Page 33 - Banks
Wall Street banks see rare payday bonanza in India despite coronavirus
Five U.S. banks including Morgan Stanley and Goldman Sachs earned $170 million in investment banking fees in January-September
 "Wall Street banks see rare payday bonanza in India despite coronavirus")
HDFC Bank m-cap tripled in 6 yrs. But this rare bear on the stock still made money
After a 63% rebound from its March low, HDFC Bank's stock is too expensive given the risks related to management change and asset quality
 "HDFC Bank m-cap tripled in 6 yrs. But this rare bear on the stock still made money")
RBI announces Rs 1 trn 'on tap' TLTRO to enable banks to provide liquidity
Securities acquired by the banks with the intention to hold them up to maturity are classified under 'held to maturity (HTM)'
 "RBI announces Rs 1 trn 'on tap' TLTRO to enable banks to provide liquidity")
Gross NPAs of banks may jump to 11.5% by end of FY21: Care Rating
The gross NPAs ratio of Indian banks is likely to be 11-11.5% by end of this fiscal and they are likely to restructure 4 to 5 per cent of the overall bank credit outstanding, according to Care Rating
 "Gross NPAs of banks may jump to 11.5% by end of FY21: Care Rating")
Weak credit card spends due to job loss snatch banks' low-hanging fruits
September's seven per cent year-on-year credit card outstanding is the poorest in recent years
 "Weak credit card spends due to job loss snatch banks' low-hanging fruits")
RBI raises banks' aggregate exposure limit for small biz to Rs 7.5 cr
The notification follows an announcement made in this regard on October 9 after the monetary policy committee meeting
 "RBI raises banks' aggregate exposure limit for small biz to Rs 7.5 cr")
Expect banks to lend more to the two-wheeler segment: Honda Motor
Honda Motorcycle and Scooter India (HMSI) on Friday said banks should enhance lending to two-wheeler customers in order to help revive the sector
 "Expect banks to lend more to the two-wheeler segment: Honda Motor")
Banks sanction Rs 1.87 trn to 5.07 mn MSMEs under credit guarantee scheme
The Finance Ministry said banks have sanctioned loans of about Rs 1,87,579 crore to 5.07 mn business units under the Rs 3-lakh crore ECLGS for MSMEs impacted by slowdown caused by the pandemic
 "Banks sanction Rs 1.87 trn to 5.07 mn MSMEs under credit guarantee scheme")
Indian banks face tough operating environment in near term: Fitch
Fitch Ratings on Tuesday said Indian banks face a tough operating environment in the near term as stressed loans and write-offs increase due to the economic fallout from the coronavirus pandemic
 "Indian banks face tough operating environment in near term: Fitch")
How faster deposit growth could become counterproductive for banks
Should deposit growth continue to outpace credit growth, banks may end up ceding some hard-earned 25-50 bps improvement in profitability or net interest margin gained in the past two years
 "How faster deposit growth could become counterproductive for banks")
RBI defers CCB implementation by six months due to Covid-19 pandemic
The implementation of the regulations was to happen by September 30, and the same has been now deferred to April 1, 2021, the RBI said in a notification
 "RBI defers CCB implementation by six months due to Covid-19 pandemic")
Fake currency notes worth over Rs one crore deposited in Reserve Bank
Fake currency notes worth Rs one crore have been deposited in various banks which then deposited the same in the Reserve Bank of India
 "Fake currency notes worth over Rs one crore deposited in Reserve Bank")
Loan recast of stressed assets comes with a higher cost: India Ratings
As per Ind-Ra's estimates, up to 7.7 per cent (Rs 8.4 trillion) of total bank credit in FY20
 "Loan recast of stressed assets comes with a higher cost: India Ratings")
In the wonderland of regulation
A plethora of regulations is never the answer to identified regulatory gaps
RBI devolves 10-yr bond auction for fourth time, underwriters step in
Bond dealers say the central bank has singled out the 10-year bonds as marquee rate setting bonds and is trying to put out a forceful rate signal
 "RBI devolves 10-yr bond auction for fourth time, underwriters step in")
Loan moratorium case: Adverse SC verdict could heavily affect banks in Q2
Financials of banks may take Rs 10,000 - Rs 20,000 crore of hit if interest on interest is waived
 "Loan moratorium case: Adverse SC verdict could heavily affect banks in Q2")
RBI tells urban co-op banks to adopt more robust cyber security infra
Apex bank aims to bring the largest UCBs at par with other banks that run a full gamut of protection against online threats
 "RBI tells urban co-op banks to adopt more robust cyber security infra")
Indian banking to be among the last to recover in Covid-19 crisis: S&P
NBFC sector will take a long time to recover too, says India Ratings.
 "Indian banking to be among the last to recover in Covid-19 crisis: S&P")
Compliance officer for banks prescriptive, not right thing: Ex-SBI MD
Earlier this month, the RBI asked banks to appoint chief compliance officers (CCO) with a view to getting uniformity in the approach followed by lenders
 "Compliance officer for banks prescriptive, not right thing: Ex-SBI MD")
Divesting majority stake credit negative for PSBs leaning on govt: Icra
Their credit ratings have been primarily supported by their sovereign ownership and their stable deposit base, which again is a function of their ownership
 "Divesting majority stake credit negative for PSBs leaning on govt: Icra")
