Budget 2021 Highlights: Chidambaram lashes out at govt; says migrants, farmers deceived
Union Budget 2021 Highlights: Congress leader P. Chidambaram said that the government had only marginally raised health funding, which when adjusted to inflation becomes nil
BusinessToday.In | February 1, 2021 | Updated 19:56 IST
Union Budget 2021: Although the government has claimed a massive increase of 137 per cent in health allocation in Budget 2021, Congress leader P. Chidambaram lashed out at the Centre saying the figure was just a conjurer s trick
Union Budget 2021
: Although the government has claimed a massive increase of 137 per cent in health allocation in Budget 2021, Congress leader P. Chidambaram lashed out at the Centre saying the figure was just a conjurer s trick. Chidambaram further said that the government had only marginally raised health funding, which when adjusted to inflation becomes nil.
Budget 2021 Highlights: Chidambaram lashes out at govt; says migrants, farmers deceived
Union Budget 2021 Highlights: Congress leader P. Chidambaram said that the government had only marginally raised health funding, which when adjusted to inflation becomes nil
BusinessToday.In | February 1, 2021 | Updated 19:56 IST
Union Budget 2021: Although the government has claimed a massive increase of 137 per cent in health allocation in Budget 2021, Congress leader P. Chidambaram lashed out at the Centre saying the figure was just a conjurer s trick
Union Budget 2021
: Although the government has claimed a massive increase of 137 per cent in health allocation in Budget 2021, Congress leader P. Chidambaram lashed out at the Centre saying the figure was just a conjurer s trick. Chidambaram further said that the government had only marginally raised health funding, which when adjusted to inflation becomes nil.
Time to keep it safe and flexible
Maulik Madhu
BL Research Bureau |
Updated on
January 02, 2021
× In its efforts to spur economic growth following the Covid-19 pandemic, the RBI announced a sharp 75-basis point (bps) cut in the repo rate in March 2020, followed by another 40-bps cut in May. With this, the repo rate has come down from 5.15 per cent at the start of the year to 4 per cent now.
In line with this move, large commercial banks slashed their deposit rates by 70-160 bps over the past year or so. Small finance banks (SFBs) followed suit with cuts of 100-150 bps.
Synopsis
This comes as a relief for fixed income investors, especially senior citizens, as currently there are only three investment options with returns more than 7%: the RBI floating rate bonds, Senior Citizens Savings Scheme and the Pradhan Mantri Vaya Vandana Yojana.
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RBI launched the floating rate bonds in lieu of the earlier 7.75% taxable bonds which were withdrawn.
With the government maintaining status quo on interest rates of small savings schemes for the last quarter of the current fiscal, the Reserve Bank of India s (RBI) Floating Rate Savings Bonds, 2020 (Taxable) will continue to fetch the same interest rate, i.e., 7.15% till the next reset date of July 1, 2021.