RBI issues draft norms for small banks, payment banks

Mumbai: A week after Budget statement, the Reserve Bank on Thursday issued draft strategy for setting up of 'local feel' small banks, which will pay out small-ticket loans to farmers and businesses.

The central bank also issued draft strategy for setting up of sum banks, which will cater to marginalized sections of society, counting migrant laborers, for collecting deposits and remitting funds.

Such banks can be set up with a least amount capital of Rs 100 crore as against Rs 500 crore necessary for normal profitable banks, according to the guidelines.

"Both payments banks and small banks are ‘niche’ and 'differentiated' banks, with the ordinary objective of furthering financial addition," the RBI said while issuing draft guidelines for licensing of expenses banks and small banks.

The future small banks will supply a whole suite of basic banking crop such as deposits and supply of credit, but in a incomplete area of process, it said.

RBI opts for status quo, promises rate cut if inflation drops

Mumbai: Continuing to accept vigilance, the Reserve Bank on Tuesday kept notice rates unmoved but promised to ease them if there is sooner disinflation even as it made clear that the important ballot vote results could effect in inclusive policy events.

However, the central bank in its bi-monthly policy appraisal not closed about Rs 40,000 crore of banking funds by wounding the constitutional liquidity ratio (SLR), the part of deposits banks park in government bonds, by 0.5 percent to 22.5 percent.

RBI cautions public against fake website

Mumbai: The Reserve Bank on Monday cautioned the public not to fall quarry to bogus offers made by a false website in its name donation savings accounts.

"It has come to the perceive of the RBI today that a false website has been shaped at
http://www.Rbi-inonline.Org/savings.Html by some unknown persons offering various banking amenities and asking members of public to be valid online for breach 'RBI Savings Account'.

DFL Infra restricted by RBI to conduct biz without permission

DFL communications investment has been limited from selling or transferring its property as well as transacting in other business actions without prior agreement from the Reserve Bank due to conclusion of the company's books and accounts inspected last year.
In a authoritarian filing to the BSE, the company on Tuesday alleged it be won't be permissible to sell, relocate, create accuse or advance or deal in any manner with its belongings and assets without prior written agreement of Reserve Bank.

RBI allows NBFCs to provide more aligned with bullion jewellery

 
People in search of loan beside bullion jewellery can now have a loan of more, as the Reserve Bank on Wednesday acceptable NBFCs to let somebody use up to 75 per cent of the price of metal from 60 per cent at here.

"...it has been determined to hoist the LTV ( Loan-To-Value) ratio to up to 75 per cent for loans alongside the security of gold jewellery from the here border of 60 per cent with abrupt outcome," the RBI said.

This, it said, has been done in vision of the restraint in the expansion of bullion finance portfolios of Non-Banking Financial Companies (NBFCs) in the fresh past.

The RBI additional said the price of the jewellery for the rationale of determining the utmost allowable lend sum will be only the basic cost of the gold comfortable therein and no other cost elements (like making charges) should be extra thereto.

'Ethnic group particulars of RBI governor cannot be agreed'

 
New Delhi: Government has refused to respond queries on the population of Reserve Bank of India Governor Raghuram Rajan citing a stipulation of the RTI Act which exempts in sequence on dresser credentials to be disclosed.

"The suggestion which is a note established from the investment priest being 'Cabinet paper' is exempted from revelation under part 8(1)(i) of the RTI Act 2005. However, a copy of order No 18(75) EO/13(ACC) dated August 6, 2013  conveying agreement of the ACC, in the matter, is together with this," the Central Public Information Officer of the Cabinet Secretariat said.

However, the cited segment mandates that textile, on the foundation of which the decisions were in use, should be complete public after the verdict creation progression is finished.

The respond was sent to campaigner Subhash Agrawal in answer to his RTI submission looking for to know whether Rajan has American population at there or at some time previous along with applicable facts.

He also required whole in order on population of Rajan from his delivery till date mentioning dates of modify of his tribal cluster and whether policy authorize a person with population other than Indian to become RBI Governor.

The subject has previously been clarified by Rajan in a depress discussion last year where he said, "I am an Indian citizen, I have for all time been an Indian citizen. I for eternity held an Indian passport. I held an Indian ambassadorial passport when my father was in the foreign service and when I travelled on behalf of the bureau of economics.

"I have not at all functional for the nationality of one more country, I have by no means been a citizen of an extra motherland and have never in use a oath of loyalty to another country."

RBI for renovate of monetary countermarking methods

 

Reserve Bank of India (RBI) on Friday not compulsory an renovate of existing economic benchmarks, as well as steps to reinforce the excellence, line of attack and governance structure.

Apart from this, the central bank also called for amending the statutes to authorize RBI to conclude the strategy for benchmarks and issuing binding instructions to all the agencies concerned in the benchmark-situation procedure.

These suggestions are through in a 'breeze statement of the agency on monetary benchmarks' and required communal comments on the report by January 17.

The RBI had set up a group beneath its Executive Director P Vijaya Bhaskar on June 28, 2013 with a consent to study the various issues linking to economic benchmarks and to suggest the details by December 31.

The board was set up in the outcome of revelations that quite a few key worldwide benchmark rates like the Libor, Euribor of European Union, Tibor of Tokyo, etc were rigged by leading souk operators like RBS, and more than a few worldwide average situation bodies, countrywide regulators.

This led to self-regulatory bodies reviewing the benchmark setting processes and coming out with large ranging reforms to improve the sturdiness and consistency of monetary benchmarks.

The RBI breeze report, while noting that the obtainable system is commonly acceptable, called for "more than a few events/principles to make stronger the benchmark superiority, setting line of attack and governance structure of the benchmark administrators, estimate agents and submitters."

It also called for "amendments to the RBI Act, as a long- period compute, to overtly sanction RBI to decide the rule with observe to benchmarks used in money, G-secs, credit and forex markets and to subject compulsory directions to all the agencies concerned in the benchmark-scenery.

Awaiting amendments to the RBI Act, the statement suggested "suitable narrow and managerial structure to be put in leave by RBI for monetary benchmarks under its existing constitutional powers."

Monetary benchmarks are chiefly used for pricing, assessment and conclusion purposes in economic contracts, the RBI said in the statement.

The collective degree of underlying pecuniary contracts referenced to or esteemed during monetary benchmarks being pretty enormous, the robustness and consistency of monetary benchmarks play a dangerous role for the constancy of the monetary system, it additional.

Financial benchmarking is a procedure by which the central bank can get there at worldwide best practices by comparing and evaluating the various aspects of the existing practices in currency government securities (G-Secs), recognition and forex markets.

It can be illustrious that Iosco (International Organisation of Securities Commissions) released its ultimate statement on 'Principles for economic Benchmarks last July, which was authorized by the FSB. The benchmark administrators are necessary to reveal their observance with the Iosco principles by July 2014.

The board had the directive to appraisal all the main rupee awareness rate and forex benchmarks like the Mibid-Mibor, Mifor, INBMK, Miois, Miocs, G-Secs yield curve, prices for SDL, spreads for GoI FRBs, prices for corporate bonds, T-bills etc, based on their level of practice and significance to the monetary system.

The major forex benchmarks are RBI orientation rate, Fedai's spot fixings, month-end revaluation rates for forex spot and forward contracts, forex-rupee option disguised instability and FCNR-B rates.

The team reviewed these major benchmarks with observe to their value, setting tactic and governance systems.

On the benchmark excellence and location line of attack, statement observes that even if the methodologies followed are commonly acceptable, more than a few events need to be in use to extra reinforce the benchmark superiority and situation line of attack.

"The benchmark administrators and estimate agents need to rightfully enlarge their property for being up to the quite onerous tasks chosen or predictable of them," the statement said.

Other main suggestions comprise designating FIMMDA and Fedai as administrators for all the rupee awareness rate and forex benchmarks in that order, with crucial dependability for the whole benchmark situation procedure.

Making benchmark superintendent to openly reveal personage submissions subsequent to a suitable lag, occasionally evaluation each benchmark and commence essential changes; and index new benchmarks with the administrator anxious previous to being introduced in the market.

Making believable emergency stipulation and putting in place written policies and process to grip probable end of a benchmark, during the night MIBID-MIBOR situation may be shifted from obtainable polling technique to capacity biased standard of trades executed between 9 am and 10 am.

Making FIMMDA to synchronize the evolution of birthright contracts referenced to NSE Mibid-Mibor during polygonal and mutual alteration concurrence.

Making a G-Secs yield curve suing capacity weighted standard rate of the trades executed over longer time window in position of last traded yields and use the deal data to analyze INBMK, T-bills, CP, and CD curves as the first coating of data inputs along with others.

The statement also wants RBI to maintain with the existing scheme of fixing the suggestion rates, keeping in outlook the fresh global moves where the executive sector is assuming better role in setting up monetary benchmarks and also the truth that quite a few essential banks in developed as well as rising economies issue such orientation rates.

Forex treasury turn down for 2nd uninterrupted week to $295.50 bn

 
India's foreign replace funds declined for the second successive week to $295.50 billion, behind $12.6 million, in the week useless December 20, the Reserve Bank held on Friday.

Subsequent to five weeks of gains, politeness out of the ordinary change transom opened by RBI, the funds had declined to USD 295.51 billion in the prior exposure week.

Foreign coinage assets (FCAs), which form a most important piece of the in general funds, decreased by $94.7 million to $268.469 billion for the week below evaluation, it said.

FCAs, uttered in dollar stipulations, contain the achieve of admiration or downgrading of the non-US currencies such as the euro, clobber and wish, held in funds.

During the week, the bullion funds were unmoved at USD 20.603 billion, the head bank said.
The extraordinary illustration rights declined  by $9.1 million to $4.431 billion, while there was a $91.2 million thorn in India's keep back location with the IMF at $1.999 billion for the period of the period, the RBI data showed.

RBI tightens norms for credit card issuers on minimum dues

 
Tightening norms for credit card issuers, RBI on Friday asked banks to treat outstanding as bad loans in case customers fail to pay the minimum due amount within a stipulated 90 period.

With a view to bringing consistency and inducing transparency, the RBI said, "it is advised that a credit card account will be treated as non-performing asset if the minimum amount due, as mentioned in the statement, is not paid fully within 90 days from the next statement date".

In credit card accounts, the amount spent is billed to the card users through a monthly statement with a definite due date for repayment.

Banks give an option to the card users to pay either the full amount or a fraction of it or minimum amount due on the due date and roll-over the balance to the subsequent month's billing cycle.

The Reserve Bank said it has come to its notice that there are divergent practices being followed by banks with regard to asset classification status of credit card accounts if the minimum amount is not paid on the due date.

RBI asked the banks to follow this uniform method of determining over-due status for credit card accounts while reporting to credit information companies and for the purpose of levying of penal charges, like late payment charges, if any.

RBI mulling merits of FII limits in govt bonds

 
New Delhi: The Reserve Bank of India is examining the pros and cons of relaxing limits for foreign institutional investors (FII) in government bonds, a senior finance ministry official said on Wednesday.

The comment by Arvind Mayaram, the economic affairs secretary at the finance ministry, came in response to a question from reporters about whether India was considering lifting FII limits in order to qualify for inclusion into benchmark global bond indices.

India will also consider allowing local companies to issue rupee-denominated bonds abroad, marking a new step in the internationalisation of the rupee. International Finance Corp, the private sector arm of the World Bank, last month launched a $1 billion rupee-linked bond.

RBI Governor Raghuram Rajan had earlier said that Indian official are speaking to the index compilers about potential inclusion of domestic debt.

RBI permits foreign banks' subsidiary to acquire pvt banks

Mumbai: In a bid to regulate and avoid 2008- type crisis, RBI on Wednesday said foreign banks with complex structures and which do not provide adequate disclosure would have to operate in India only through wholly-owned subsidiaries (WOS).

However, it permitted WOS of overseas banks to acquire private sector banks.

The framework for setting up of WOS by foreign banks in India, released by the Reserve Bank Wednesday night, also allowed foreign banks' subsidiaries to list on local stock exchanges. The initial minimum paid-up equity capital or net worth for a WOS would be Rs 500 crore.

"Banks with complex structures, banks which do not provide adequate disclosure in their home jurisdiction, banks which are not widely held, banks from jurisdictions having legislation giving a preferential claim to depositors of home country in a winding up proceedings, etc, would be mandated entry into India only in the WOS mode," it said.

Foreign banks operating in India before August 2010 have the option to continue their operations in branch model.

The RBI further said foreign bank subsidiary will not be allowed to hold more than 74 percent, the sectoral cap for overall foreign investment, in private banks they may acquire.

"As a locally incorporated bank, the WOSs will be given near national treatment which will enable them to open branches anywhere in the country at par with Indian banks," the RBI guidelines said.

There were 43 foreign banks in India with a network of 333 branches as of March 2013. At present, foreign banks have presence in India only through branches.

The guidelines come against the backdrop of the 2008 global financial crisis, which the RBI said has shown that growing complexity and inter-connectedness of financial institutions have compromised the ability of home and host authorities to cope with the failure of big banks.

"The lessons learn during the crisis lean in favour of domestic incorporation of foreign banks," it said.

Spelling out reasons for subsidiarisation, it said this will create separete legal entities having their own capital base and local board of directors, which will help in better regulatory control.

Also, it would ensure that there is a clear delineation between the assets and liabilities of the domestic bank and those of its foreign parent and clearly provides for ring fenced capital and assets within the host country, RBI said.

Standard Chartered, the largest foreign bank by branch presence in India, has its depository shares trading on the domestic bourses, although it hasn't adopted a subsidiary route here.

Only multinational banks Standard Chartered, HSBC and Citi have more than 30 branches in the country. Although the Royal Bank of Scotland has 31 branches, it is winding down local retail operations.

The RBI's framework, aimed at safe guarding the Indian banking system, comes in the backdrop of collapse of several banks in advanced countries during 2008 global financial crisis.

"The issue of permitting WOS to enter into merger and acquisition transactions with any private sector bank in India subject to the overall investment limit of 74 percent would be considered after a review is made with regard to the extent of penetration of foreign investment in Indian banks and functioning of foreign banks (branch mode and WOS)," it said.

To provide safeguards against the possibility of the Indian banking system being dominated by foreign banks, it said, the framework has certain measures to contain their expansion if the share of foreign banks exceeds a critical size.

RBI will put a stop on further entry of new WOSs of foreign banks or capital infusion, when the capital and reserves of all foreign banks in India exceed 20 percent of the capital and reserves of the entire banking system.

CAD widens to 4.9 per cent of GDP in Q1 on high gold, oil imports PTI

High imports of gold and oil pushed current account deficit (CAD) to 4.9 per cent of gross domestic product (GDP) to $21.8 billion in the April-June quarter of the current financial year.

CAD is the difference between inflow and outflow of foreign exchange.

The deficit had declined to 3.6 per cent in the January-March quarter after touching a record high of 6.5 per cent in the October-December quarter. It was 4.4 per cent (or $16.9 billion) in Q1 2012-13.

"The trade deficit, coupled with a slow recovery in net invisibles (income and services), led to widening of CAD to $21.8 billion in Q1 of 2013-14 from $16.9 billion in Q1 of 2012-13," the Reserve Bank of India (RBI) said in its Balance of Payments statement.

Gold imports increased by $7.3 billion in the first quarter of the current financial year. The imports stood at about 335 tonnes in the April-June quarter.

"Excluding the increase in gold imports of $7.3 billion in Q1 of 2013-14 over the corresponding quarter of the preceding year, CAD would work out to $14.5 billion, which translates into 3.2 per cent of GDP," the central bank said.

RBI said there was a small draw down on country's foreign exchange reserves to finance the CAD.

"On BoP basis, there was a slight draw down in foreign exchange reserves of $0.3 billion in Q1 of 2013-14 as against an accretion of $0.5 billion in Q1 of 2012-13," it said.

During the quarter, while exports declined by 1.5 per cent, imports recorded an increase of 4.7 per cent. The trade deficit widened further to $50.5 billion in Q1 of 2013-14, from $43.8 billion a year ago, RBI said.

The government plans to bring down CAD to 3.7 per cent, or $70 billion, in 2013-14 from 4.8 per cent, or $88.2 billion, in 2012-13.

RBI acts tough on offshore FX trading on the internet

he RBI cracked down on offshore foreign exchange trading by Indians through online trading websites, asking banks to report any such remittances to the regulator.

In a circular issued late on Tuesday, the Reserve Bank of India (RBI) asked banks to advice customers not to undertake forex trading on foreign websites that offer currency contracts by accepting margins through credit card and online money transfer mechanisms.

The RBI also asked banks to close the credit card or online bank account of a customer that is found to be in violation of the rule.

The rupee has been hard hit in this summer's rout of emerging currencies, losing around 20 percent of its value against the dollar at one point, and significantly increasing the burden of Indian companies' dollar debt.

The central bank has been trying to curb the offshore rupee market by asking banks to cut down on overnight positions as well as asking foreign institutional investors to produce documentation from clients in order to hedge their currency risk in the onshore forward markets.

The central bank has already reduced the limit for remittances made by residents to $75,000 from $200,000 per financial year.

Sign in | Create a Rediffmail account Rediff.com » Business » Rajan meets PM, FM ahead of monetary review Rajan meets PM, FM ahead of monetary review

Days before his first monetary policy review, Reserve Bank of India (RBI) Governor Raghuram Rajan met Prime Minister Manmohan Singh and Finance Minister P Chidambaram on Tuesday. 
The meeting also comes at a time when the US Federal Reserve is expected to take a call on tapering of the bond-buying programme known as quantitative easing.
“RBI has constant consultations with the finance ministry. This meeting was part of that. We discussed a whole gamut of issues,” Rajan told reporters on Tuesday after meeting Chidambaram.
Later, during the day, the government hiked import duty on gold jewellery to 15 per cent from the existing 10 per cent in an effort to curb the spiralling current account deficit (CAD) that touched an all-time high of 4.8 per cent of the GDP in FY13.
A six-month high inflation in August has already made things tough for Rajan at a time when industry is demanding cut in the policy rate to boost growth.
Inflation rose 6.1 per cent in August from 5.8 per cent in July, driven by expensive food items, particularly onions, which saw the rate of price rise skyrocketing to 244.6 per cent from an already high 119.4 per cent.
According to a report by Dun and Bradstreet, RBI is expected to maintain a status quo on the policy rate. Ironically, onion prices can’t be brought down by interest rate policy.
However, that may desist Rajan from easing the central bank’s monetary stance in the mid-quarter review on the 20th of this month, economists said.
India’s economic growth crashed to a four-year low of 4.4 per cent in the first quarter of 2013-14.
On the other hand, inflation in manufactured products further fell to 1.9 per cent from 2.81 per cent, despite depreciation of the rupee, increasing imported inflation. This showed that demand in the Indian and global economy remained subdued.
Usually, it is manufactured product inflation on which RBI focuses its attention; it is core inflation within manufactured item inflation that RBI is usually concerned.
The core inflation relates to manufactured items sans food articles. It fell further to 1.9 per cent in August from 2.3 per cent.
The low rate of price rise in manufactured items and core inflation should have been ideal conditions for RBI to cut rates, but the party is being spoilt by food articles.

'RBI unlikely to reverse liquidity tightening steps on Sep 20'

Mumbai: Reserve Bank's new Governor Raghuram Rajan may wait for signs of a sustained stability in the rupee and is unlikely to reverse the liquidity tightening steps at Friday's mid-quarter review, Standard Chartered Bank said Tuesday.

"While the rupee's 7.6 percent appreciation (against dollar) from September 3-16 is encouraging, the RBI might prefer to wait longer for confirmation of sustained currency stability - a key determinant of such a reversal," it said in a report here.

"A complete reversal of liquidity tightening measures on September 20 looks unlikely to us," it added.

In order to arrest rupee's fall, Rajan's predecessor D Subbarao in July had announced liquidity tightening measures, including a cap on banks' overnight borrowings which increased the short-term rates in the system.

The RBI reduced the banks' liquidity adjustment facility (LAF) borrowing limit from 1 percent of the total deposits to 0.5 percent and also asked banks to maintain higher average CRR (cash reserve ratio) of 99 percent of the requirement on daily basis.

The StanChart report, however, said the RBI might recalibrate some of its liquidity-tightening measures in the mid-quarter monetary policy review on September 20 to reassure the market that the steps announced are temporary.

According to the report, RBI Governor could reduce the daily minimum CRR balance from 99 percent, or marginally increase the LAF borrowing limit from 0.5 percent of net demand and time liabilities (NDTLs).

"These changes are unlikely to reduce the call rate substantially below the MSF rate which is at 10.25 percent, but we believe they would offer some comfort to the markets, with the hope of further easing later," it said.

StanChart eThe report said the RBI may adopt a wait-and-see stance on September 20 given that the government is yet to announce measures to contain the fiscal deficit at 4.8 percent of GDP.

In the first four months of FY'14, the fiscal deficit reached a level equivalent to 60 percent of the budgeted target. StanChart expects the US Fed to taper its quantitative easing by USD 10 billion per month and maintain a relatively dovish policy tone.

"If the RBI only fine tunes the existing liquidity framework and reiterates its intent to gradually exit the tight liquidity regime, then we expect a limited market response," the report said.

"The markets will then watch closely for signals from the new Governor on the timeline and possible preconditions for a roll-back of liquidity-tightening measures," it said.

The report said given the uncertainty over the RBI's potential monetary policy responses, it remains neutral on government securities duration.
xpects the RBI Governor to stay hawkish on inflation front as August CPI inflation remained elevated, and moreover, WPI inflation accelerated to 6.1 percent. "The headline number is likely to keep the RBI cautious."

Rate cuts may be delayed with RBI focus on rupee: Barclays

New Delhi: With the Reserve Bank's policy focus geared towards supporting the rupee, the central bank may delay easing rates to between December and April 2014, a Barclays report says.

According to the global brokerage firm, the RBI is likely to remain focused on supporting the rupee, which has depreciated by more than 13 percent since May and crossed the psychological level of 62 against the dollar last week.

"As such, while the focus is on the INR, we think monetary policy calibration will eventually be biased towards further easing, rather than tightening. However, we think further policy easing will likely be delayed," Barclays said in a research note.

The financial services major believes key policy rates would be eased by as much as 75 basis points in this fiscal but it would be a "delayed" affair.

"We still expect 75 bp of repo rate cuts, but now we expect them to take place between December 2013 and April 2014, rather than our initial expectation of September -December 2013," Barclays said.

The industry has been demanding a cut in key policy rate to boost economic activities. Industrial output contracted for the second consecutive month in June.

Moreover, inflation rose for the second consecutive month and shot up to 5.79 percent in July, driven largely by double-digit rise in prices of food articles, including vegetables and onions.

The RBI, in its First Quarter Review of Monetary Policy on July 30, left all key interest rates unchanged.

The repo rate, at which the RBI lends to the system, was kept at 7.25 percent and the cash reserve ratio, the amount of deposits banks park with it, was unchanged at 4 percent.

The RBI is scheduled to hold its next mid?quarter review of policy on September 18.

Rupee fall has forex reserves plunging $16.5 bn since April

Mumbai: RBI's fight to prop the tottering rupee has contributed substantially to forex reserves dipping by a hefty USD 16.554 billion or 6 percent to a low of USD 275.49 billion since the beginning of this fiscal.

According to marketmen, a large part of this has been used to save the bleeding rupee, which went on a downward spiral after May 22 when Ben Bernanke of the US Fed had hinted at turning his easy money policy much earlier than previously hinted.

According to the latest Reserve Bank data, forex reserves plunged to USD 275.491 billion to the week ending August 30, which is a near 6 percent fall from USD 292.646 billion as of March 29.

The rupee opened the fiscal at 54.25 to the US dollar but fell to a life-time low of 68.86 on August 28, losing nearly a third of its value. However, since the new RBI Governor Raghuram Govind Rajan took over the affairs of the Mint Street on September 4, the rupee has been on a winning streak, and closed the last trade on Friday at 65.24 to the dollar.

On a weekly basis, the reserves dropped by USD 2.2 billion as of August 30, marking a three-year low, the RBI data showed.

Overall, the foreign currency assets have fallen more to the tune of USD 3.08 billion to USD 247.40 billion in the week ended August 30.

The Reserve Bank was net seller of the dollar twice this year in May and June, according to its monthly data.

In June this year, RBI sold USD 2.252 billion net of the US currency, while in May it sold USD 107 million dollars.

Looking at the steep fall in the overall numbers, marketmen said, it could be surmised that the central bank has intervened in a much more heavier and frequent manner in the forex market in July and August, as these two months saw the rupee plunging to new lows.

According to forex dealers, RBI not only intervened in May and June, but was present in the market all through July and August when rupee was touching new lows.

The rupee has been in free-fall territory since May 22 when the US Federal Reserve said it would slow and finally taper of its monthly USD 85 billion buyback of government debt or withdraw its easy money policy called quantitative easing.

The announcement led to a massive selling by the overseas investors in the country's debt and equity markets, to the tune of nearly USD 15 billion, mostly from the debt market.

To save the rupee, the central bank had announced various liquidity tightening measures starting July 15, including steeply hiking call money rates and partly bringing back capital control.