This will ensure a gradual “run-off” of such banks, and encourage deposit migration away from the weakest public sector banks to healthier public sector banks and private sector banks. It is not rocket science to figure out where the growth potential in our banking sector lies and deposit growth should be allowed to reflect that. 5.
International estimates of “term premiums” embedded in longer-term bond yields did suggest that quantitative easing policies had compressed these premiums to unusually low levels; in turn, as prospects for an unwinding of quantitative easing emerged, they started to normalize.