RBI to ensure adequate liquidity in system; cuts reverse repo rate by 25 bps
Mumbai: The Reserve Bank of India Governor Shaktikanta Das on Friday said the central bank will ensure adequate liquidity in the system to ease the financial stress caused by the Covid-19 pandemic.
The central bank reduced the reverse repo rate - the rate at which banks park their fund with the central bank - by 25 basis points to 3.75 per cent.
This will encourage banks to lend to the productive sectors of the economy.
With regard to other measures, Das said RBI will begin with giving an additional Rs 50,000 crore through targeted long-term repo operation (TLTRO) to be undertaken in tranches.
Besides, he announced a re-financing window of Rs 50,000 crore for financial institutions like Nabard, National Housing Bank and Sidbi. He further said surplus liquidity in the banking system has increased substantially as result of central bank's actions.
Stating that the RBI is monitoring the situation developing out of Covid-19 outbreak, he noted that the contraction in exports in March at 34.6 per cent was much more severe than global financial crisis of 2008-09.
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Trump says he ‘hasn’t even thought about’ continuing Iran ceasefire
Washington: US President Donald Trump has said he has not yet considered whether he would continue the ceasefire involving Iran, while also claiming the United States holds the advantage in negotiations.
Speaking to reporters, Trump said he was prepared to make a deal with “whoever is running the show” in Iran.
“They are fighting with each other, there’s tremendous infighting. They’re probably fighting for leadership in many cases. I think they’re fighting not to be leader because we knocked out two levels of leaders,” he said.
Trump added, “When they want they can call me. We have all the cards, we’ve won everything.”
Referring to ongoing negotiations, he said, “They gave us a paper that should’ve been better. And, interestingly, immediately when I cancelled it [envoy trip to Pakistan], within 10 minutes we got a new paper that was much better.”
“We talked about they will not have a nuclear weapon, very simple … They offered a lot, but not enough,” he added.
When asked whether he would continue the ceasefire, Trump replied, “I haven’t even thought about it.”
The remarks come as uncertainty remains over the future of the temporary truce and broader negotiations between Washington and Tehran.
