Things to watch out for in 2022

Cystal ball gazing for the trends and challenges for the banking sector in the New Year

Yet another year, marked by the Covid-19 pandemic, has ended. A fortnight back, a sharp drop in the rupee against the dollar must have given the regulator a few anxious moments, but the fall has been arrested and the local currency has bounced back even as foreign fund outflows continue. Meanwhile, the bond yields have been on the rise.

As the New Year begins, let’s do some crystal ball gazing for the trends and challenges for the financial sector in 2022.

The Reserve Bank of India (RBI) kept the policy rate unchanged in its last monetary policy of the year in December;