Cardless cash withdrawal in ATMs via UPI - PNB

11 Apr 2022 , 11:10 AM

In line with market expectations RBI Monetary policy Committee, kept the repo rate unchanged at 4% and continued with accommodative stance. Given the current Geopolitical situation the increasing inflation projections and reducing growth outlook was also expected.

To impart flexibility in liquidity management, Reserve Bank of India has tweaked its liquidity framework, introducing standing deposit facility through which it will absorb surplus liquidity. As the economy is limping back to normalcy RBI restores, LAF corridor to 50 bps as in pre-covid level with SDF as floor at 3.75% and MSF as ceiling at 4.25% which will also provide financial stability. Increasing SLR holding in Held-to-Maturity category by 100 bps till March 31, 2023 banks will be able to better manage their investment portfolio.

With diversification in financial industry, RBI proposal of a panel to review status of customer service at RBI-regulated entities was a necessary step. Cardless cash withdrawal now being available at all bank branch and ATMs via UPI will help prevent frauds and improve ease of transactions. Rationalisation of risk weights for individual housing loans to be extended till March 31, 2023 which will provide impetus to Housing loan demand.

By Atul Kumar Goel, MD and CEO of Punjab National Bank (PNB)