RBI lifts restrictions on HDFC Bank’s business generating activities under Digital 2.0 plan

In December 2020, The RBI had barred HDFC Bank from launching new digital products or services from The HinduBusinessLine - Money & Banking https://ift.tt/N5Bxa...

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RBI lifts all restrictions on HDFC Bank's business-generating activities

HDFC Bank, which issues more than 2 lakh credit cards a month, was directed by the RBI in December 2020 to stop issuing fresh cards until it had sorted out its tech problems. from Banking/Finance-Industry-Economic Times https://ift.tt/YNDPm...

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Banks expect revolvers to make a slow return to credit card market

As spends dipped in January after the euphoria of the festive season, banks are bracing for a quarter of lower fee income from credit cards. In addition, card issuers are having to contend with income loss due to a fall in the share of revolvers in their credit card portfolios. New customer additions in January 2022 stood at 13 lakh, down from 13.7 lakh in December 2021, even as the rate of customer addition hit a 19-month high of 15% year on year (YoY). Spends grew 35% YoY in January while moderating by 7% on a month-on-month basis. Credit card customers are typically categorised as transactors and revolvers. Transactors are people who use their cards for spending, but prefer to clear their...

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We will target growth of 10-15% in gold loans in coming fiscal year: VP Nandakumar, MD & CEO, Manappuram Finance

Manappuram Finance reported a 46 % year-on-year (y-o-y) decline in consolidated net profit for the third quarter to Rs 261 crore . VP Nandakumar, MD & CEO, talks to Rajesh Ravi on the company’s performance and future outlook. Excerpts: How do you review the  third quarter? The important takeaway from our Q3 performance is that despite the Omicron impact, we have achieved good growth in our business volumes from our core business of gold loans, as also from vehicle loans and home loans. Our consolidated AUM of Rs 30,400 crore grew 7% sequentially and 10% year on year. Gold loans showed growth of 8.3% sequentially after suffering a decline in Q1. Likewise, there was good growth in vehicle...

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RBI bars Paytm Payments Bank from onboarding new customers

The Reserve Bank of India (RBI) on Friday barred Paytm Payments Bank from onboarding new customers, citing “material supervisory concerns” observed at the bank. The regulator has also directed the bank to appoint an information technology (IT) audit firm to conduct a comprehensive system audit of its IT system. “Onboarding of new customers by Paytm Payments Bank Ltd will be subject to specific permission to be granted by RBI after reviewing report of the IT auditors,” the central bank said. In its red herring prospectus (RHP), the bank’s parent One97 Communications had said Paytm Payments Bank provides a digital wallet service that allows consumers to make payments at about 88,000 online merchants...

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RBI bars Paytm’s bank from enrolling fresh customers

The Reserve Bank of India (RBI) on Friday said that it has banned Paytm Payments Bank (PPB) from onboarding new customers based on certain ‘material supervisory’ concerns. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/lHAS7...

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Fitch revises outlook on Indian banks’ operating environment to “stable” from “negative”

Fitch said that growth in retail loans, exposure to MSMEs and vulnerable corporate sectors have created risks for banks from The HinduBusinessLine - Money & Banking https://ift.tt/DMJYf...

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Dhanlaxmi Bank case: Kerala High Court says petition against board maintainable

Issues related to Dhanlaxmi Bank are likely to drag further in the court, with the Kerala High Court on Wednesday ruling that the writ filed by a shareholder and two others against the board of the lender is maintainable. A shareholder and two others had approached the court against the board’s decision to reject their candidature for the office of director, to be placed before the members during the annual general meeting to be held on September 29, 2021. The counsel for the bank opposed the prayer of the petitioners for an interim order, pointing out that the petitions are not maintainable because the bank being a private entity and not a statutory body or an instrumentality or an agency of...

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Russian banks woo exporters for rupee-rouble payment option

from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/XjcFK...

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Enable bank UPI with Aadhaar-OTP

from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/CYMNp...

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SBI to revamp Yono to prepare for an era of digital banks

Gearing up for an era of competition from digital banks, State Bank of India (SBI) is working on a revamp of its Yono mobile application to build it into a pure digital bank. Called ‘Only Yono’, the new platform will be enabled with cloud capability to handle high volumes and offer a superior customer experience. SBI is the second major bank after HDFC Bank to have begun strategic planning for a likely round of digital bank licensing in the near future. A notice put out by the state-owned lender takes note of the Niti Aayog’s November 2021 draft discussion paper on licensing of digital banks, which may lead to formal guidelines by the regulator to establish various types of digital banks in...

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EMI bounce rates fall further in February, but concerns persist

The share of failed auto-debit requests on the National Automated Clearing House (NACH) platform eased to 29.21% in volume terms in February, down 43 bps from January. In value terms, the bounce rate stood at 22.44%, down 99 bps from January. While these levels mark the lowest failure rates on EMI requests since the beginning of the pandemic in March 2020, sector experts say some pockets of retail loans are still showing high delinquency rates. Analysts watching the sector attribute the improvement in EMI repayments to the impact of loan restructuring and the emergency credit line guarantee scheme (ECLGS) for small businesses. Some of them, however, believe that the improving bounce rates do...

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SBI plans to launch revamped digital banking platform ‘ONLY YONO’

Sets a target of 12-18 months for implementation from The HinduBusinessLine - Money & Banking https://ift.tt/kBivZ...

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PNB Housing Finance board approves rights issue

Issue details to be determined in due course from The HinduBusinessLine - Money & Banking https://ift.tt/QhTUR...

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RenewBuy appoints Gautam Bansal as CFO

Gautam Bansal has worked at organisations like EY, InterContinental Hotels Group, Macquarie, Shuttl, to name a few. He has been associated with multiple financial advisory functions of companies, as well as start-ups operating in e-commerce, logistics, consumer goods, assurance advisory and banking industry. In his previous role, he was the head of finance at Shiprocket. from Banking/Finance-Industry-Economic Times https://ift.tt/yzFwh...

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Banks Board Bureau eases eligibility criteria for NaBFID MD, reveals pay package

The Banks Board Bureau (BBB) has relaxed the eligibility criteria for the post of managing director of the National Bank for Financing Infrastructure and Development (NaBFID). In its latest notice, the appointment agency has also revealed that the role will have a compensation package – total of fixed pay and performance bonus – of Rs 3.36 crore per annum. The final date for sending in applications has been extended to March 25 from March 7. An applicant must be a graduate or equivalent or have a professional qualification of CA/MBA or its equivalent. The original eligibility criteria, released on February 2, required applicants to be postgraduates or equivalent or have a professional qualification...

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LIC IPO: Investment bankers advice Centre against a hurried launch

The group of ministers tasked with decisions relating to strategic disinvestment is expected to soon consider the pricing of LIC's initial public offer (IPO), people with knowledge of developments told ET. A decision on the timing of the offer is likely to be taken after considering all inputs, they said. from Banking/Finance-Industry-Economic Times https://ift.tt/Ntvby...

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IndusInd Bank to probe staff role in ‘tech glitch’ at micro credit arm

Disbursement of micro loans without obtaining the client consent at IndusInd Bank arm Bharat Financial Inclusion (BFIL) had happened due to a technical glitch, the bank said on Wednesday, citing the findings of an review by Deloitte Touche Tohmatsu. The bank’s board has now constituted a committee to assess staff accountability, if any, arising out of the findings of the report. BFIL’s MD and CEO Shalabh Saxena and executive director and CFO Ashish Damani had tendered their resignations on November 25, 2021. The board decided to defer the decision to relieve the executives until the completion review which was going on at that point of time. IndusInd said in November 2021 BFIL had disbursed...

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Shriram Life Insurance settles claims worth Rs 400 crore

“The second wave of COVID impacted every insurer, but we are in a unique position of covering breadwinners from lower-to-middle income segments. As of December, we have paid claims that helped over 38,500 families, thrice of what we did last year," Casparus Kromhout, MD & CEO, Shriram Life Insurance said in a statement. from Banking/Finance-Industry-Economic Times https://ift.tt/fCpbZ...

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MobiKwik achieves cash breakeven in Q3

IPO plans not off the company’s radar; will go in for IPO in right market conditions, says Upasana Taku, Co-founder from The HinduBusinessLine - Money & Banking https://ift.tt/ShRCP...

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IBA begins fresh search for bad bank chief with HR firm Aon’s help

The Indian Banks’ Association (IBA) has begun a formal search process to identify a chief executive for the National Asset Reconstruction Company (NARCL), months after a State Bank of India (SBI) executive was appointed to lead the bad bank. SBI chief general manager Padmakumar Nair is currently on secondment as MD & CEO at NARCL. Bankers in the know told FE that as a public-sector entity, NARCL must run an open selection process and Nair is also running for the role. Human resources consulting firm Aon is assisting IBA in the process. Swaminathan J, managing director – risk, compliance and stressed assets resolution group, SBI, said, “The incumbent is also eligible to apply and will be...

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RBI launches UPI payments for 40 crore feature phone users

The Reserve Bank of India (RBI) on Tuesday announced the opening up of Unified Payments Interface (UPI) payments for 40 crore feature phone users in India. Christened UPI123pay, the new facility will be accessible through IVR numbers, an app-based functionality, a sound-based format and even through missed calls. Speaking at the launch event, RBI governor Shaktikanta Das said India’s digital economy has flourished over the past few years. UPI has played a major role in the process, recording about 453 crore transactions worth `8.26 lakh crore in February 2022, almost double compared to a year ago. “The launch of UPI123pay makes the facilities under UPI now accessible to that section of society...

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RBI accepts bids worth $5.135 billion in rupee-dollar swap

In a move aimed at soaking up liquidity from the system, the Reserve Bank of India (RBI) on Tuesday accepted bids worth $5.135 billion in a dollar-rupee swap. The auction saw overwhelming response with bids of $13.565 billion coming in against $5 billion on offer.  The cut-off premium of 656 paise, and the weighted average premium of the accepted bids of 649.71 paise translate into an annual premium of a little over 4%. The excess liquidity in the system is running at close to Rs 8 lakh crore and the central bank had been looking to mop up some of this ahead of the Initial Public Offering (IPO) of Life Insurance Corporation (LIC). Market watchers observed that the swap gave companies an...

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Getting future-ready: HDFC Bank readies plan for digital entity

HDFC Bank is working on a plan to build a challenger digital bank in order to prepare for a future where licences for digital banks are issued. The challenger will be a purely digital bank focused on targeting a younger set of customers over their lives and careers, sources told FE. The country’s largest private bank by assets wants the digital bank to allow people to open accounts directly without visiting a branch. “The bank has that facility within the traditional bank, but it is working on this as a new business line. It will wait for the Reserve Bank of India (RBI) to clear and review it before going ahead,” one of the sources said, requesting anonymity. While HDFC Bank is not imminently...

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Nitin Chugh appointed head of SBI digital banking

State Bank of India (SBI) on Tuesday said it has appointed Nitin Chugh as deputy managing director (DMD) & head of digital banking. Chugh has earlier served as MD & CEO at Ujjivan Small Finance Bank and at HDFC Bank as head of digital banking. At SBI, Chugh would be responsible for driving growth of customer acquisition through digital channels, along with defining and implementing digital strategies. Apart from a postgraduate degree in management, Chugh holds a B.Tech degree in electrical and computer science from NIT, Kurukshetra. from Banking & Finance – The Financial Express https://ift.tt/SpsgV...

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NSE CEO Vikram Limaye not applying for a 2nd term at helm

The NSE recently invited applications for the post of MD and CEO. Limaye is eligible for another term of five years but regulations require incumbents to re-apply for the position. from Banking/Finance-Industry-Economic Times https://ift.tt/ZTAnx...

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RBI now brings UPI to feature phone users

The feature called UPI123Pay will offer payments through IVR Number, app functionality in feature phones, missed call-based transactions and sound-based payments. The Central bank also announced the rollout of a 24x7 helpline for digital payments called DigiSaathi. from Banking/Finance-Industry-Economic Times https://ift.tt/hmUnO...

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Bharti Airtel, Axis Bank announce strategic partnership

The partnership was kicked-off with the launch of Airtel Axis Bank Credit Card from The HinduBusinessLine - Money & Banking https://ift.tt/vkaLi...

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Rupee sinks 79 paise against US dollar as oil is on the boil amid geo-political tensions

The rupee has weakened about 79 paise against over the previous close of 79.17 from The HinduBusinessLine - Money & Banking https://ift.tt/wjNSR...

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Clix Capital plans to lend over ₹4,000 crore in FY23

The NBFC has been servicing individual borrowers, MSMEs and has given out over 50 lakh loans to date from The HinduBusinessLine - Money & Banking https://ift.tt/1alPH...

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Tea exporters worried about payment issues with Russia

Tea exporters on Monday expressed concern over how to solve payment issues for their shipments to Russia since the CIS country's several banks have been blocked to access to a global financial system SWIFT, in the wake of the Russian-Ukraine crisis. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/yKoF9...

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Foreign lenders need regulatory support: Grant Thornton Bharat Report

“The RBI and the government could consider working together to ease some of the challenges that foreign banks have been facing in order to provide a further impetus to their growth in the context of the Indian economy,” said Grant Thornton Bharat, in its latest report, Role of Foreign Banks in Shaping a Vibrant Bharat. from Banking/Finance-Industry-Economic Times https://ift.tt/fvgjx...

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SBI’s ERD suggests a ‘dumb bell’ strategy for govt borrowings

The turmoil post Ukraine invasion, along with sanctions imposed on Russia and its rating downgrade can see investors re-adjusting their exposure to Russian bonds from The HinduBusinessLine - Money & Banking https://ift.tt/oxch8...

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Mahindra Insurance Brokers to embark on digitisation drive for growth

Mahindra Insurance Brokers Ltd. (MIBL), the insurance arm & subsidiary of Mahindra Finance is embarking on a major digitisation drive within three business modules, Motor, Health & commercial lines to enhance growth. This even as the pandemic seems to have fast-tracked the health insurance industry growth over the last couple of years and is expected to overtake motor insurance by 2025. from Banking/Finance-Industry-Economic Times https://ift.tt/PIRDG...

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Proposed hike in motor TP insurance to help insurers amidst claim inflation

Customers can look to renew policies before April 1 to avoid higher premium from The HinduBusinessLine - Money & Banking https://ift.tt/iyZr3...

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Bank of India to launch digital lending platform in Q2FY23

from The HinduBusinessLine - Money & Banking https://ift.tt/dnpaj...

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Insolvency regulator IBBI signs MoU with IBA

MoU aims to build awareness on insolvency and bankruptcy matters among bankers from The HinduBusinessLine - Money & Banking https://ift.tt/gQMzu...

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Awaiting govt, RBI guidelines on SWIFT transactions with Russian entities: PNB

The Society for Worldwide Interbank Financial Telecommunication (SWIFT) is the world's main banking messaging service which links around 11,000 banks and institutions in more than 200 countries, including India. Based in Belgium, the SWIFT system is considered central to the smooth functioning of global finances and Russia's exclusion from it would hit the country hard. from Banking/Finance-Industry-Economic Times https://ift.tt/B3TKM...

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BBB launches programme for improving quality of PSU bank boards

The nine-month Directors' Development Programme (DDP) is designed for the directors of the PSBs and financial institutions with the key objective of enhancing director effectiveness to increase their impact on the boards, the BBB said in a statement. from Banking/Finance-Industry-Economic Times https://ift.tt/BIaWw...

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Ukraine-Russia war: Govt, bankers mull ways to avert payments crisis

Top bankers huddled with senior finance ministry officials on Saturday, a day after some lenders met central bank officials, a top source told FE, amid concerns about the an emerging payments crisis being faced by Indian exporters consequent to the western nations’ sanctions on seven Russian banks. “The RBI has been gathering inputs from domestic banks on the crisis and will accordingly issue directions, if required, after consulting the government,” a senior banker told FE after Saturday’s meeting. Financial services secretary Sanjay Malhotra chaired the meeting, convened by the Indian Banks’ Association (IBA). While the Ukraine crisis wasn’t part of the formal IBA agenda for the meeting, bankers...

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SBI appoints ex-Ujjivan Small Finance Bank CEO Nitin Chugh as DMD

Prior to this appointment, Chugh was CEO and managing director of Ujjivan Small Finance Bank. He joined there from HDFC Bank where he served as the Group Head of Digital Banking. from Banking/Finance-Industry-Economic Times https://ift.tt/MJVG0...

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