][vc_column][vc_column_text]The Reserve Bank of India (RBI) today – Friday, Oct 4 – cut its repo rate by 25 basis points to 5.15 percent, the fifth time this year, in a bid to boost the flow of credit and reverse economic slowdown. [/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_column_text css=”.vc_custom_1570179377756{border-top-width: 10px !important;border-right-width: 10px !important;border-bottom-width: 10px !important;border-left-width: 10px !important;padding-top: 10px !important;padding-right: 10px !important;padding-bottom: 10px !important;padding-left: 10px !important;background-color: #b2b2b2 !important;border-radius: 10px !important;}”]Repo rate is the rate of interest at which the RBI lends money to commercial banks, reverse repo rate is the rate at which it borrows. 

One basis point is a hundredth of a percentage point and 25 basis points means 0.25%.[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_column_text]The central bank also decided to continue with an accommodative stance “as long as it is necessary” to revive growth, while ensuring inflation remains within the target.

All members of the six-member Monetary Policy Committee (MPC), that met on October 4 to review interest rates, voted to reduce the policy rate, the RBI said.

With this cut, the repo rate, which serves as the MPC’s policy rate, has been reduced for the fifth consecutive time this year, the total coming to 135 basis points. Lower interest rates are expected to make home and vehicle loans cheaper. However, banks have passed on only a fraction of these cuts so far, said reports.

The MPC meeting comes in the backdrop of RBI’s mandate to banks to link their loan products to an external benchmark, like repo rate, for faster transmission of reduction in policy rates to borrowers, from October 1.

The MPC also sharply reduced its growth forecast for the fiscal year 2019-2020 to 6.1% from 6.9% earlier. The committee noted that risks to growth have emerged due to weak domestic demand and sagging export prospects on account of continuing trade tensions. MPC on the other hand retained its consumer price inflation forecast for the second half of the fiscal year 2019-202 as expected at 3.5%-3.7%

The RBI said that while these measures are likely to help strengthen private consumption and spur private investment activity, the continuing slowdown warrants intensified efforts to restore the growth momentum.

The Indian economy grew at the pace of just 5 percent in the June-ended quarter, it’s slowest since 2013. This triggered a slew of measures by the government and the central bank in past few months, including a corporate tax rate cut and setting up loan melas to encourage fresh investments.

Inflation has remained well within the MPC’s target of 4 percent for the past 13 months, giving room for the central bank to respond with policy rate cuts.

“With inflation expected to remain below target in the remaining period of 2019-20 and first quarter of 2020-21, there is policy space to address these growth concerns by reinvigorating domestic demand within the flexible inflation targeting mandate,” RBI said.

The MPC was largely expected to vote in the favour of a rate cut and back government’s efforts to address the current economic slowdown.

The MPC is next scheduled to meet during December 3-5, 2019.

The announcements from the six-member Monetary Policy Committee (MPC) came after a three-day meeting. The rate cut comes at a time when the Indian economy is facing its worst slowdown since the dip in economic activity following the global financial crisis of 2008-09.[/vc_column_text][/vc_column][/vc_row]

India News

Union Cabinet approves 2% hike in DA for central govt employees, pensioners

This follows July 2024’s 3% DA hike (50% to 53%) and precedes the anticipated 8th Pay Commission recommendations expected in 2026. Since 2020, DA revisions have followed this biannual pattern, except during the pandemic-induced freeze from April 2020 to June 2021.

Published

on

The Union Cabinet Friday announced a 2% increase in Dearness Allowance (DA) for central government employees and Dearness Relief (DR) for pensioners, marking the second such adjustment this fiscal year. The revised rates, rising from 53% to 55% of basic pay, will take effect from January 1, 2025, benefiting approximately 1.15 crore individuals across the country.

Union Minister Ashwini Vaishnaw confirmed the decision following today’s Cabinet meeting, stating the hike reflects the government’s commitment to mitigating inflation’s impact on its workforce. “This revision aligns with our established formula based on the All-India Consumer Price Index data,” Vaishnaw said. The move carries an annual financial implication of ₹6,614.04 crore for the exchequer.

Detailed Financial Impact
The increase affects 48.66 lakh active employees and 66.55 lakh pensioners. For illustration:

  • Senior bureaucrats with ₹2 lakh basic pay will see monthly DA rise by ₹4,000 (from ₹1.06 lakh to ₹1.10 lakh)
  • Mid-level officers drawing ₹56,100 basic pay gain ₹1,122 monthly
  • Entry-level staff (₹18,000 basic) receive an additional ₹360 per month

Implementation Timeline
The Finance Ministry has directed all departments to:

  1. Process revised payments for February 2025 salaries
  2. Calculate and disburse January arrears separately
  3. Complete all account adjustments by March 31, 2025

This follows July 2024’s 3% DA hike (50% to 53%) and precedes the anticipated 8th Pay Commission recommendations expected in 2026. Since 2020, DA revisions have followed this biannual pattern, except during the pandemic-induced freeze from April 2020 to June 2021.

State governments typically follow the Centre’s lead on such adjustments, suggesting similar announcements may follow from various state capitals in coming weeks. The move comes as the government balances fiscal responsibility with welfare commitments in an election year.

Continue Reading

Cricket news

Who is the best T20 player right now? Harbhajan picks THIS cricketer over Head, Abhishek and McGurk

Nicholas Pooran has earned Harbhajan Singh’s vote as the best T20 batter right now, ahead of Travis Head and Abhishek Sharma, after a fiery IPL 2025 start.

Published

on

Nicholas Pooran, Harbhajan Singh, who is best T20I batter, Travis Head, Abhishek Sharma, Jake Fraser-McGurk,

India spin legend Harbhajan Singh, now part of the IPL 2025 commentary panel, has weighed in on one of T20 cricket’s most debatable questions—who is the best T20 batter right now?

Is it Australia’s in-form explosive opener Travis Head, India’s rising star Abhishek Sharma, or the ultra-aggressive Jake Fraser-McGurk? No, says Harbhajan.

His pick? Nicholas Pooran, the Trinadidan tsunami.

The former off-spinner declared his choice on social media after Nicholas Pooran’s latest blitz for Lucknow Super Giants (LSG) in IPL 2025. “Currently Nicholas Pooran is the best player of T20 format. Period!” he posted on X.

Presenting the batter’s T20 stats, Harbhajan declared Pooran as the best T20 player in the world right now, following his electrifying start to IPL 2025 with LSG.

Continuing his red-hot form, the 29-year-old Trinadadian has smashed 145 runs in just two matches, including a 26-ball 70 against Sunrisers Hyderabad and a 75 from 30 balls vs Delhi Capitals. He currently holds the Orange Cap, with a strike rate of 258.92 and average of 72.50.

After his destructive knock against SRH, Nicholas Pooran became the second player after KL Rahul to score over 1000 runs for LSG. He reached the milestone in just 31 matches, averaging 45.54 at a destructive strike rate of 184.53.

Known for his effortless power-hitting, Pooran holds the record for the most IPL fifties scored in under 20 balls—doing so four times, more than any other player. He recently smashed an 18-ball half-century, second-fastest for LSG, only behind his own 15-ball effort from IPL 2023.

When it comes to speed, Pooran leads again—holding the record for most IPL fifties in under 20 balls (4). Travis Head and Fraser-McGurk have managed this feat three times each.

In a tournament full of hard-hitters, Pooran isn’t just keeping pace—he’s setting it.

Continue Reading

India News

Justice Yashwant Varma transferred to Allahabad High Court amid row

Justice Yashwant Varma has been transferred from the Delhi High Court to the Allahabad High Court, with the Centre formalising the move amid a continuing cash stash controversy.

Published

on

Justice Yashwant Varma transferred to Allahabad High Court

The Central government has approved the transfer of Delhi High Court judge Justice Yashwant Varma to the Allahabad High Court, following the recommendation of the Supreme Court collegium. The decision, formalised by the Union Law Ministry on Thursday, comes amid ongoing controversy over an alleged cash stash incident linked to the judge’s residence.

“In exercise of the power conferred by clause (1) of Article 222 of the Constitution of India, the President, after consultation with the Chief Justice of India, is pleased to transfer Shri Justice Yashwant Varma… to be a Judge of Allahabad High Court,” stated the official notification.

The Supreme Court had earlier clarified that the transfer was not related to the ongoing inquiry into the alleged cash discovery at Justice Varma’s official bungalow, where a fire reportedly destroyed a substantial amount of money. The judge has denied the allegations, calling them baseless and part of a conspiracy.

Protests and criticism over transfer decision

The decision has triggered protests by lawyers in the Allahabad High Court, who have objected to what they perceive as a pattern of sending judges to their court as a punitive measure. They argue that such transfers reinforce a negative perception of the court being used as a “dumping ground.”

Former Attorney General of India Mukul Rohatgi also voiced concern over the matter, suggesting the transfer appears linked to the controversy surrounding the alleged cash stash. “There are several loose ends in this case… I don’t think there is any great thing in saying that the transfer is not connected to the scam,” he said, questioning the Supreme Court’s statement distancing the move from the investigation.

Justice Varma, in a response submitted to the committee formed by Chief Justice of India Sanjiv Khanna, described the allegations as damaging to his reputation. “In the life of a judge, nothing matters more than reputation and character. That has been severely tarnished and irreparably damaged,” he wrote.

The controversy continues to stir debate within the legal community, even as Justice Varma prepares to assume his new position at the Allahabad High Court.

Continue Reading

Trending

© Copyright 2022 APNLIVE.com