Biz Updates: RBI to inject 1.25 lakh crore into banks in May; ED seizes documents from Gensol premises

New Delhi| RBI will buy government bonds worth Rs 1.25 lakh crore through open market operations in four tranches in May. This will help in increasing liquidity in the banking system. Under this, the first installment of Rs 50,000 crore will be released on May 6, RBI said on Monday. Three installments of Rs 25,000 crore will be released on 9, 15 and 19 May respectively. Even in April, Rs 1.20 lakh crore was injected into banks.

Documents seized from Gensol premises
The Enforcement Directorate (ED) raided the premises of crisis-hit Gensol Engineering on Monday. During this period, the investigating agency has seized some documents, financial records and electronic equipment. The seizure was made by the Enforcement Directorate during searches at the company’s premises in Gurugram and Ahmedabad, Gensol said. However, the financial impact of the seizure operation is not known. SEBI had taken strict action against Gensol on 15 April.

Due to poor performance of electricity, the pace of industrial production decreased by three percent
The growth rate of industrial production i.e. IIP fell to three percent in March, 2025 due to poor performance of manufacturing, mining and power sectors. In March, 2024, it was 5.5 percent. However, it remained stable compared to February. The government had revised the February figure to 2.7 per cent. According to National Statistical Office data, IIP growth declined to a four-year low of four per cent in FY 2024-25. The growth rate of IIP was 5.9 per cent in 2023-24, 5.2 per cent in 2022-23, 11.4 per cent in 2021-22 and (-) 8.4 per cent in 2020-21. According to the data, production growth of the manufacturing sector declined from 5.9 to three percent in March. The growth rate of mining declined to 0.4 per cent and that of electricity to 6.3 per cent.