The inflation target could be tweaked to accommodate the government's higher borrowing plan of Rs 12 lakh crore in 2021-22

At 21% recovery, IBC has performed worse than UPA-era debt recovery mechanisms panned for inefficiencies. The idea of a bad bank is also likely to fail if political interference and poor bank governance continue

Misdirected stimulus that relies heavily on liquidity infusion when demand is depressed and incentivising loan defaults by routinely writing off NPAs threaten financial stability and economic recovery

Top-down reforms since the demonetisation of 2016 have already derailed the economy and brought misery to millions, yet the great zeal to do more of the same amidst protests from several segments of population demonstrate that the intent is far from public welfare

As India marches from one economic disaster to another, policy and planning appear to be victims of whims and fancies as and when they strike

Multiple factors are responsible for this; some are well-known, like data fudging and man-made disasters of demonetisation, GST, and stringent lockdown; others are lost sight of, like lack of institutional support and intellectual rigour and frivolous approach to serious crisis

The Mudra portfolio of the largest bank in the country with over 20 per cent market share in banking assets indicates a similar situation in other public sector banks

This is Part I of two-part article revisiting critical economic decisions that eventually led to minus 23.9% growth in Q1 of FY21. Blaming exogenous factors (pandemic) or intense lockdown is merely an excuse to divert attention from government's ineptitude and thwart meaningful debate

Former deputy governor of Reserve Bank of India says idea that India'll somehow fix governance problems of PSBs won't work; I see only two parts that can work -- healthier banks can be floated in market and others should find niche business models that work, he says

Most governments across the world incentivise debts to drive business even when it leads to over-borrowing, economic instability, tax evasion and adversely impacts investment in public goods. In contrast, equity-driven business has none of these ill-effects, produces better economic outcomes too

Acharya's comments came amid rising clamour for further rate cuts to help boost the economic recovery, even as headline inflation breached the 6 per cent level in June

Apart from rise in financial frauds in private companies in India, recent years have also witnessed a rise in the role of shell companies and tax havens in their operations, raising further concerns about illicit operations

In his new book titled 'Quest For Restoring Financial Stability In India', Acharya delves into the nature of pressure he worked under at the Reserve Bank of India

Acharya, in his book, \"Quest for Restoring Financial Stability in India, argues that numerous policies \"regressed\" the economic climate in the country while he was deputy governor between early January 2017 and mid-July 2019

Gandhi says RBI governor resigned in just over two years as Prime Minister Narendra Modi didn't want him to go after wilful defaulters

In his book, Patel is also critical of Mudra loans where government has set targets in the past for banks to give collateral-free loans up to Rs 10 lakh. Currently, the NPAs in the Mudra loans are one of the highest, even reaching 20 per cent-plus level for some PSBs

Urjit Patel also says that the government is responsible for ensuring adequate capital for banks that are under its ambit on a durable or sustainable basis

'Until then, for the most part, the finance minister and I were on the same page, with frequent conversations on enhancing the landmark legislation's operational efficiency,' wrote Patel in his book

Urjit Patel has been appointed for a 4-year tenure, starting June 22. He will succeed Vijay Kelkar as NIPFP Chairperson

Changes in RBI mandate, new infra financing models and rules for new-age banks can rev up the banking engines