Page 11 - Indian Banks

India needs four-five SBI-size banks, says FM Nirmala Sitharaman

The finance minister also noted that some of the economically active regions of the country still lacked banking facilities

Market yet to respond to rate cuts on home loans, share prices unaffected

Lower rates to aid loan demand for financiers who can offset discounts over the long tenure

Retail depositors earning negative returns; relook taxes on interest: SBI

If not for all the depositors, the taxation review should be carried out for at least the deposits made by senior citizens who depend on the interest for their daily needs, the SBI economists said

HDFC Bank says it will double retail loans, sees 'robust demand' in economy

Uncertainty is declining as businesses seek to bolster growth after Covid-19, says the bank's country head for retail assets.

Forbearance gives Indian banks time to build capital buffers: Fitch

No need for equity capital till FY25 to meet 8% CET1 level

Mastercard ban: RBL Bank restarts credit card issuances with rival Visa

Two months after getting hit by the regulatory ban on Mastercard, private sector lender RBL Bank on Wednesday restarted credit card issuances on rival Visa's payment network. The Reserve Bank of India had banned Mastercard from issuing any new cards on July 14 this year for not complying with data localisation requirements. The move had hit a slew of lenders, including RBL Bank, which was fully dependent on the American payment company for its credit card business. RBL Bank said it signed up with Visa on July 14 itself, and the technology integration was achieved in record time to restart new issuances. Its head for retail business thanked Visa and technology partner Fiserv, and exuded confidence of meeting its target of issuing 12-14 lakh credit cards in FY22. Visa's head of business development for India Sujai Raina said the company aims to enable digital payments and help customers avail credit offerings from issuers with ease. Credit cards contribute 37.5 per cent of the retai

New vistas for Indian banks

As low credit offtake dents earning, Indian banks are exploring fresh avenues to lend. This is the only way to avoid mispricing of risks

Indian banks' improved performance in contrast to stress from Covid: Fitch

Indian banks' improved performance for the financial year ended March 2021 is in contrast to the stress evident from extension of Covid-19-related relief measures to borrowers, Fitch Ratings has said.

Centre appoints Harsha Bhupendra Bangari as EXIM Bank MD

Banks Board Bureau (BBB), the headhunter for state-owned banks and financial institutions, had interviewed 10 candidates for the top post at EXIM Bank

Bank of Maharashtra expects total business to cross Rs 3 trn soon

The bank has been a performer in various key parameters, including deposit mobilisation, credit growth, recovery, risk management etc, BoM managing director and CEO A S Rajeev said

Bank of India announces closure of QIP issue; raises Rs 2,550 cr

Bank of India on Tuesday announced the closure of its QIP issue and said that it has raised Rs 2,550 crore by issuing more than 40.5 crore shares to the qualified institutional buyers. The capital issue committee at its meeting held on August 31, 2021 has approved the issue and allotment of 40,54,71,866 equity shares to eligible qualified institutional buyers (QIBs) at an issue price of Rs 62.89 per share, aggregating to Rs 2,550.01 crore, Bank of India said in a regulatory filing on Tuesday. The issue had opened on August 25, and closed on August 30, 2021, and the bank had targeted to raise up to Rs 3,000 crore equity capital through this issue. LIC, ICICI Prudential Life Insurance Company and Bajaj Allianz Life Insurance Company are the three investors who subscribed to more than 5 per cent of the equity offered in the qualified institutional placement (QIP) issue. Life Insurance Corporation (LIC) has been allotted 15,90,07,791 shares (39.22 per cent), while ICICI Pru Life and Ba

Govt extends tenure of Canara, Bank of India EDs by 2 years

The government has extended the tenure of two executive directors of Canara Bank and Bank of India for two years, the state-run lenders said on Monday. Canara Bank in a regulatory filing said that the central government has extended the term of office of A Manimekhalai, Executive Director, for a period of two years beyond her currently notified terms that expires on 10 February 2022, or until further orders, whichever is earlier. Bank of India in a separate filing said that the term of office of P R Rajagopal, Executive Director, has been extended for a period of two years, beyond his currently notified term or until further orders, whichever is earlier. His current term was to expire on February 28, 2022, the bank said. The banks said the government informed them about the extension given to these executive directors through notifications on August 26, 2021. The government last week extended the term of executive directors of various public sector banks. It also extended the terms

IDFC First Bank aims retail loan book growth of 25% on long-term basis

IDFC First Bank reported a net profit of Rs 452 crore in 2020-21. There was a net loss of Rs 2,864 crore in FY20.

Work with states to push 'one district, one product' agenda: FM to banks

Finance Minister Nirmala Sitharaman on Wednesday said she has requested banks to work with all state governments to push the one district, one product' agenda

Banks to have nationwide credit outreach programme this year: FM

Finance Minister Nirmala Sitharaman on Wednesday said that public sector banks (PSB) will adopt a nationwide credit outreach programme this year.

HDFC Bank aims to issue 300,000 credit cards per month from next quarter

HDFC Bank is looking at winning back the market share by number of cards in the next one year, a senior official said on Monday. The largest private sector lender by assets was allowed to issue new credit cards by the RBI last week, over eight months after being banned from doing so due to concerns over repeated technological outages. Parag Rao, its group head for payments and consumer finance, digital banking and IT told reporters that the bank has set some milestones for itself as it seeks to re-enter the market. The first is to achieve monthly new credit card sales to 3 lakh, the number right before the ban in November 2020, Rao said, adding that the same will be achieved in three months. Two quarters after that, it aims to take the monthly new card sales to 5 lakh a month, Rao said, adding that in three to four quarters from now, it plans to regain the market share by number of cards. Rao added that during the ban, the bank lost its market share by number of cards but was able

RBI issues revised instructions for banks on locker management

As per the revised guidelines, banks will be required to incorporate a clause in the locker agreement prohibiting the hirer from keeping anything illegal or hazardous in lockers

FM to meet CEOs of PSBs on August 25 to review financial performance

Sitharaman is scheduled to meet heads of public sector banks on August 25 to review financial performance of the lenders and progress made by them to support the economy battered by COVID-19 pandemic

Asset quality risks on rise, but Indian banks can absorb loss: Moody's

Coronavirus outbreaks triggering strict containment steps will impede economic recovery and erode borrowers' debt repayment capacity, increasing their asset risks, says agency

Banks' asset risks rise, but credit strength to stay intact: Moody's

Asset risks for banks will rise in most parts of ASEAN and India as the region battles new waves of Covid infections amid low vaccination rates, according to a report by Moody's Investors Service