BoM Q1 net jumps 89.6%

Pune-based Bank of Maharashtra has posted a 89.6 per cent rise in net profit in the first quarter of this fiscal at Rs 266.33 crore against Rs 140.46 crore in Q1 of FY13.Total income in the quarter grew 34.14 per cent to Rs 2,974 crore (Rs 2,217 crore).Announcing the results, Narendra Singh, Chairman and Managing Director of the bank, said the bank had asked the Centre for a capital infusion of Rs 2,200 crore this year. “We expect to get this next month,” he said, adding that permission sought for Qualified Institutional Placements (QIPs) is...

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Vijaya Bank pays dividend

Vijaya Bank paid dividend of Rs 170.16 crore to Government of India for the Financial Year 2012-13.At an event in Delhi, HS Upendra Kamath, CMD, Vijaya Bank presented a cheque to Union Finance Minister P Chidambaram.Kamath was accompanied by K R Shenoy, ED, Vijaya Bank to Honb’le Finance Minister Shri P. Chidambaram and Minister of State (Finance), Namo Narayan Meena and Harideesh Kumar, RM, Delhi, Vijaya Bank was present. Source: thehindubusinesslin...

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Loan quality will be under stress this fiscal: Exim Bank

Export-Import (Exim) Bank of India sees stress on asset quality to continue during this fiscal.The Government-owned bank expects its non-performing assets (NPA) to be slightly higher this fiscal, as compared to last year.“Asset quality stress has not peaked as yet. We are likely to add some more (accounts slipping into NPS) this year. However, starting next year, the stress on asset quality should be largely out,” David Rasquinha, Executive Director of Exim Bank said.Rasquinha was talking to newspersons after an interactive session on ‘Financing...

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HDFC targets Rs 2,400 cr disbursal to rural farmers

Housing finance major HDFC has said it aims to lend Rs 2,400 crore in current fiscal in Punjab, Haryana, Chandigarh and Himachal Pradesh with main thrust being on aggressive lending to farmers to meet growing demand for housing in rural areas.HDFC has planned to penetrate deeper by targeting tier II cities of two agrarian states of Punjab and Haryana where the demand for affordable housing is still going strong.“We are targeting to disburse loans for housing to the tune of Rs 2,400 crore which is over 30 per cent more than what was disbursed...

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Bank of Baroda: Overseas business lifts growth

An overseas presence spanning 24 countries has consistently helped Bank of Baroda grow at higher rates than the overall banking industry in the past. In the latest quarter ending June, the bank’s loan growth slowed to 12 per cent, but was driven mainly by the overseas market. The quarter saw overseas advances grow by 18 per cent, contributing almost a third of the loan book.Domestic loans however, grew by only 10 per cent. Within this, retail and small and medium enterprises (SMEs) drove growth. The bank’s strong presence among SMEs in Rajasthan,...

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RBI asks banks to rev up ATM service

To further improve customer service through enhancement of efficiency in ATM operations, the Reserve Bank of India has asked banks to make available sufficient toll-free phone numbers for lodging complaints/reporting and blocking lost cards. This is to avoid delays and also attend to the requests on priority. Local helpline numbers (city-wise / centre-wise) should also be increased and should be prominently displayed in the ATM premises/banks’ Web site. Banks are required to display ATM ID clearly in the ATM premises to enable a customer to...

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Royal Bank of Scotland picks new head, returns to profit

State-rescued Royal Bank of Scotland promoted New Zealander Ross McEwan, its head of retail business, to be the new chief executive today when it also announced a return to profit.RBS, 81-per cent owned by the British taxpayer, said that McEwan would take charge from October, replacing Stephen Hester who recently announced he would step down before the bank returned to the private sector.“The Royal Bank of Scotland Group plc announces today that Ross McEwan has been appointed as a director and group chief executive with effect from 1 October...

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SBI gets first woman MD

The Centre has appointed Arundhati Bhattacharya as a Managing Director of State Bank of India (SBI), the country’s largest commercial bank. She is the first woman Managing Director of SBI and is also tipped to be the Chairperson of the bank when incumbent Chairman, Pratip Chaudhuri, retires in end-September. Prior to this appointment, Bhattacharya was Managing Director and Chief Executive of SBI Capital Markets, the merchant banking arm of SBI.Currently, SBI has four Managing Directors. Bhattacharya has replaced Diwakar Gupta, who was Chief...

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Indian Bank to set up 9 more branches in Vizag zone

Indian Bank is setting up nine more branches in the Visakhapatnam zone and is also focussing on financial inclusion to take banking services to villages, according to Chief Manager M. Sudhakar Reddy.He said here on Sunday that the bank was adding nine more branches to the existing 62 in the zone covering Srikakulam, Vizianagaram, Visakhapatnam, East Godavari and West Godavari districts.Branches would be opened at Gopalapatnam in the city, Chitrada near Kakinada and at Tantikonda near Gokavaram in East Godavari before September.“We are opening...

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Applications for Exim Bank CMD

The Finance Ministry has invited applications for the post of Chairman and Managing Director of Exim Bank of India.The candidates should be suitably qualified and experienced and not more than 55 years of age, as on December 1, 2013, the Finance Ministry has said.Applicants will be screened and shortlisted by a screening committee, whose decision will be final. The Exim Bank CMD shall hold office for a term up to five years from the date on which he assumes his office or until he attains 60 years, whichever is earlier.Besides experience of...

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Muthoot Finance plans NCD issue

Gold loan company Muthoot Finance Ltd plans to tap the market with a public issue of non-convertible debentures (NCDs), its Managing Director, George Alexander Muthoot, said.“We are going to soon file the papers (with the regulator) for this issue. The actual amount to be raised has not been decided as yet,” Muthoot told Business Line. The issue may take place in the next 10 days, he indicated.For Muthoot Finance, this will be the fifth NCD issue. The company had already come up with four listed NCD issues in recent years.Muthoot, however,...

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HDFC Bank to open more branches in rural areas

HDFC Bank will be focusing on having a greater number of new branches in the semi-urban and rural areas, and is targeting to take the total proportion of such outlets to 60 per cent in three years, according to a top official.“In the next three to four years, the number of semi-urban and rural branches will go up till 60 per cent from the present 54 per cent,” HDFC Bank Executive Director Paresh Sukthankar told PTI in an interaction.He said around 80 per cent of the approximately 300 new branches which the bank will be opening this year will...

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Dena Bank net declines 21% to Rs 189 cr

State-owned Dena Bank has reported a 21 per cent decline in net profit at Rs 189.20 crore for the first quarter ended June 30, 2013.The bank had earned a net profit of Rs 238.63 crore during April-June quarter of 2011-12, Dena Bank informed the BSE.Total income rose to Rs 2,765.68 crore from Rs 2,278.85 crore.As of June 30, 2013, Dena Bank’s portfolio quality deteriorated, with gross non-performing assets (NPAs) rising to 2.7 per cent of gross advances against 1.80 per cent in the same quarter of the previous fiscal.Its net non-performing assets...

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Banks roll back interest rate cut ahead of RBI monetary policy review

Barely three weeks after the banks rushed in to cut the deposit rates in the wake of cut in base rate (base rate is the minimum lending rate below which banks could not lend to any borrower), the reverse appears to be happening with the banks starting to raise the deposit rates and put on hold the decision to cut base rate.What is significant is that this trend has begun ahead of the policy review by RBI Governor D. Subbarao on July 30 and at least one bank Chairman (State Bank of India CMD Pratip Chaudhuri) has openly expressed the view that...

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Corp Bank Q1 net shows flat growth of 2%

Corporation Bank has posted a net profit of Rs 377.98 crore during Q1 of 2013-14 fiscal against Rs 370.26 crore in the corresponding period of the previous fiscal, recording a growth of 2.08 per cent.Net interest income (NII) during the period stood at Rs 964.74 crore (Rs 808.43 crore), recording a growth of 19.34 per cent. NII is the difference between interest earned and interest expended.The bank’s non-interest income during the first quarter of 2013-14 fiscal stood at Rs 581.20 crore (Rs 327.61 crore), registering a growth of 77.41 per...

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