SEBI had written to RBI in March itself impressing upon it the need to provide a liquidity window for mutual funds.
The overall premium income (new business) of 24 players in the segment fell to Rs 25,409 crore this March from Rs 37,459 crore a year ago, as per data released by the Life Insurance Council.
As many as six of the fund house’s FoF schemes have lost up to 25 per cent in their net asset values (NAVs).
Subscribed 100% in Rs 7,697 cr worth issues, over 50% in Rs 15,358 cr issues
These shares were acquired pursuant to invocation of pledge by security trustee on behalf of the corporation, which was pledged against a loan given by the lender in its normal course of business, HDFC Ltd said in a regulatory filing.
"Franklin Templeton Mutual Fund's decision to wind up six debt schemes is a matter of grave concern to the investors, mutual fund industry and the financial markets," Chidambaram said in a statement.
Winding up the funds is the “only viable option to preserve value for investors and to enable an orderly and equitable exit” for all unit holders, the asset manager said in a statement posted on its website on Thursday.
Of the Rs 25,000 crore put by the central bank on the TLTRO window on Thursday, banks took only Rs 12,850 crore (for three-year tenor), while there were no takers for the remaining amount. The RBI offers TLTRO funds at the repo rate of 4.40 per cent.
Coronavirus (Covid-19): The Finance Ministry, however, stated that the DA and DR at current rates will continue to be paid.
The usage of cash and other cash-based services, however, dipped during the period, the data showed.
During the quarter, there was a considerable slowdown in economic activities following the outbreak of the coronavirus pandemic across the world, HDFC Bank said.
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More liquidity sops for NBFCs, NPA norms relaxed, reverse repo rate slashed
The Reserve Bank of India (RBI) on Friday cut the reverse repo rate by 25 basis points (bps) from 4 per cent to 3.75 per cent.
Coronavirus (COVID-19): Insurance experts said the viability of such a pool can be studied and implemented if found suitable. “There are viability issues. But it’s worth exploring,” said former IRDAI Member KK Srinivasan.
ICRA expects the credit costs for microfinance institutions (MFIs) to be at least double from the present levels of 1-1.5 per cent to 2.5-3 per cent for most players, which is likely to impact the profitability of the MFIs by 3-5 per cent in 2020-21.
Coronavirus (COVID-19): The final call regarding the rate, however, would be taken after the nationwide lockdown is lifted on May 4.
Coronavirus (COVID-19): The extended lockdown across the manufacturing and services sectors, the resultant job losses along with the wave of salary cuts are projected to start impacting the repayment capacity of retail borrowers.
The Monetary Policy Committee (MPC), headed by Reserve Bank of India (RBI) Governor Shaktikanta Das, was originally scheduled for March 31, April 1 and 3, 2020, but was advanced in view of the coronavirus pandemic.
On microbanking business, Bandhan Bank said its collection efficiency pan-India for the period from January 1, 2020, till March 21, 2020, stands at nearly 98.7 per cent.