Among the plethora of challenges, the economy faces, amidst the pandemic, is the sharp decline in credit growth. RBI has reduced the benchmark repo rate by 2.5% to manage this, and has also been ‘nudging’ banks to increase lending which, it feels, could spur growth. However, its efforts haven’t really had much impact as borrowers … Continue reading Bank Credit Growth – Analyzing the Reversal
With the shift in focus from digital to retail come the news of acquisition of a number of businesses of Future group by Reliance Industries (RIL). The digital focus had earlier resulted in number of investors taking stake in Jio Platform, helping RIL raise about Rs 1.5 lakh crore. So, what does RIL gains and … Continue reading RIL – Future Group Deal Explained
While the passage of bills related to agriculture reforms passed by Lok Sabha this week is indeed landmark, it is not exactly new. The bills had already been promulgated as ordinance in May, earlier this year. That makes the current protests interesting as there was no opposition then. If the bill was wrong, why was it not opposed when the ordinance was passed?! Nevertheless, here is a brief look at the provisions of the bill and why it matters so much. Continue reading The Farmers Bill – Understanding the provisions
Global trade has been hit severely by Covid-19, declining by 3% and 18.5% in the first two quarter of 2020 as per WTO’s initial assessment. However, even before the pandemic, trade tension had already began hitting it. As per WTO report, global merchandise trade declined by 0.1% in volume terms in 2019, sharp reversal from … Continue reading Global Trade – 2019 Overview
Covid-19 is having an unprecedented impact on financials of corporate sector putting a serious question mark on survival of many of them. Other than the cash required to pay salaries etc, companies need to generate sufficient cash to pay interest and loan installments. As per Kamath Panel report, as much as Rs 37.7 lakh crore … Continue reading Corporate Debt Restructuring – Understanding the Issues Involved
Covid-19 pandemic has further added to the woes of corporate and financial sector, already reeling under the impact of subdued economic conditions, NPAs overhang, NFBC crisis etc. Yet, the sectors have shown considerable degree of resilience so far, aided by regulatory and government efforts. However, the real credit for the same goes to their efforts … Continue reading Corporate & Financial Sector – Changing Dynamics.
While the Indian economy recorded sharp decline in GDP amidst the pandemic, it is not alone. Most of the economies across the world have recorded significant decline in their GDP. However, that may not still be a cause of worry and the biggest challenge at the moment is to get out of the pandemic. The demand should bounce back, possibly with an even greater thrust, once the fear and restrictions caused due to pandemic is over. Here is a look at some of the details. Continue reading GDP, June’20 Quarter – Global Performance