Page 10 - Indian Banking System

Shadow bank bond sales rebound as lenders raise Rs 81,300 cr since April

More cash for shadow banks is good news for the Indian economy, which relies on these firms to provide financing to everyone from tailors to business giants

After the moratorium: Banks have to face their bad loan problem, again

Indian banks will have a hard task when RBI's moratorium ends this month. Those that do not get capital will have to show their true health, writes Tamal Bandyopadhyay

Sashidhar Jagdishan to succeed Aditya Puri as HDFC Bank CEO

He joined the Bank in the 1996 and heads finance, human resources, and other departments

Banks need to expand balance sheets, revive credit offtake: Report

The RBI's conscious steps to reduce the repo rate have also lowered the marginal cost of fund-based lending rate across banks, ratings agency India Ratings and Research said

PSBs shouldn't be privatised, reduce govt stake to 26%: RBI Board member

RBI Board member Satish Marathe said public sector banks need an overhaul of their systems, processes and staff attitudes to be relevant and effective in the future

Bank employees' 15% wage hike may not be a costly affair for lenders

The hike in pay slip cost does not factor in superannuation and pension costs, along with performance linked incentives

Govt likely to reduce number of PSU banks to just five, says report

The government official said that such a plan would be laid out in a new privatisation proposal the government is currently formulating, and this would be put before the cabinet for approval

SBI reduces MCLR by 5-10 bps to 6.65% in the shorter tenors

SBI's MCLR continues to be the lowest in the market

Punjab & Sind Bank Q4 loss widens to Rs 236 cr as provisions for NPAs rise

Punjab & Sind Bank on Tuesday reported widening of loss to Rs 236.30 crore for the fourth quarter of 2019-20 as provisions for bad loans rose. The public sector bank had posted a loss of Rs 58.57 crore in January-March, 2018-19. Total income declined to Rs 2,289.43 crore in the three months to March against Rs 2,304.37 crore in the year-ago period, Punjab & Sind Bank said in a regulatory filing. During the quarter, the bank earned an operating profit of Rs 429.75 crore as against Rs 404.13 crore in the same period of the previous fiscal. On the assets quality front, gross non-performing assets (NPAs) rose to 14.18 per cent of gross advances at the end of March 2020, as against 11.83 per cent by the same period last year. Net NPAs also increased to 8.03 per cent as against 7.22 per cent in the year-ago period. As a result of this, provisions for bad loans during the March quarter more than doubled to Rs 683.80 crore, compared to Rs 312.09 crore in the year-ago period. Provision

Federal Bank to buy another 4% stake in its JV from IDBI Bank for Rs 80 cr

The stake buy from the state-run IDBI Bank will take Federal Bank's stake in the 12-year-old company to 30%

ICICI Bank, SBI: Fitch revises IDR outlook. Time to sell these stocks?

On Monday, global rating agency Fitch revised the outlook from "stable" to "negative" on the Long-Term Issuer Default Ratings (IDR) of nine Indian banks

Precautionary savings

Slowdown impact on household finances even before Covid

As banker it is my first job to be safe: IDFC First Bank CEO V Vaidyanathan

From now on, the system should open up systematically as people's financial cushions could vanish soon, he says

Keep banking channels up and running; maintain smooth cash withdrawals: FM

Banks are expected to witness a surge in transactions across channels next week, owing to salary payments to employees

RBI follows global banks, cuts repo rate by 75 bps to fight coronavirus

The move comes after the global central banks have been cutting rates to help shore up the economy amid coronavirus pandemic

Banks plan to shut down most branches during coronavirus lockdown: Report

India is still very much a cash society and banks have been exempted from a 21-day lockdown that began this week as they are considered an essential service

Covid-19: Lenders seek deferment in loan repayment, reclassification of NPA

IBA's managing committee met on Friday and decided to put up five set of demands to the central government and RBI to help the financial sector and retail and corporate borrowers alike

YES Bank to transform into a retail bank: Administrator Prashant Kumar

Hopeful that moratorium on withdrawal will be lifted by Friday, says bank administrator

Business not as usual: YES Bank changes way banks, Mint Road are looked at

Former RBI governor, Urijit Patel, had said in the aftermath of the blowout at PNB that the banking regulator was better positioned when it came to the oversight of private banks.

Five banking trends for the new year

This could be a year of higher NPAs, more recovery, relatively stronger bank balance sheets, low credit growth and better-managed cooperative banks