Source: This post is based on the article “RBI permits card tokenization services” published in AIR on 26th August, 2021. What is the News? The Reserve Bank of India has permitted authorised card networks to offer card tokenization services to any token requestor in a bid to make card transactions more safe, secure and convenient… Continue reading RBI permits card-tokenization services in a bid to make card transactions more safe
Tag: MONETARY POLICY
Adverse impacts of rising inflation
Synopsis: A rising inflation level adversely impacts the purchasing power of the consumer and discourages lending activities in an economy. India is currently observing an upward trend which may induce RBI to alter its accommodative stance and tilt towards a stricter monetary policy. Background: RBI has not intervened on high inflation since the onset of… Continue reading Adverse impacts of rising inflation
RBI’s monetary Policy statement
News:Reserve Bank of India’s Monetary Policy Committee(MPC) has come out with its own measures to help deal with economic fall out of COVID-19 pandemic. Facts: RBI’s Measures Repo Rate:It is the rate at which the RBI lends money to the banks for a short term.It has been cut by 75 basis points (bps) from 5.15%… Continue reading RBI’s monetary Policy statement
Explained: Why RBI’s monetary policy matters
The Monetary Policy Committee of the RBI has decided to cut the repo rate by 35 basis points to 5.4%. The monetary policy is important as any economic activity which is measured by GDP happens by (a) private individuals and households spend money on consumption (b)the government spends on its agenda (c)private sector investment and… Continue reading Explained: Why RBI’s monetary policy matters
‘Financial stability is a key theme for monetary policy’
The Reserve Bank of India(RBI) governor has highlighted the importance of the central bank’s role in maintaining financial stability. Financial stability can be defined as a condition in which the financial system is not unstable.It can also mean a condition in which the three components of the financial system which are financial institutions, financial markets… Continue reading ‘Financial stability is a key theme for monetary policy’
