Corp Bank tops in loans to small units

The Ministry of Micro, Small and Medium Enterprises has assigned Corporation Bank No. 1 rank under the ‘National Awards for Excellence in MSE (micro and small enterprises) Lending’ for 2012-13. According to a press statement by the bank, the ranking was acknowledged at the 18th meeting of the Standing Committee for National Awards to Public Sector Banks recently. Corporation Bank has been ranked based on its performance in contributing to the MSE lending for 2012-13, it said. Source: thehindubusinesslin...

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ICICI Bank Q2 net up 20% on strong interest income, margins

Despite setting aside money for depreciation on investments, ICICI Bank reported a 20 per cent increase in net profit in the July-September quarter on the back of healthy growth in margins.In the reporting quarter, India’s largest private sector bank posted a net profit of Rs 2,352 crore against Rs 1,956 crore, a year ago.Net interest income, the difference between interest earned and expended, grew 20 per cent to Rs 4,044 crore.Chanda Kochhar, Managing Director and CEO, ICICI Bank, said good growth in interest income and margins, and a tight...

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Canara Bank campaign for new accounts gathers pace

The Manager of Canara Bank, Kerala Circle, himself took to the street as he led a team of staff for soliciting new current and savings accounts as part of a campaign.Called CASA (current and savings accounts) Carnival, it had been launched all-India earlier on October 14, a bank spokesman said here.G.Sreeram, General Manager, Kerala, led the team whose members were drawn from various city branches, to the Saphalyam Shopping Complex nearby.The campaign will conclude by October 31 and is aimed at making available the bank services to the community...

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Now, open an Axis Bank account using Aadhaar card

The Unique Identification Authority of India (UIDAI) is going ahead and launching new services even as the decision on whether the Aadhaar card is mandatory for getting government subsidies is pending before the Supreme Court.In a new initiative, Axis Bank entered into a tieup with the UIDAI that will enable the bank to open accounts by using the 12-digit Aadhaar number of the customer.The bank will fulfil the Reserve Bank of India’s norms on know-your-customer verification electronically (e-KYC) by using the biometric data of the customer....

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Equity investments may exceed Rs 40,000-cr target this year: LIC

Life Insurance Corporation will exceed the Rs 40,000-crore target for investment in equities in the current financial year, said Chairman S. K. Roy.In the current financial year so far, the public sector life insurer has made around Rs 32,000-crore worth new equity investments, he told newspersons on the sidelines of a FICCI summit.“Investment is not a target. It is an estimate made in the beginning of the year. So far this year, we got more opportunity to buy than we had anticipated. If there is similar opportunity in the second half of the...

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Syndicate Bank’s new Field General Manager takes over

P. Raja Reddy has taken over as Field General Manager of Syndicate Bank for Andhra Pradesh. It includes six regions — Hyderabad city, Hyderabad Rural, Anantapur, Nellore, Vijayawada and Ongole.As a part of the organisational re-structuring and with a view to give thrust on Business Development, Syndicate Bank has started a nation-wide re-organisation. In another development, M. Mohan Reddy, Deputy General Manager, has assumed charge as the Regional Manager of Hyderabad (City) Regional Office with immediate effect. Source: thehindubusinessl...

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Kotak Bank Q2 net rises 26% on improved margins

Higher margins and stable interest income helped Kotak Mahindra Bank post 26 per cent rise in standalone net profit at Rs 353 crore in the July-September quarter of fiscal 2013-14.The mid-sized private sector lender reported a net profit of Rs 280 crore in the year-ago period.During the quarter, the net interest margin improved to 4.9 per cent (4.6 per cent in Q2 FY13) due to capital infusion in Q1 and reduction in proportion of investments.Net interest income (the difference between interest earned and expended) grew 22 per cent to Rs 924...

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RBI forms panel to implement new bill payment system

The Reserve Bank of India has constituted a GIRO Advisory Group (GAG) to implement a national Indian Bill Payment System so that households will be able to use bank accounts to pay school fees, utilities, medical bills and make remittances electronically.The terms of reference of GAG, which is headed by Prof. Umesh Bellur, Professor, Indian Institute of Technology, Bombay, include suggesting the nature of organisation to undertake the GIRO-based bill payments and framing guidelines for setting up and operating the GIRO-based bill payments.The...

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Tatas to roll out 15,000 ATMs in 3 years

Tata Communications Payment Solutions Ltd plans to roll out 15,000 Indicash white-label ATMs across the country over the next three years. Of these, 100 will be operationalised in Kerala by the end of this year.This is in keeping with the RBI’s vision to accelerate growth and improve ATM penetration across the country, Sanjeev Patel, CEO, TCPSL said.There is a huge scope for opening more ATMs in Kerala, he said, as 74 per cent households in the State have access to banking services, compared with the national average of 58 per cent.TCPSL, which...

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SBI gets Rs 2,000 cr, IDBI Bank Rs 1,800 cr in capital infusion

The Centre on Wednesday said it has allocated Rs 2,000 crore to State Bank of India and Rs 1,800 crore to IDBI Bank as part of its plan to infuse Rs 14,000 crore in fresh capital to 20 public sector banks.“The capital infusion is done with the twin objective of adequately meeting the credit requirement of the productive sectors of the economy as well as to maintain regulatory capital adequacy ratios,” a Finance Ministry statement said.This infusion will help banks raise more money from the market. “Banks can raise Rs 10,000 crore from the market...

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HDFC Bank launches overseas bond sale

The country’s second largest private sector lender HDFC Bank hit the foreign bond market with benchmark US dollar issue as part of the bank’s $2-billion medium-term bond sale programme.Accessing of the overseas bond market by domestic companies and financial institutions had almost dried up completely since May and the HDFC Bank’s programme indicates revival of this cheap source of funds.Confirming the development, HDFC Bank’s treasurer Ashish Parthasarathy told PTI that the bank has not set a quantum of the money it is planning to raise.“We...

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Syndicate Bank cuts interest rate on vehicle, consumer durable loans

Syndicate Bank has slashed the interest rate on vehicle loans, consumer durable loans and light and heavy commercial vehicle loans.To commemorate its Foundation Day, the bank is offering home loans at 10.25 per cent (base rate) for both the existing and new borrowers irrespective of the loan amount.Interest rate on two-wheeler loans for home loan borrowers has been reduced from 12.25 per cent to 11.5 per cent (base rate + 1.25 per cent). For others, it is 12 per cent (base rate + 1.75 per cent).Interest rate on four-wheeler loans for home loan...

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ING Vysya Bank profits up 17.35%

ING Vysya Bank’s net profit for the second quarter ended September 30, 2013 rose 17.35 per cent to Rs 176.28 crore compared with Rs 150.21 crore in the same period last year.The bank’s total income also rose 9.91 per cent to Rs 1,501.96 crore during Q2 this fiscal (Rs 1,366.49 crore). EPS (basic) stood at Rs 9.47 (Rs 9.96).anil.u@thehindu.co.in Source: thehindubusinesslin...

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ICICI Bank’s special festive offers for NRIs

ICICI Bank, India’s largest private sector bank, is offering flat processing fees on home loan to its Non-Resident Indian (NRIs) customers for the festive season.The bank will charge a processing fee of Rs 5,000 on home loans up to Rs 75 lakh and Rs 10,000 on home loans above Rs 75 lakh, this up to October 31, 2013.On loans below Rs 10 lakh, ICICI bank will charge a processing fee of 0.5 per cent on the loan amount. The bank also has a referral arrangement with ICICI Home Finance Co Ltd which provides property search facility in India.Further,...

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Union Bank buys 2.47-acre plot

The Union Bank of India has purchased a 2.47-acre plot at the Financial Hub in New Town, Rajarhat, on the north-eastern fringes of the city. The plot will house its zonal administrative office, regional office, and zonal audit office, among others.The land was purchased from the State Government owned Housing Infrastructure Development Corporation Ltd (HIDCO). Source: thehindubusinesslin...

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Top 30 NPA accounts of PSU banks under govt scanner: Chidambaram

Concerned over defaults by big borrowers, Finance Minister P. Chidambaram today said that the Government is monitoring the top 30 NPA accounts in each PSU bank and asked the lenders to set up separate verticals to recover the money from written-off accounts.Talking to reporters after meeting the heads of PSU banks, the Minister said he hoped that non-performing assets (NPAs) are a “function of economy” and would improve with the recovery in economic growth.“We are monitoring the top 30 NPA accounts in each bank, each zone. It is a matter of...

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Extension for Andhra Bank director

The Finance Ministry, through a notification, has re-nominated Nagi Reddy Venkata Ramana Reddy as the part-time non-official director on the board of Andhra Bank.The appointment is for a period of three years with effect from October 15, according to a statement from the bank. Source: thehindubusinesslin...

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Dewan Housing Q2 net up 7% at Rs 129 cr

Dewan Housing Finance Ltd (DHFL) posted single digit growth in its second quarter net profit on a sequential basis as income remained muted due to a sluggish economy.In the July-September quarter, the company posted a net profit of Rs 129 crore, a 7.5 per cent increase over the preceding quarter.The housing finance company had merged First Blue Housing Finance Ltd earlier this year. So, the figures of corresponding quarter last year only reflects the profit of DHFL, which was at Rs 82 crore in the three months ended September 30, 2012.Its revenue...

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Federal Bank net up 5% on improved lending

Private sector lender Federal Bank posted a five per cent increase in net profit at Rs 226 crore in the July to September quarter on the back of healthy loan growth and stable credit costs.The Kerala-based bank had reported a net profit of Rs 215 crore in the second quarter last year.Healthy current and savings account (CASA), stability in credit costs and lower slippages helped our profits,” said Shyam Srinivasan, MD and CEO of Federal bank.Net interest income was up 8 per cent to Rs 548 crore during the second quarter (from Rs 506 crore in...

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Robust loan growth lifts HDFC net 10% in Q2

Housing Development Finance Corporation (HDFC) reported a 10 per cent increase in net profit at Rs 1,266 crore in the July-September quarter on the back of robust growth in individual loans.In the year-ago period, India’s largest standalone housing finance company reported a net profit of Rs 1,151 crore.In the reporting period, HDFC’s income from operations rose 13 per cent to Rs 5,859 crore (Rs 5,175 crore in the year-ago period) while the profit on sale of investment was down 8 per cent at Rs 87 crore (Rs 94 crore).“The loan book in the individual...

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Tarun Chugh appointed MD of PNB Metlife

Private life insurer PNB MetLife said that it has appointed Tarun Chugh as Managing Director of the company.Chugh joins PNB MetLife from ICICI Prudential Life Insurance where he served as their Chief of Distribution, Operations and Marketing for India and was responsible for day-to-day management of all the business functions.In this new role, Chugh will oversee all of MetLife's business and operations in India and will be a part of MetLife's Asia leadership team and will report to MetLife's President of Asia, Christopher Townsend and to the...

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Syndicate Bank rolls out 5 new products

Syndicate Bank’s business has touched Rs 3.46-lakh crore as at the end of the second quarter of this fiscal (2013-14).Speaking at the bank’s 88th founders day celebrations, Sudhir Kumar Jain, Chairman and Managing Director, said: “We have initiated reorganisation of regions for better results and to serve customers better.”To mark its foundation day, the bank launched five new products: SyndDoctor, SyndGranite, SyndTextile, SyndCashew and SyndTransport.The bank also opened 88 branches in different States. With this, the total number of branches...

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Canara Bank launches CASA Carnival

Canara Bank, Pune Circle has launched a CASA Carnival in all its branches in Pune and in 14 districts of Maharashtra, to mobilise Savings and Current Accounts through door-to-door and shop-to-shop campaign.The Pune Circle of the Bank has a target of mobilizing 10,000 SB accounts and 500 Current Accounts during this fortnight long CASA Carnival which was flagged off by K Bhaskar, Deputy General Manager, Pune Circle, on October 19. Source: thehindubusinesslin...

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YES Bank Q2 net up 21% at Rs 371 cr

Private sector YES Bank today reported a 21 per cent growth in net profit at Rs 371.13 crore for the second quarter ended September 30, 2013.The net profit stood at Rs 306.08 crore in the July-September quarter of 2012-13 fiscal.Total income rose to Rs 2,947.39 crore from Rs 2,263.13 crore, YES Bank said in a filing to the BSE.Shares of the bank were trading at Rs 365.55 on the BSE, up 2.01 per cent from their previous close. Source: thehindubusinesslin...

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Dept of Posts cuts banking fund proposal to Rs 623 cr

The Department of Posts (DoP) has lowered its estimate of funds that it needs to start banking operations to about Rs 623 crore from its earlier projection of about Rs 1,900 crore, sources said.The proposal for Rs 623 crore includes Rs 500 crore that is required as paid-up capital under the RBI’s new banking licence norms. The remaining amount is for infrastructure that is needed to comply with the new norms.The DoP has applied for a banking licence. The Reserve Bank of India is expected to issue licences to shortlisted entities in January...

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RBI adds more features to large-value funds transfer system

The Reserve Bank of India on Saturday launched the new Real Time Gross Settlement (RTGS) system for large-value funds transfer.The new system has several new functionalities including advanced liquidity and queue management features, gridlock resolution mechanism, hybrid settlement facility, facility to accept future value dated transactions, and options to process multi-currency transactions. The RTGS system is a large-value funds transfer system that banks use to settle inter-bank transfers for their own account as well as for their customers.‘Real...

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Central Bank signs MoU with NCDEX

Central Bank of India has entered into a memorandum of understanding with NCDEX Spot Exchange (NSPOT), the e-market place for farmers. The objective is to cater to the needs of the farmers, agri processors and market participants.A tri-partite agreement was signed by Central Bank of India, NSPOT and two collateral managers viz. Navjyoti Commodities and Origo Commodities in AP and Karnataka States.Central Bank of India is the first Bank to provide this type of facility to the farmers in these two States.Speaking on the occasion, N. K. Balakrishnan,...

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Financial inclusion can be better achieved through self-help groups: Nabard

The two-decade-old self-help group-bank linkage programme for the economic betterment of rural poor is not receiving bankers’ attention, says Nabard.This observation comes in the backdrop of the Government pushing banks to step up their financial inclusion (FI) drive through intermediaries such as business correspondents (BCs) and business facilitators (BFs) in the last three yearsThe FI drive, whereby financial services are sought to be extended to the hitherto large un-served population of the country, envisaged by the Government and the...

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DHFL’s education loan arm Avanse eyes Rs 100-crore turnover

Avanse, a recent entrant in education finance market, is eyeing Rs 100 crore turnover milestone this fiscal—the first full year of its operations.This non-banking finance company, which is a DHFL Group company, has set for itself a business target of Rs 3,000 crore-Rs 4,000 crore in five years, it’s Chief Executive Officer Neeraj Saxena told BusinessLine here.Avanse Financial Services, which will provide only higher education loans, has opened its first brick-and-mortar branch in Delhi to cater to the growing demand for such loans in the National...

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