RBI staff urged to persist calibrating regulations and prioritise customer centricity and sharpen supervision in the new year.
The Reserve Bank directed staff to continue regulatory calibration and sharpen supervision, prioritising customer centricity and financial inclusion; strengthen the monetary policy framework; deepen financial markets; improve payments and currency management; simplify and consolidate regulatory instructions through a structured formulation framework; and enhance staff skills, analytics, technology use and internal governance while upholding institutional values.

Indian economy expanding robustly while banks show strong capital and liquidity buffers amid external risks to currency.
The report finds the banking sector sound with strong capital and liquidity buffers, improved asset quality and robust profitability. Gross non-performing assets are projected to fall to 1.9% by March 2027 under a baseline scenario but may rise in adverse scenarios; stress tests show banks, mutual funds and clearing corporations can withstand shocks while keeping buffers above regulatory minima. The capital to risk-weighted assets ratio remains comfortably above minimums across bank groups, supporting resilience to adverse economic events.

Stablecoins threaten monetary sovereignty and financial stability; CBDCs are urged as the safer payments alternative.
Widespread adoption of privately issued or foreign-currency stablecoins can undermine monetary sovereignty, weaken monetary policy transmission, and introduce financial stability risks through price volatility and confidence shocks. Stablecoins may also circumvent capital flow management and foreign exchange transfer controls, complicating macroeconomic management and exposing the system to money laundering and terrorism financing risks. The central bank advocates prioritising central bank digital currencies (CBDCs) to deliver efficiency and instant settlement while preserving the safety and settlement finality of central bank money.

Indian economy projected to post high growth driven by domestic consumption and investment despite external volatility.
The Reserve Bank Governor reported that the Indian economy is projected to register high growth driven by strong domestic consumption and investment despite a volatile external environment, indicating continued macroeconomic resilience and the relevance of central bank monitoring of growth and stability metrics.

Indian economy projected to sustain high growth despite external volatility; regulators stress financial stability and guarded innovation.
The RBI foreword emphasises prioritising financial stability alongside promotion of innovation, consumer protection and regulatory efficiency through pragmatic supervision and policy reforms. It projects high economic growth driven by domestic consumption and investment despite an unfavourable external environment, citing healthy balance sheets, sizeable buffers, benign inflation and prudent reforms, and indicates continued strengthening of macroprudential guardrails to mitigate external spillovers and protect the financial system.

Indian economy likely to sustain strong growth as banks, NBFCs and insurers show resilience amid external risks.
The Financial Stability Report finds the domestic financial system resilient, with SCBs holding strong capital and liquidity buffers, improved asset quality and profitability; macro stress tests show banks can withstand adverse scenarios while maintaining capital above regulatory minima. Mutual funds, clearing corporations, NBFCs and insurers also exhibit balance sheet resilience, with insurers' consolidated solvency ratios remaining above the minimum threshold, though near-term external geopolitical and trade risks warrant monitoring.

Rupee gains after Reserve Bank sold dollars to support the currency, limiting depreciation near 90.
Reserve Bank foreign exchange operations sold dollars to support the rupee, lifting it to about 89.72 and settling at 89.75 while defending the 90 level and buying dollars around 89-89.20 to cover short positions.

BRISKPE receives RBI final PA CB authorisation enabling regulated inward and outward cross border payments for Indian businesses.
The Reserve Bank of India granted BRISKPE final authorisation as a Payment Aggregator Cross Border (PA CB), allowing it to process both inward and outward cross border payment flows on regulated rails, supported by regulated banking relationships, automated KYC and real time monitoring, and technology controls to secure funds and data while enabling e FIRA/e BRC and importer payables.

Rupee rises to 89.84 as central bank dollar selling supports the currency amid mixed global and domestic pressures.
Rupee appreciated 14 paise to 89.84 against the US dollar after Reserve Bank dollar selling intervened in the interbank market, with the central bank described as protecting the 90 level and buying dollars around 89-89.20 to cover short positions; domestic IIP strength supported the unit but a firmer dollar, higher Brent crude and significant foreign institutional investor outflows limited further gains.

Gaj: Credit Card offers an invitation-only metal card with 0% forex markup and 1:1 travel rewards.
IDFC FIRST Bank's Gaj: Credit Card is an invitation only metal premium card for private banking customers, issued only to select account holders. Commercial terms include a joining fee offset by issued reward points, an annual fee waiver conditional on meeting an annual spend threshold, 0% forex markup on international transactions, limited interest free ATM cash access subject to a flat withdrawal fee, never expiring reward points with enhanced redemption values for travel via the Bank's app, and embedded travel and purchase protection including a specified trip cancellation cover.

6.48% Government Security 2035 auction announced: price-based multiple-price sale, non-competitive facility, RBI-managed electronic bids.
Re-issue of the 6.48% Government Security 2035: Rs.32,000 crore notified (option to retain Rs.2,000 crore) to be auctioned by RBI (Mumbai) on January 2, 2026 via price-based multiple price method; payment due January 5, 2026. Bids to be submitted electronically on E-Kuber with non-competitive bids between 10:30-11:00 a.m. and competitive bids between 10:30-11:30 a.m. Up to 5% allotted under the Non-Competitive Bidding Facility. Security eligible for When Issued trading under RBI guidelines.

RBI to issue norms to prevent mis selling and strengthen digital fraud detection using AI tools and revised liability rules.
The Reserve Bank will issue comprehensive norms on advertising, marketing and sales to prevent mis selling, and will review and harmonise conduct-related instructions on recovery agents and loan recovery. It requires robust internal controls, adequate grievance redress officers and enhanced digital financial literacy. The Bank is deploying technology-MuleHunter.ai and a digital payments intelligence platform-to flag mule accounts and risky transactions, and is reviewing 2017 limited liability instructions for unauthorised electronic banking transactions to strengthen customer safeguards amid evolving digital payment risks.

Banks report stronger asset quality and higher profits as GNPA drops to 2.2% and capital buffers stay high.
Commercial banks showed sustained profitability and strengthened asset quality in 2024-25: GNPA declined to a multi decadal low of 2.2 percent at end March 2025 (2.1 percent at end September 2025), combined net profit of scheduled commercial banks rose 14.8 percent to Rs 4.01 lakh crore, RoA was 1.4 percent and RoE 13.5 percent. Credit and deposit growth remained in double digits with moderation; capital and liquidity buffers stayed well above regulatory requirements, with CRAR at 17.4 percent at March end 2025. Urban co operative banks and non banking financial companies also recorded improved asset quality, higher growth and robust capital buffers.

Women-centric banking offers tailored savings, investment, wellness, lifestyle, entrepreneur, and travel privileges for eligible account holders.
AU Small Finance Bank's 'M' circle' packages AU Savings Account privileges for women, including preferential locker and loan offerings; curated investment access (mutual funds via SIPs or lump sums with risk-profile recommendations on the AU 0101 App); health and wellness privileges (preventive check-ups, consultations, fitness and diagnostic benefits); lifestyle rewards and jewellery benefits; entrepreneur support (POS/QR, accounting, marketing, workspace); and travel gift-card privileges for eligible non-resident women. Enrollment is limited to women with eligible Savings, Current, NRI or NRO accounts and is subject to regulatory and internal policy changes.

Rupee falls to 89.95 amid foreign portfolio outflows; RBI interventions cited as a stabilising backstop.
The rupee weakened to 89.95 against the US dollar amid sustained foreign portfolio investor outflows (FPIs offloaded Rs 317.56 crore), with dollar strength and higher Brent crude contributing to pressure. The Reserve Bank of India's presence-through spot interventions, liquidity tools and forward market management-was cited as a stabilising backstop to prevent disorderly currency moves, while forex reserves rose by USD 4.368 billion to USD 693.318 billion.

NABARD festival urges Bihar youth and women to embrace entrepreneurship and links rural MSMEs to urban markets.
The minister urged Bihar's youth and women to adopt entrepreneurship, highlighting MSMEs' role in rural entrepreneurship and cottage industries, while NABARD framed the festival as a platform connecting artisans, SHGs and producer organisations to urban markets to provide direct market access, customer feedback, product diversification, skill development and promote sustainable rural development through targeted schemes.

Forex reserves rose by USD 4.368 billion to USD 693.318 billion, driven by gains in gold and foreign currency assets.
Weekly foreign exchange reserve reporting records a USD 4.368 billion increase to USD 693.318 billion, driven by component movements: foreign currency assets up USD 1.641 billion to USD 559.428 billion; gold reserves up USD 2.623 billion to USD 110.365 billion; SDRs up USD 8 million to USD 18.744 billion; and the IMF reserve position up USD 95 million to USD 4.782 billion, with dollar figures reflecting valuation effects of non US currencies.

Rupee weakens to 89.71 as RBI liquidity measures fail to curb foreign outflows and dollar demand.
The central bank injected liquidity via government security purchases, OMOs and a USD/INR buy/sell swap auction, but these steps failed to bridge dollar supply demand gaps; the rupee nonetheless settled weaker at 89.71, driven by foreign portfolio outflows, bullion import dollar demand, risk aversion and rising crude, with resistance near 90.30 and support above 89.00.

Silver prices hit record highs amid a weak dollar, Fed easing expectations and rising geopolitical tensions globally.
Silver surged to record international and local levels-USD 72.70 per ounce and Rs 2,27,000 per kilogram in Delhi-after strong multi session gains and a year to date rise of roughly 151-153 percent. Analysts attribute the advance to a weak US dollar, expectations of Fed monetary easing, and geopolitical tensions driving safe haven demand; the report also records spot gold reaching about USD 4,525.96 per ounce and notes local 99.9% purity retail quotations with minor intra session movement.

Equity markets slip amid profit booking and foreign outflows as RBI announces liquidity operations to stabilise the rupee.
Equity benchmarks slipped for a second session amid profit booking, foreign institutional net selling and a depreciating rupee, with sectoral weakness in energy and IT and muted volumes; the central bank announced liquidity operations-a large Open Market Operations purchase of government securities and a USD/INR buy/sell swap auction between late December and January-to stabilise the currency and improve systemic liquidity.