Page 8 - Public Sector Banks
Banks lost Rs 2.85 trn due to loan default of 13 firms, alleges UBFU
: Public sector banks have lost nearly Rs 2.85 lakh crore on account of loan dues of 13 corporates even as the banks are used to bail out ailing financial institutions such as Yes Bank and IL&FS, United Forum of Bank Unions alleged on Monday. In press release, UFBU's Convener B Rambabu said the organisation calls for a two-day all India bank strike on December 16 and 17 protesting against Banking Laws (Amendment) Bill 2021 and opposing the centre's alleged move to privatise PSBs. According to the statistics given by the UFBU, the 13 corporates' outstanding dues were at Rs 4,86,800 crore and it was resolved at Rs 1,61,820 crore resulting in a loss of Rs 2,84,980 crore. "It is also a matter of reality that time and again public sector banks have been used to bail out ailing private sector banks such as Global Trust Bank, United Western Bank, Bank of Karad, etc. In the recent past, it was Yes Bank, which was bailed out by public sector SBI. Private sector's largest NBFC, IL&FS, ..
 "Banks lost Rs 2.85 trn due to loan default of 13 firms, alleges UBFU")
As many as 41,177 posts vacant at public sector banks: Govt
State Bank of India had the maximum number of vacant posts at 8,544, according to official data
 "As many as 41,177 posts vacant at public sector banks: Govt")
PSBs restructure over Rs 58,500 cr loan advanced to 1 mn MSME acc: Govt
While, as many as 8.5 lakh accounts of individual borrowers of over Rs 60,000 crore have also been restructured
 "PSBs restructure over Rs 58,500 cr loan advanced to 1 mn MSME acc: Govt")
Why's govt keen on keeping 26% stake in PSBs it wants to privatise
The govt is set to privatise two state-run banks, but may hold on to a 26 per cent stake. What merits does the government see in this stake and will this complicate its efforts to attract investors?
 "Why's govt keen on keeping 26% stake in PSBs it wants to privatise")
Centre may continue to hold at least 26% stake in public sector banks
To protect decision making of bank executives, a new provision will also be included in the law to protect them for action taken in good faith
 "Centre may continue to hold at least 26% stake in public sector banks")
HDFC Bank, SBI: Analysts bullish on bank stocks as credit revival picks up
Analysts at Credit Suisse are more optimistic compared to their peers and expect double-digit growth in credit off-take during the second half of the current fiscal (H2-FY22)
 "HDFC Bank, SBI: Analysts bullish on bank stocks as credit revival picks up")
SBI, Axis, Canara likely to raise Rs 7,500 crore via AT I bonds before 2022
The country's largest lender, SBI, is looking at raising an additional Rs 4,000 crore, Axis Bank Rs 2,000 crore and Canara Bank Rs 1,500 crore
 "SBI, Axis, Canara likely to raise Rs 7,500 crore via AT I bonds before 2022")
Dip in provisions helps PSB profits jump 94% to Rs 17,312 crore in Q2
The second quarter marked a gradual improvement after experiencing a setback from the pandemic in the April-June period.
 "Dip in provisions helps PSB profits jump 94% to Rs 17,312 crore in Q2")
UPA fell back on loosening govt's grip on PSBs: Montek Singh Ahluwalia
In a Q&A, the former deputy chairman of the Planning Commission, dwells on the areas where he feels UPA did not meet up to the challenges and the progress made by the BJP on certain fronts
 "UPA fell back on loosening govt's grip on PSBs: Montek Singh Ahluwalia")
Best of BS Opinion: Pratip Chaudhuri's arrest, infinite learning, and more
Here are the best of BS Opinions of the day
 "Best of BS Opinion: Pratip Chaudhuri's arrest, infinite learning, and more")
Finance ministry floats four-tier plan for PSB staff accountability
Move comes at a time when banks are reluctant to lend fearing probe
 "Finance ministry floats four-tier plan for PSB staff accountability")
New rules enough to protect genuine business decisions of bankers?
The govt has issued a uniform staff accountability framework for NPAs of up to Rs 50 cr to protect bankers taking bonafide decisions. But is that enough to assuage concerns?
 "New rules enough to protect genuine business decisions of bankers?")
TMS, Ep 33: NPA accountability framework, Kamal Bali Q&A, jewellery stocks
Will new NPA rules be enough to assuage PSBs' concerns? What is Volvo India MD Kamal Bali's glide path to 'net-zero' target? Can jewellery stocks give 100% returns by next Dhanteras? All answers here
 "TMS, Ep 33: NPA accountability framework, Kamal Bali Q&A, jewellery stocks")
 "BS BFSI INSIGHT SUMMIT | We need banks. Do we need bankers?")
Banks extend Rs 11,168 cr loans in outreach programme during festive season
Public sector and private banks have sanctioned over 193,000 loans via 924 camps in 405 districts from October 16-20, FM Nirmala Sitharaman says in Tweet
PSBs in focus; SBI hits new high, Canara, Indian Bank hit 52-week highs
Indian Bank, Union Bank of India, Canara Bank and Bank of Baroda soared between 25 per cent and 49 per cent in the past one month
 "PSBs in focus; SBI hits new high, Canara, Indian Bank hit 52-week highs")
Bad bank, good intentions and bad lending
If PSBs cannot lend as indiscriminately as they did last time in the name of "credit expansion", how well will these banks do?
 "Bad bank, good intentions and bad lending")
PSBs may get capital support in Q4 to meet regulatory requirements
The capital position of banks will be reviewed in the next quarter for infusion requirement
 "PSBs may get capital support in Q4 to meet regulatory requirements")
Govt appoints seven executive directors for public sector banks
Many of these executives, in their early 50s, who stand to serve a full five-year term, will be eligible for extension
 "Govt appoints seven executive directors for public sector banks")
PSBs told to push for financial inclusion, expand insurance coverage
The Centre has also asked state-owned banks to enter into co-lending arrangements with NBFCs and MFIs
 "PSBs told to push for financial inclusion, expand insurance coverage")
