BIS foresees no major subprime fallout in Asia.
MUMBAI: Even as central banks worldwide brace themselves for a further fallout of the subprime crisis, Bank for International Settlements (BIS) chairman Malcom Knight has reassured Indian investors. He said that emerging markets in Asia, including India, are unlikely to be affected by the crisis. Speaking on...

Reddy bullish on growth story Bhatt bears pick holes.
MUMBAI: Central banks are usually viewed as conservative while the entities they regulate - banks - are more gung ho. But on Friday, there appeared to be a bit of a role reversal. While RBI governor YV Reddy sounded fairly optimistic about the economy motoring on at...

Export-oriented currency policy may hurt Asia.
MUMBAI: Central banks across Asia, which have amassed huge foreign exchange (forex) reserves, face a monetary policy challenge that constrains flexibility in monetary policy operations. Also, some are facing losses on a portion of their holdings that they sterilise, according to global credit ratings major Standard and Poor's (S&P)....

'Asia ex-Japan GDP growth at 7.6% in '08'.
MUMBAI: Lehman Brothers says it matters greatly for Asia ex-Japan whether the global economy is in for a soft or a hard landing. "If there is a soft landing - as is our baseline view - Asian central banks will likely fall behind the curve, with many Asian economies...

Bond yields fall, strong stocks boost rupee.
Even as bond yields dipped on Wednesday, the central bank's decision to raise the repo rate after market hours is expected to lead to a spike in yields on Thursday, reports Our Bureau in Mumbai. The Reserve Bank of India (RBI) announced a 25-basis point hike in...

Surplus cash may find its way to banks.
Byline: Gayatri Nayak MUMBAI: In a move that could make the money market less turbulent, the Reserve Bank of India (RBI) is examining a proposal to lend government's surplus cash to banks. The move will make life easier for banks who resort to expensive overnight borrowings to...

Banks set stage for new capital adequacy norms by March'08.
Byline: Priti Patnaik Banks are gearing up for the implementation of the next stage of capital adequacy norms in March 2008. They are now gathering information on the kind of borrowers and mapping collaterals against advances. Under the guidelines issued by RBI in April this year, unavailed...

PSU banks seek cover against rising rates.
Byline: Priti Patnaik NEW DELHI:In a bid to hedge against the hardening interest rate regime, state-owned banks are looking to buy protection through interest rate derivatives. Interest rate derivatives help banks to exchange the interest rate payments due to them on underlying assets. Banks convert...

Banks to introduce Unconditionally Cancelable clause in loan contracts.
Byline: Priti Patnaik NEW DELHI: Banks are looking at introducing a clause, unconditionally cancellable, into loan contracts that will exempt them from allocating capital against the loan amount still to be drawn. The clause will also give them the right to cancel disbursement unconditionally. This...

Basel norms for banks may not be delayed.
MUMBAI: Banking regulator the Reserve Bank of India (RBI) said on Thursday it was not considering to extend the deadline for banks to implement the new Basel norms. Under the new norms, banks will have to set aside more capital to tackle a variety of risks. According...