Economy Updates
ECB Monetary Policy - January 2021

The European Central Bank (ECB) announced its first monetary policy for the new calendar year 2021 where the committee decided to reconfirm the accommodative monetary policy stance of the central bank and maintain status quo for key policy rates…

Jan 22 2021 |
Expectations from the Union Budget for 2021-22

With the Union Budget to be announced on 1st February we have done some crystal ball gazing on what could be expected this time. There are sector based expectations for sure as well as some macro numbers which we believe will be the assumptions here…

Jan 22 2021 |
Weekly Update on Central Government Borrowings - January 22 2021

The Central government raised Rs 20,920 crs during the week ended January 22, 2021, the lowest amount raised since April 27, 2020 in its scheduled weekly auctions...

Jan 22 2021 |
State Government Borrowings - January 19 2021

Eight states raised a total of Rs.12,206 crores at the auction of the state government securities or state development loans (SDLs) held today…

Jan 19 2021 |
Liquidity Report - January 11 to 15 2020

The banking system liquidity surplus witnessed a notable moderation in the week ended 15 January’21, consequent to the RBI draining liquidity from the banking system through the conduct on reverse repo, after a gap of ten months…

Jan 18 2021 |
Weekly Update on Central Government Borrowings - January 15 2021

The Central government raised Rs 22,455 crs during the week ended January 15, 2021, which is higher than the notified amount (Rs 22,000 crs) but lower than the funds raised during the previous week (Rs 30,863 crs)...

Jan 15 2021 |
CARE Ratings Economic Comeback Meter - January 15 2021

The CECM, which is a score that talks of the extent of  economic comeback,  shows that the economy is “on a comeback path”. Select parameters have seen a gradual but sustained improvement in the period under consideration.  However, it is still far from a comeback...

Jan 15 2021 |
Debt Market Review - December 2020

Borrowings by the government (centre and state) and corporates rose in December 2020. Despite the higher funds raising, the average cost of borrowing for corporates and the central government moderated further during the month…

Jan 14 2021 |
Wholesale Inflation - December 2020

Inflation came in lower than our expectations at 1.2%. going forward there will be counter-balancing factors with primary inflation tending downwards and manufacturing inflation upwards. Inflation of manufactured products has increased by 4.2% this month which is the highest this year where an increasing trend was witnessed post July...

Jan 14 2021 |
Review of RBI s Unconventional Monetary Tools

The unconventional monetary policy measures taken by the RBI in 2020. It explains the concepts of LTRO,Operation twist etc. and how these measures have panned out in the covid context…

Jan 14 2021 |
CARE Ratings Revised Fiscal Deficit Projection for FY21

CARE Ratings has been tracking the progress of the Budgetfor the current year in terms of revenue generation and  expenditurere-orientation keeping in mind the policies announced by the govt. during theyear to counter the pandemic. In this report we have projected the fiscaldeficit for FY21 to be in the range of 7.8% to 8.4%...

Jan 13 2021 |
State Government Borrowings - January 12 2021

Ten states raised a total of Rs.12,294 crores at the auction of the state government securities or state development loans (SDLs) held today...

Jan 12 2021 |
Retail Inflation - December 2020

Inflation dropped sharply  in December’20 to 4.6% (y-o-y growth)and came within the RBI’s target range (4%-6%) after a gap of 8 months...

Jan 12 2021 |
IIP - November 2020

Industrialoutput contracted in November’20 by 1.9% (y-o-y growth) reversing two months ofpositive growth...

Jan 12 2021 |
Liquidity Report January 4 to 8 2020

The outstanding liquidity in the banking system has remained in surplus for the week ending January 8, 2021 though partial moderation has been witnessed on weekly basis..

Jan 11 2021 |
Weekly Update on Central Government Borrowings - January 8 2021

The Central government raised Rs 30,863 crs during the week ended January 8, 2021...

Jan 08 2021 |
Profile of Small Finance Banks

Short profile of SFBs as of FY20. It gives information on their size and performance indicators and also highlights the contours of their business model where cost of funds is high which gets translated into higher returns on advances and hence also profit indicators. At the end this profile is juxtaposed with that of Payments Banks which are still loss making...

Jan 07 2021 |
GDP 1st Advance Estimate FY21

CSO’s first advance estimate of GDP growth for FY21 is-7.7% which is in line with our forecast of -7.7-7.9%. It is based on the extrapolation of information available for various variables for different periods. There could be an upside in terms of improvement though would not be very significant given the trends so far. This forecast also assumes that forH2 there will be virtually nil growth which is a good sign. CARE Ratings expects marginally negative growth in Q3 and positive growth in Q4. Consumption and investment growth are negative for the year...

Jan 07 2021 |
State Government Borrowings - January 5 2021

Thirteen states raised a total of Rs.15,050crores at the auction of the state government securities or state development loans (SDLs) held today i.e. 5th Jan...

Jan 05 2021 |
CDQI Press Release - December 2020

CARE Ratings Debt Quality Index (CDQI) denotes the quality of debt that can be interpreted over time and juxtaposed with other developments in the financial sector...

Jan 05 2021 |