What are Treasury bills or T-bills? Treasury bills are Government bonds with a maturity of less than 1 year. (Read: What is a Bond?) T-bills are issued by the Government to meet its short-term expenditure requirements. It is also issued to regulate the money supply (liquidity) in the economy. For instance- if there is excess money …
Treasury bills in India: Meaning and Details of t-bills in India Read More »
The Chapter 3 of the Economic Survey is titled, “Investment and Saving Slowdowns and Recoveries: Cross-Country Insights for India.” This chapter makes a point that savings and investment growth in India is not unduly low. In fact, they are above the levels in the 1990s. The savings and investment rate reached historically high levels in …
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What is structured finance? In simple words, structured finance is the use of complex financial instruments. Structured financial instruments are riskier It is mostly used by financial institutions and companies with unique financing needs Some examples of structured financial instruments- Derivatives, Mortgage-backed securities (MBS), Collateralised debt obligations (CDO), credit default swaps (CDS), synthetic financial instruments & …
What is meant by Basel norms or Basel accords? Basel norms are international banking regulations issued by the Basel Committee on Banking Supervision (BCBS). The Basel norms is an effort to coordinate banking regulations across the globe, with the goal of strengthening the international banking system. The Basel Committee on Banking Supervision (BCBS) consists of …
The chapter 2 of the Economic Survey is titled- “A New, Exciting Bird’s Eye View of the Indian Economy Through the GST.” Before reading further you may read these articles on GST by Economyria- GST explained The final structure of GST Changes made by the GST council in the 22nd meeting How to file GST …
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A bond is a financial instrument through which a company or government borrows money from the investors at a fixed rate of interest. Effectively, when you are buying a bond, you are lending money to the Government or the company. To illustrate– a company wants to borrow Rs.100 for 10 years. It can issue …
What are bond yield & the yield curve? – Explained Read More »
Punjab National Bank (PNB), the country’s second-largest public sector bank, disclosed that it has detected fraudulent transactions worth Rs.11400 crores at one of its branches in Mumbai. This is the biggest fraud discovered so far in India’s banking history. The magnitude of the scam is massive considering the amount is equivalent to one-third of the total …