The Neuz

Indian rupee edges closer to becoming an international currency as RBI approves accounts in 18 countries

India's central bank, RBI, has granted approval for opening 60 special rupee vostro accounts in 18 countries, including Russia, Sri Lanka, and the UK, to facilitate international trade in Indian rupees. The move is part of India's efforts to boost exports and promote the use of the Indian rupee as an international currency amid a growing trend of de-dollarization in global trade.

Credit Suisse sold to UBS for $3.2 billion in emergency rescue deal

UBS has agreed to buy its rival Credit Suisse for CHF 3 billion ($3.2 billion), with Swiss regulators playing a key part in the deal to protect the global banking system from contagion. Credit Suisse shareholders will receive 1 UBS share for every 22.48 Credit Suisse shares they hold. The Swiss National Bank has pledged a loan of up to CHF 100 billion ($108 billion) to support the takeover. The combined bank will have $5 trillion of invested assets. Credit Suisse had already been battling a string of losses and scandals, with the bank's balance sheet twice the size of Lehman Brothers' when it collapsed.

Finance 20-Mar-2023 Jerome Powell Janet Yellen Colm Kelleher Karin Keller-Sutter Ulrich Koerner Mergers Financial Stability Swiss economy Swiss National Bank Credit Suisse UBS

Study warns 200 US banks at risk of implosion

A new study warns 186 American banks are at risk of a run, similar to that of Silicon Valley Bank. Recent interest rate hikes have decreased the value of US Treasuries, leading to deposit outflows causing bank insolvency. Moody's downgraded the outlook for the US banking system due to the "rapidly deteriorating operating environment."

Finance 19-Mar-2023 Silicon Valley Bank SVB Banking Crisis Bank Runs Signature Bank

Credit Suisse's shares plunge to all-time low

Credit Suisse's share price dropped to an all-time low, prompting a liquidity lifeline of up to $54 billion from the Swiss National Bank - the first such intervention since the 2008 Global Financial Crisis. Chronic investment banking underperformance, scandals, and risk management failures plagued the bank for years. Credit Suisse is undergoing a major overhaul, with CEO Ulrich Koerner taking over in July 2021, and former Lloyds Banking Group CEO Antonio Horta-Osorio brought in to clean up the bank's culture. However, Horta-Osorio resigned in January 2022 after violating Covid-19 quarantine rules.

Finance 19-Mar-2023 Greensill Capital Archegos Capital Share Price liquidity Swiss National Bank Credit Suisse

Women and Men in urban India turn to self-employment, says NSO report

According to a report released by the National Statistical Office, the share of salaried persons in urban India dipped due to the pandemic. The recovery was faster for men at 46.2% than for women at 50.3%. Despite falling from pre-pandemic levels, the services sector continued to provide the bulk of employment opportunities to women in urban areas, especially in real estate, finance, legal, administration, and social work. The report showed that men continued to dominate the trade, hotel & restaurant, manufacturing, and other non-farm sectors in urban areas.111

Finance 19-Mar-2023 non-farm sectors agriculture services sector salaried jobs NSO urban India Pandemic self-employment

Banking Crisis: Buffett Advises Biden’s Team, Possible Investment in Reg. Banks

Warren Buffett has reportedly been in talks with officials in President Joe Biden’s administration regarding a possible investment in the US regional banking sector amidst the ongoing crisis. The billionaire investor has a history of aiding banks in crisis and has given advice and guidance on the matter. The talks have centered around finding ways to stem the crisis without resorting to direct bailouts from taxpayers. Representatives for Berkshire Hathaway and the White House have yet to comment.

Finance 19-Mar-2023 Bailouts Investment Banking Crisis US Regional Banks Biden Administration Warren Buffett

India and UAE central banks to pilot cross-border CBDC transactions

The Reserve Bank of India (RBI) and the Central Bank of the United Arab Emirates (CBUAE) signed an MoU to enhance cooperation and innovation in financial products and services, including exploring interoperability between their respective central bank digital currencies. The two central banks will collaborate on various areas of Fintech and jointly conduct pilot programmes on CBDCs, with the aim to facilitate cross-border transactions of remittances and trade and increase the efficiency of cross-border transactions between India and the UAE. The agreement also includes technical collaboration and knowledge sharing on fintech-related matters.

Finance 17-Mar-2023 RBI CBUAE MoU CBDC Digital currencies Interoperability Economic ties