Not mincing any words, the RBI said that the IMF staff’s view is based on selective data. It also called the assessment “short-term”, restrictive and “without any rationale”.
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An independent investigation, in its report, blames the notional recording of profits by the bank in its internal derivatives trades.
While paying heed to the growing concerns of mutual funds around how mandatory investment norms are affecting junior employees, the market regulator has ensured the industry remains accountable to investors.
Some research analysts have announced a closure of operations, fearing higher compliance costs. But it may be too soon to take such a call.