Tuesday, July 22, 2025
ADVT 
India

RBI panel suggests extending call money market timings to 7 p.m.

Darpan News Desk IANS, 02 May, 2025 10:53 AM
  • RBI panel suggests extending call money market timings to 7 p.m.

Mumbai, May 2 (IANS) A working group set up by the Reserve Bank of India (RBI) has recommended extending the trading hours for the call money market.

The group suggested that the trading window should remain open till 7 p.m. instead of the current 5 p.m.

This move aims to help banks manage their funds better in line with the needs of the real-time payment system.

However, the group did not suggest any change in trading hours for other financial markets such as government securities, interest rate derivatives, or foreign exchange markets.

The working group was chaired by Radha Shyam Ratho, who is an Executive Director at the RBI. The RBI had announced the formation of this group during its monetary policy review in February this year.

The group’s report noted that standalone primary dealers (SPDs) had requested longer trading hours in the call money market.

They also suggested that the reporting window, including for cancelled transactions, should be open till 7.30 p.m.

The report highlighted significant growth in the overnight money market over the last decade.

Between 2014-15 and 2024-25, the annual turnover in this market jumped from Rs 281.37 lakh crore to Rs 1,324.05 lakh crore.

Meanwhile, the daily average turnover increased from Rs 1.17 lakh crore to Rs 5.52 lakh crore. This sharp rise was mainly due to the growth in the collateralised segment of the market.

The turnover in this segment rose from Rs 245.27 lakh crore to Rs 1,296.62 lakh crore during the same period.

In contrast, the turnover in the uncollateralised call money market went down from Rs 36.10 lakh crore to Rs 27.42 lakh crore.

The report further said that the call money market is open only to banks and standalone primary dealers.

These participants have access to the RBI’s liquidity adjustment facilities. Co-operative banks are the main lenders in this market, while SPDs are the main borrowers.

Picture Courtesy: IANS

MORE India ARTICLES

Startups key to make India 3rd largest economy by 2027: Piyush Goyal

Startups key to make India 3rd largest economy by 2027: Piyush Goyal
New Delhi, April 3 (IANS) Currently the world's fifth-largest economy, India is on track to become the fourth-largest by the end of 2025 and the third-largest economy by 2027 — surpassing Japan and Germany, Union Minister of Commerce and Industry, Piyush Goyal, said on Thursday while crediting this growth to the robust startup ecosystem.

Startups key to make India 3rd largest economy by 2027: Piyush Goyal

India surpasses Europe, US in locomotive production to emerge as world leader

India surpasses Europe, US in locomotive production to emerge as world leader
New Delhi, April 2 (IANS) India has emerged as a global leader in railway locomotive manufacturing, achieving a record production of 1,681 locomotives in the financial year 2024-25, according to a Railway Ministry statement issued on Wednesday.

India surpasses Europe, US in locomotive production to emerge as world leader

Punjab Police refutes reports on security withdrawal of Akali leader (Lead)

Punjab Police refutes reports on security withdrawal of Akali leader (Lead)
Chandigarh, April 2 (IANS) Punjab Police on Wednesday refuted reports claiming the complete withdrawal of security for Shiromani Akali Dal (SAD) leader Bikram Singh Majithia, clarifying that his security cover had only been scaled down based on a reassessment of threat perception.

Punjab Police refutes reports on security withdrawal of Akali leader (Lead)

Punjab Police avert terror attack, operative linked to ISI held

Punjab Police avert terror attack, operative linked to ISI held
Chandigarh, April 1 (IANS) In a major breakthrough amidst the ongoing drive to make Punjab a safe and secure state as per directions of Chief Minister Bhagwant Singh Mann, Counter Intelligence (CI) Amritsar has averted a possible terror attack in the state with the arrest of an operative linked to Pakistan’s Inter-Services Intelligence (ISI) agency and recovered one hand grenade from his possession, said Director General of Police (DGP) Gaurav Yadav here on Tuesday.

Punjab Police avert terror attack, operative linked to ISI held

Operation Brahma: India continues humanitarian assistance to quake-hit Myanmar

Operation Brahma: India continues humanitarian assistance to quake-hit Myanmar
An additional IAF C-130J aircraft carrying 16 tonnes of vital Humanitarian Aid and Disaster Relief (HADR) materials, including tents, gensets, food, drinking water, and emergency medicines, landed in Mandalay, said the Ministry of External Affairs (MEA).

Operation Brahma: India continues humanitarian assistance to quake-hit Myanmar

'Will wipe out drugs from Punjab', AAP leaders and volunteers take oath with Kejriwal

'Will wipe out drugs from Punjab', AAP leaders and volunteers take oath with Kejriwal
Calling it a crucial step for the state's future, Kejriwal assured the gathering that this mission is not just a goal but a collective commitment that will unite every individual in Punjab to free the state from the clutches of drugs.

'Will wipe out drugs from Punjab', AAP leaders and volunteers take oath with Kejriwal