The Reserve Bank of India ordered banks to mandatorily link their lending rates to external benchmarks to ensure smoother transmission of policy rate cuts to the borrowers. Meanwhile, IndiGo promoter Rakesh Gangwal has once again written to market regulator SEBI urging it to take action on corporate governance issues he had flagged earlier. Read on for more headlines from the world of business and economics today:
The move will make home loans and auto loans cheaper from October onward as the banks will now be forced to pass on the multiple rate cuts the RBI has made in recent monetary policy meetings.
With India's auto sales declining for the 10th straight month in August, more automotive manufacturers are laying off workers and temporarily halting production to keep costs in check.
IndiGo told stock exchanges that Gangwal's August-30 letter seeks directions to IGE Group regarding amendments in Articles of Association, related-party transactions, non-independence of current chairman M Damodaram, among others.
The total market cap of 18 PSBs (excluding the country's largest lender) is pegged at nearly Rs 2.3 lakh crore while the government has infused Rs 2.5 lakh crore in these banks over the past five fiscals.
Indian recorded music industry - that has registered a 24.5 per cent growth from Rs 858 crore in 2017 to Rs 1,068 crore in 2018.