At the start of the decade, the government was busy infusing stimulus packages to revive various sectors affected by the global credit crisis
The cash crunch among robust NBFCs is mainly due to a financial support from market instruments, rather than from the lenders.
This was way below than Rs 30,959 crore raked in through main-board IPOs and Rs 2,287 crore via SME segment in 2018
Following NBFCs, HFCs were the second-largest borrowers of funds from the financial system with gross payables of around Rs 5.9 trillion and gross receivables of only Rs 33,110 crore as of end-Sept
Following NBFCs, HFCs were the second-largest borrowers of funds from the financial system with gross payables of around Rs 5.9 trillion and gross receivables of only Rs 33,110 crore as of end-Sept
Non-bank lenders witnessed stress in their asset quality in the first half of the current fiscal, with gross NPA ratio increasing to 6.3 per cent in September 2019 from 6.1 per cent in March, according to an RBI report. However, the net NPA ratio of non-banking financial companies (NBFCs) remained steady at 3.4 per cent between end-March 2019 and end-September 2019, RBI's Financial Stability Report showed. As at end-September 2019, the capital to risk assets ratio (CRAR) of the NBFC sector stood at 19.5 per cent, lower than 20 per cent as at end-March 2019. The report said while the importance of NBFCs in credit intermediation is growing, the IL&FS episode brought the focus on the asset liability mismatches of non-bank lenders, which poses risks to the sector as well as the financial system as a whole. To address this, the RBI introduced the liquidity coverage ratio (LCR) requirement for all deposit-taking and non-deposit taking NBFCs with an asset size of Rs 5,000 crore and ...
Comments come at a time when many promoters of companies are under regulatory scanner
Trust deficit after Karvy fiasco and access to margin facility to drive shift of investors
According to ICRA, even in a high-growth scenario, wherein the second half of FY20 sees the incremental bank credit rise to Rs 6.5-7 trillion, there will still be a 40-45% year-on-year (YoY) decline
Experts say even as foreign investors discriminate between higher and lower-rated issuers, the high-yields market has started to take shape overseas
Softening of US treasury yields, weak domestic liquidity attract firms to yield-chasing offshore market
Within the markets segments, they do not forecast a major underperformance by the mid-caps in 2020 given the valuation comfort
The economy might be better off with a dedicated legal regime for the resolution of financial service providers and financial market infrastructure
Senior judges need briefings on economy-wide consequences of their decisions
In the first half of FY20, asset quality of the sector showed further deterioration with slight increase in GNPAs.
Credit to the commercial sector shrank by Rs 52,971 crore during April-September this calendar, or in the first half of 2019-20, from an expansion of Rs 3.66 trillion in the same period a year ago
In visible signs of economic woes, the auto sector went through one of the longest sales slumps leading to nearly 3.5 lakh job losses.
'The government's decision to reduce corporation tax rate to 17% for new companies is faulty', said Hiranandani
India Inc is passing on the benefits of tax cuts to consumers
Office properties attracted 46 per cent of the total inflow and received nearly Rs 20,000 crore this year