Public Sector Bank

Experts expect performance to catch up, see private lenders outperforming

Banks complete data migration for branches and ATMs; new tech to enhance mapping, oversight and financial inclusion efforts

Indian Bank's Q2FY26 net profit climbs 11% to Rs 3,107.9 crore on higher income and better asset quality, with gross NPAs dipping to 2.6% and strong deposit growth

During the PSB Manthan earlier this month, some experts and bankers had suggested that the power to appoint independent directors should rest with the boards of PSBs to enhance accountability

The official further added that the advances to agriculture and retail sectors touched 92 per cent and 98 per cent respectively for below the Rs. 10 crore loans category

Union Finance Minister Nirmala Sitharaman in her budget for FY26 increased the loan limit for farmers holding KCC to Rs 5 lakh from Rs 3 lakh earlier

The Reserve Bank of India has already cut its key repo rate by 100 basis points in an effort to jumpstart growth in the economy

Financial Services Secretary M Nagaraju on Saturday cautioned banks to bolster their defences against the growing menace of cyber threats. Speaking at a prize distribution ceremony of the 'Code Against Malware' hackathon at PNB headquarters here, Nagaruaju highlighted the growing importance of cybersecurity in the banking sector. Such initiatives align with the national goal of building resilience against emerging digital threats, he said. Launched in December 2024, the 'Code Against Malware' hackathon invited student teams from IIT Kanpur and other premier institutions to develop endpoint security solutions to detect ransomware, using behavioural analysis, artificial intelligence, and heuristic techniques. The hackathon was conducted in collaboration with the IIT Kanpur, under the guidance of the Department of Financial Services (DFS) and the Indian Banks' Association (IBA), with the objective of fostering innovation in cybersecurity and engaging India's young technical talent. P

State-owned Central Bank of India on Saturday posted a 33 per cent growth in net profit at Rs 1,169 crore during the first quarter of this financial year, aided by improvement in core income and decline in bad debts. The Mumbai-based bank had earned a net profit of Rs 880 crore in the same quarter of the previous fiscal year. The total income rose to Rs 10,374 crore during the June quarter of 2025-26, from Rs 9,500 crore in the same quarter of FY25, Central Bank of India said in a regulatory filing. Interest earned by the bank improved to Rs 8,589 crore, as compared to Rs 8,335 crore in the June quarter FY25. During the period under review, operating profit of the bank increased to Rs 2,304 crore, as compared to Rs 1,933 crore in the same quarter a year ago. The bank's asset quality showed improvement as gross non-performing assets (NPAs) declined to 3.13 per cent of gross advances at the end of the June quarter, from 4.54 per cent a year ago. Gross advance increased by 9.97 per

The finance ministry has asked public sector banks (PSBs) to look at monetising their investment in subsidiaries by listing them at bourses after further scaling up operations so that they realise good return. There are about 15 subsidiaries or joint ventures of PSBs lined up for initial public offering or divestment in medium to long term, sources said. Wherever required banks should invest funds to scale up operations of their subsidiaries or joint ventures, sources said, adding, banks can look at unlocking value at an opportune time. As a precursor to monetisation, sources said, banks should improve governance, professional decision-making and bring in greater operational efficiency in their subsidiaries. For example, the country's biggest lender State Bank of India may look at listing SBI General Insurance and SBI Payment Services in the future after they scale up their operations. SBI General Insurance Company Ltd, incorporated on February 24, 2009, earned a profit of Rs 509

Punjab National Bank has agreed to sell its entire stake in India SME Asset Reconstruction Company for ₹34 crore, aligning with its plan to exit non-core investments and focus on core banking

The Department of Financial Services has urged public sector banks to reduce procedural delays in insolvency filings and improve resolution timelines under the IBC

Canara Bank posted a 33 per cent YoY rise in Q4 net profit to Rs 5,004 crore as other income rose 22 per cent while margins came under pressure amid rate cut transmission

He was made to wait for an hour to meet the manager in one bank, and in some other PSB branches, he found the behaviour of officials "unsatisfactory"

State-owned Bank of Baroda (BoB) on Tuesday reported a marginal 3 per cent rise in net profit at Rs 5,048 crore for March quarter of FY25. The lender had earned a net profit of Rs 4,886 crore in the year-ago period. During the quarter, the bank's total income increased to Rs 35,852 crore, from Rs 33,775 crore a year ago, BoB said in a regulatory filing. The bank's interest income grew to Rs 30,642 crore, from Rs 29,583 crore in the fourth quarter of the previous financial year. However, net interest income (NII) in the quarter declined to Rs 11,020 crore, from Rs 11,793 crore in the same period a year ago. On the asset quality front, the bank's gross Non-Performing Assets (NPAs) moderated to 2.26 per cent of gross advances, as compared to 2.92 per cent by the end of March 2024. Similarly, net NPAs came down to 0.58 per cent of the net advances, over 0.68 per cent at the end of 2024. The provision coverage ratio of the bank stood at 93.29 per cent as on March 31, 2025. The bank'

PSBs' credit share fell by 4 per cent from FY21 to FY25, a slower rate of decline than the approximately 20 per cent between FY11 and FY21

A renewed focus on core business, discontinuation of incentives for employees, and customer movement to digital purchases of insurance are the key reasons for the decline

Dividend payout by public sector banks (PSBs) have risen by 33 per cent to Rs 27,830 crore in FY24, indicating significant improvement in financial health of these lenders. PSBs declared a dividend of Rs 27,830 crore to shareholders in 2023-24 as against Rs 20,964 crore in the previous fiscal, registering an increase of 32.7 per cent, according to the government data. Of Rs 27,830 crore total dividend, nearly 65 per cent or Rs 18,013 crore was paid to the government towards their shareholding in FY24. During 2022-23, the government received Rs 13,804 crore as dividend from the public sector banks including State Bank of India (SBI). It is to be noted that 12 public sector banks recorded the highest ever aggregate net profit of Rs 1.41 lakh crore in 2023-24 against the net profit of Rs 1.05 lakh crore in 2022-23, and earned Rs 1.29 lakh crore in the nine months of the current financial year. Out of the total profit of Rs 1,41,203 crore earned during FY24, market leader SBI alone ..

The Ministry of Finance, in a reply in Lok Sabha, said that the PSBs intimate the vacancies on the board of the bank and difficulties faced by them, if any, from time to time

Reports muted NII growth; Guides for NIM of 3.0-3.10%