RBI pitches for demarcation of roles to regulate Big Tech: ‘Responsibility of regulators must be identified’

The Reserve Bank of India (RBI) made a case for clearly demarcating responsibilities of various regulators in the context of large technology companies operating in India’s financial sector. Highlighting the risks from the rise of a “data-fueled oligopoly”, the central bank spoke of the need to incentivise growth of smaller firms with innovative capabilities. “Since FinTech unbundles services across a wide number of domains, it is necessary to clearly demarcate responsibilities of various regulators over relevant aspects of the business entity and to ensure the existence of adequate avenues for regulatory collaboration,” the RBI wrote in the report on currency and finance for 2021-22. Such a...

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IndusInd profit zooms 51% on higher income, lower provisions

IndusInd Bank’s consolidated net profit for the January-March quarter rose 51% year-on-year (y-o-y) to Rs 1,401 crore on the back of higher income and lower provisions. The net interest income (NII) grew 12.7% y-o-y to Rs 3,985 crore, other income was up 7% to Rs 1,905 crore and the net interest margin (NIM) rose 10 basis points (bps) sequentially to 4.2%. Provisions were down 22% y-o-y to Rs 1,463.52 crore. Sumant Kathpalia, managing director and CEO, said all retail products saw the highest levels of disbursements ever for the bank during the quarter. Corporate loans also maintained a steady momentum, led by small companies. “Strong retail disbursements and falling costs of deposits helped...

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Aditya Birla ARC, Arcil among companies eyeing SBI's KSK Mahanadi loan

It is the largest stressed loan sale by any bank seeking upfront payment from the buyer. The bank has set a ₹1,544-crore reserve price on the outstanding loan of ₹3,815 crore. So far, most big-ticket distressed loan sales were structured deals involving part payment in the form of security receipts that would be redeemed upon recovery from defaulting borrowers. from Banking/Finance-Industry-Economic Times https://ift.tt/G8nXH...

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Non-food bank credit grew 9.7% in March: RBI data

Growth in the credit to services sector accelerated to 8.9 per cent in the reporting month as compared to 3 per cent in the year-ago period, mainly due to significant improvement in credit growth to NBFCs (Non-Banking Financial Companies) and robust credit offtake in trade and transport operators. Personal loans segment continued to expand at a robust rate and grew by 12.4 per cent in March 2022 from 10.7 per cent in March 2021. from Banking/Finance-Industry-Economic Times https://ift.tt/X2TDY...

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IndusInd profit zooms 51% on higher income, lower provisions

IndusInd Bank’s consolidated net profit for the January-March quarter rose 51% year-on-year (y-o-y) to Rs 1,401 crore on the back of higher income and lower provisions. The net interest income (NII) grew 12.7% y-o-y to Rs 3,985 crore, other income was up 7% to Rs 1,905 crore and the net interest margin (NIM) rose 10 basis points (bps) sequentially to 4.2%. Provisions were down 22% y-o-y to Rs 1,463.52 crore. Sumant Kathpalia, managing director and CEO, said all retail products saw the highest levels of disbursements ever for the bank during the quarter. Corporate loans also maintained a steady momentum, led by small companies. “Strong retail disbursements and falling costs of deposits helped...

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Union Bank 1st PSU to join account aggregator platform

Union Bank of India has become the first public sector lender to go live on the account aggregator ecosystem, a part of the government's digital initiatives to improve credit delivery. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/q508K...

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Bank credit grows 9.7 per cent in March

Credit growth to industry picked up to 7.1 per cent in March 2022 from a contraction of 0.4 per cent in the same period last year from The HinduBusinessLine - Money & Banking https://ift.tt/8y4YK...

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SBI Life posts 26% rise in net profit

Beating market expectations, private sector SBI Life Insurance on Thursday reported a 26.25% year-on-year rise in its net profit to 672.15 crore in the fourth quarter last fiscal, from532.38 crore for the same period previous fiscal. During the March quarter of FY22, first year premium grew 5.28% y-o-y to Rs 3853.56 crore, from Rs 3660.29 crore for the corresponding period of FY21, while renewal premium saw a 14.62% y-o-y rise to Rs 10,842.52 crore, from Rs ,9459.56 crore, according to a stock exchange filing. The company’s net profit for the last...

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'Musk plans to rein in Twitter pay, make money from tweets'

Musk told the banks he also plans to develop features to grow business revenue, including new ways to make money out of tweets that contain important information or go viral, the sources said. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/jel3k...

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Axis Bank net up 54%, asset quality improves

Beating Street estimates, Axis Bank on Thursday reported a 54% year-on-year (y-o-y) rise in net profit at 4,118 crore in the quarter ended March, 2022, compared with2,677 crore in the same quarter last year. The bank’s asset quality showed improvement with the gross non-performing assets (GNPAs) for the quarter falling to 2.82% of total advances compared with 3.17% in the December quarter and 3.7% in the March quarter last year. In value terms, the gross NPAs declined to 21,822.32 crore, from25,314.84 crore. Net NPAs (bad loans), too, came down to 0.73% (5,512.16 crore) compared to1.05% (6,993.52 crore). Thus, the provisions for bad loans and contingencies were trimmed to987.23 crore for the...

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Merger with private bank, NBFC proposed at IDBI Bank roadshows

The option was proposed by some of the participants at the roadshows who were of the view that an all-cash offer for the bank would work out to be too costly. from Banking/Finance-Industry-Economic Times https://ift.tt/Kx5Dc...

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NII growth, low provisioning boost Bank of Maharashtra profit

Bank of Maharashtra on Thursday reported a 115.19% year-on-year jump in its net profit to Rs 355 crore for the March quarter. The net interest margin (NIM) improved to 3.17% from 3.11% while the net interest income grew 16.56% to Rs 1,612 crore. Gross NPAs declined to 3.94% from 7.23% last year. Net NPAs get reduced to 0.97% from 2.48%. AS Rajeev, managing director and CEO, said the growth in profit was on account of the growth in NII. The bank was able to report higher profit despite reduction in the profit on sale of investments. In the last eight to 10 quarters, the bank’s NII growth rate had been around 15-20%, he said. In addition, there was reduction in operating costs, including employee...

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NBFCs seek staggered migration to new norms; Shadow lenders continue talks with RBI

Mid-sized and small non-banking financial companies (NBFCs) are likely to be hit by rising costs while making transition to the new regulatory framework prescribed by the Reserve Bank of India (RBI), aimed at maximising regulatory parity between banks and non-bank lenders. While they are preparing to deal with higher spends towards guidelines like the implementation of core financial systems, they continue to engage with the regulator to seek a smoother and more staggered migration to the new norms. Industry executives FE spoke to said companies are seeking some relaxations in implementation and additions to the guidelines in order to achieve a smoother transition. One of the additions being...

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Shriram Housing Finance AUM to rise at a healthy clip in FY23

Assets under management (AUMs) of affordable housing player Shriram Housing Finance are expected to rise over 49% to Rs 8,000 crore in the current financial year, because of investments made by the company in the last six months, Ravi Subramanian, MD and CEO, told FE. The company reported AUMs of Rs 5,355 crore in the previous financial year. The demand for housing has received a boost after the revival in the economy following removal of of Covid-related restrictions. The average age of borrowers has reduced and people are buying houses after the pandemic and making investments in this segment. The company provides home loans with an average ticket size of Rs 16 lakh. On the asset quality front,...

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HDFC Bank plans car loan disbursal in 30 minutes in online push

Coined 'Xpress Car Loans', the country's largest private bank is offering end-to-end car loans to customers within 30 minutes through an online platform. from Banking/Finance-Industry-Economic Times https://ift.tt/vrM9w...

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Assam Gramin Vikash Bank posting net profit after a gap of 5 years

The Bank posted an Operating profit of Rs148.99 lakh with net profit of Rs.1.61 lakh in 2021-22. from Banking/Finance-Industry-Economic Times https://ift.tt/hcIYf...

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YES Bank approaches NCLT to admit Zee Learn under the insolvency resolution process

As per the company’s website, Zee Learn Ltd runs Asia’s largest pre-school, Kidzee, with over 1900 operational pre-schools in over 750 cities across India and neighbouring countries. The company also runs over 120 Mount Litera Zee schools in about 110 cities across the country. from Banking/Finance-Industry-Economic Times https://ift.tt/vrGbm...

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Generali Asia appoints Bruce de Broize as MD and CEO of Future Generali India Life Insurance

He will take over from Miranjit Mukherjee who was serving as interim CEO since September 2021 from The HinduBusinessLine - Money & Banking https://ift.tt/VmQkg...

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Ajay Mahajan exits CARE Ratings

Executive Director Mehul Pandya, ED, to take charge as will be interim CEO from The HinduBusinessLine - Money & Banking https://ift.tt/XHRy9...

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Make 30% bank biz agents women: SBI

A report from the State Bank of India (SBI) has called for mandating that 30% of the business correspondent (BC) workforce comprise women. According to the report, while the majority of the Jan Dhan Yojana accounts (55%) belong to women, the usage of these lags those of men and remain inoperative most of the time. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/CSMrZ...

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udaanCapital says in partnership with Northern Arc enabled credit to 50,000 small retailers

from The HinduBusinessLine - Money & Banking https://ift.tt/TqjJ1...

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Guarantees, LoCs to group companies will now have taut strings

The rules of the game on 'corporate guarantees' will change with the Reserve Bank of India (RBI) insisting on a water-tight, time-bound mechanism for the issuance of guarantees and their invocation by lending banks. from Banking/Finance-Industry-Economic Times https://ift.tt/Ohk5o...

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IFCI notice against encumbrance of Future Brands’s assets

Over a month after banks issued notices against the encumbrance of Future Retail and Future Enterprises’s assets, IFCI has issued a similar notice against anybody moving to deal with Future Brands’s securities over which it holds an exclusive charge. The state-owned non-banking financial company (NBFC) on Tuesday said it has an exclusive charge over Baroda Central, a commercial complex spread over 180,000 sqft owned by Iskrupa Mall Management Company. Iskrupa Mall Management Company is a wholly-owned subsidiary of Bansi Mall Management Company, a Future Group company, according to a CareEdge Ratings report on February 25. The notice said IFCI also holds an exclusive charge over four brands owned...

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IFCI notice against encumbrance of Future Brands’s assets

Over a month after banks issued notices against the encumbrance of Future Retail and Future Enterprises’s assets, IFCI has issued a similar notice against anybody moving to deal with Future Brands’s securities over which it holds an exclusive charge. The state-owned non-banking financial company (NBFC) on Tuesday said it has an exclusive charge over Baroda Central, a commercial complex spread over 180,000 sqft owned by Iskrupa Mall Management Company. Iskrupa Mall Management Company is a wholly-owned subsidiary of Bansi Mall Management Company, a Future Group company, according to a CareEdge Ratings report on February 25. The notice said IFCI also holds an exclusive charge over four brands owned...

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NBFC 'third party lending' set to come under auditors' scrutiny

The development assumes significance as several cases have come to light in the last few years where the promoters of NBFCs have diverted funds of the lender to private entities who in turn moved this money into third party companies. from Banking/Finance-Industry-Economic Times https://ift.tt/a0cCf...

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‘Rate hike is for stability, not anti-national move’

The Reserve Bank of India (RBI) would need to raise interest rates and this should not be seen as an anti-national activity benefiting foreign investors but as an investment in economic stability, former central bank governor Raghuram Rajan has said. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/m5kLq...

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RBI to hike repo rate in June, earlier than previously thought: Poll

Retail inflation accelerated to nearly 7% in March, above the 6% upper limit of the central bank's targeted range, and will likely soar further as a spike in global energy prices since Russia's invasion of Ukraine seeps into consumer prices. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/g01VI...

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RBI moves SC to consolidate co-op bank pleas

from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/Cb6GR...

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Challenge to RBI regulation of cooperatives: Supreme Court refuses to stay proceedings in high courts

The Reserve Bank of India (RBI) on Monday moved to the Supreme Court seeking the transfer of around two dozen petitions pending before various high courts challenging the legality and validity of the Banking Regulation (Amendment) Act 2020 and the consequential circular that brought all cooperative banks under the market regulator’s supervision. A Bench led by Chief Justice NV Ramana while seeking a response from all the petitioners refused to stay the proceedings pending before various high courts of Bombay, Madras, Kerala, Karnataka, Chhatisgarh, Rajasthan, Uttrakhand, Punjab and Haryana, Allahabad, Andhra Pradesh, Madhya Pradesh, etc. While the CJI told the central bank counsel that it intended...

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Union Bank rolls out automated solution to monitor stressed loans

Chief general manager Ashok Chandra said automation will eliminate errors and cut the time taken to initiate recovery to a few days from months earlier. from Banking/Finance-Industry-Economic Times https://ift.tt/TIRbG...

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Auto-debit bounce rates for loan EMIs inch up in March

In March, the bounce rates by value were at 22.8%, better than the pre-Covid range of 24.5%-25.0%, arresting the downward trajectory reflected all through FY22. Similarly, bounce rates by volumes, too, rose sequentially to 29.6% much better than the pre-Covid average of 30.5-31.5%. from Banking/Finance-Industry-Economic Times https://ift.tt/C6d2K...

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Credit push: State-run banks told to collaborate with startups, fintech cos

In PSB Manthan 2022, held last week, banks were asked to set up a three-year roadmap to improve their performance and competitiveness. Banks will focus on both geography-specific opportunities such as economic corridors and business sector-specific opportunities such as green energy. from Banking/Finance-Industry-Economic Times https://ift.tt/lVPzo...

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Private investment will come back this year: TV Narendran, CII President

At 7.5-8% growth in the current year, India would still be the fastest-growing economy, he said, proposing a production linked (PLI) scheme for furniture and capital goods as well. from Banking/Finance-Industry-Economic Times https://ift.tt/zQivx...

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How a creditor revolt scuttled Ambani’s $3.2bn retail deal

The preferential treatment of bondholders riled banks enough to reject a $3.2 billion rescue deal from one of Asia’s richest men for a debt-laden unprofitable retail chain, according to people familiar with the matter. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/5iX0b...

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Distress in the retail segment and role of ARCs

ARCs provide the borrower a way out of distress – this helps banks focus on their core business of lending and risk management from The HinduBusinessLine - Money & Banking https://ift.tt/2E4Rn...

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Banks seek formal NPCI note on crypto UPI curbs

The banks, some of which are shareholders of NPCI, raised the issue at a recent meeting after the payments body expressed its reservations a few weeks ago on the fund flows through UPI for crypto trades, two persons aware of the discussions in the meeting told ET. from Banking/Finance-Industry-Economic Times https://ift.tt/o2HSN...

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IndusInd’s sale of Future loans to Edelweiss ARC falls through

A deal between IndusInd Bank and Edelweiss Asset Reconstruction Company (ARC) for the sale of Future Retail’s loans has fallen through, sources aware of the development have said. IndusInd Bank had put on the block a bunch of loans, including to Future Retail, Asian Hotels (North) and some small-value exposures. Edelweiss ARC is understood to have backed out of buying the Rs 247-crore corporate exposures as it was unable to complete its due diligence. It was also reluctant to buy exposures included in the pool other than those to Future Retail. However, Edelweiss ARC has bought the small-value assets being offered by IndusInd Bank. The pool included commercial vehicle and small business loans...

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Six working groups set up to suggest ways to improve functioning of PSBs to submit report by Dec

The senior banker, who participated in the recently concluded Manthan 2022 - a meeting of the top PSU bankers, said the six working groups would look into functioning the public sector banks (PSBs) and suggest ways to improve customer service, digitisation, HR incentives, corporate governance and collaboration. from Banking/Finance-Industry-Economic Times https://ift.tt/FizD5...

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Six working groups set up to suggest ways to improve functioning of PSBs to submit report by Dec

Six working groups created to suggest ways to improve digitisation in the state-owned banks and strengthen their balance sheets have been asked to submit their respective reports by December, according to a senior banker. Participating in the meeting, Financial Services Secretary Sanjay Malhotra recently asked the banks to explore strategies for long-term profitability and adopt a more customer-centric approach. The senior banker, who participated in the recently concluded Manthan 2022 – a meeting of the top PSU bankers, said the six working groups would look into functioning the public sector banks (PSBs) and suggest ways to improve customer service, digitisation, HR incentives, corporate governance...

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Aditya Birla Capital appoints Vishakha Mulye as CEO

She will join Aditya Birla Capital as the new CEO on June 1, 2022. from The HinduBusinessLine - Money & Banking https://ift.tt/oDOXh...

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Birla Group’s apex body to get its 1st woman director

The Aditya Birla Group’s apex body Aditya Birla Management Corporation (ABMCPL) will soon get its first woman director Vishakha Mulye. The Group has appointed Mulye of ICICI Bank as the next CEO of its financial services holding company, Aditya Birla Capital. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/S9Tj2...

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Vishakha Mulye to be CEO of Aditya Birla Capital

The board of Aditya Birla Capital on Saturday approved the appointment of Vishakha Mulye as the next CEO of the company.  This appointment comes in the wake of Ajay Srivinasan’s plans to move out of the current role. Mulye will operate as the CEO-designate from June 1.   from "Banking & Finance News: Banking & Finance News Today, Indian Banking & Finance News, World Banking & Finance News Today - The Financial Express " | The Financial Express https://ift.tt/uZVar...

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ICICI Bank Q4 net up 59% on fall in provisions

ICICI Bank on Saturday reported a smart 59% year-on-year jump in net profits for the three months to March at Rs 7,019 crore, helped by a big 63% y-o-y fall in provisions. The numbers were ahead of analysts’ estimates. With this, the private sector lender ends FY22 on a strong note, having posted a profit after tax of Rs 23,339 crore for the year, an increase of 44%. The bank’s core operating profit (profit before provisions and tax, excluding treasury income) increased by a more modest 19% y-o-y to Rs 10,164 crore in Q4FY22. Excluding the dividends from subsidiaries and associates, the rise in the pre-provisioning profits was 21% y-o-y. The lender’s profitability improved during the quarter...

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Times uncertain, rescue those in debt jam, FM tells World Bank

Finance minister Nirmala Sitharaman has said India remains concerned about the risks to global recovery due to rising uncertainty amidst enhanced geopolitical tensions. from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/U8yrl...

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ICICI Bank's Mulye to join Aditya Birla Capital as CEO

Mulye, a career banker with three decades of experience behind her, will join her new role on June 1 as CEO designate, Aditya Birla Group announced late Saturday from Banking/Finance-Industry-Economic Times https://ift.tt/quTft...

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