NBFCs may follow banks in liquidity reporting; cost of capital set to go up
The Reserve Bank of India (RBI) is set to review the structural liquidity statements (SLS) filed by non-banking finance companies (NBFCs) with it to make them more rigorous.
They will form part of the iron-clad asset-liability management (ALM) norms for the sector, which are on the anvil, and bring NBFCs on a par with banks on dynamic reporting on liquidity.
The new framework may not cover the entire universe of NBFCs, which run into thousands, but will cover the entities that are systemically important and defined as those with an asset size of Rs 5 billion. Read more
Demand for credit from corporate India is going up, say top bankers
Demand for credit from corporate India is going up, bankers said, with the capacity utilisation of manufacturing companies touching 76.1 per cent in the July-September quarter (Q2) and many planning to start new projects in the coming months.
Citing investment proposals from the firms in the steel, textiles, cement, oil and gas sectors, bankers said the capex cycle is showing clear signs of traction. Read more
Ola co-founder Ankit Bhati is on his way to becoming the Bengaluru-based unicorn’s CEO soon, according to two people aware of the company’s plans. Bhavish Aggarwal, the more well-known founder who’s been heading the show at Ola since the beginning, would likely be named group CEO.
Ola had created a group company back in May, making Foodpanda, the India cab business and the international operations subsidiaries of the group.
The group structure was planned keeping in mind Ola’s international expansion.
In a latest move, the cab aggregator has sent an exploratory team to Nairobi (Kenya) looking to set up operations there. Read more
Maruti Suzuki to slip into single-digit growth lane in FY19 after 4 years
The country’s biggest carmaker, Maruti Suzuki, will have to settle for a single-digit volume growth in 2018-19 fiscal year after four consecutive years of a double-digit sales expansion.
The company, which sells every second car in the world's fifth biggest market, India, had set a target of double-digit growth at the beginning of the year. However, a combination of factors such as Kerala floods, record high fuel prices and an increase in insurance cost impacted the demand from the second quarter onwards. Read more
Tata Beverages plans to add milk power to biz, in buyout talks with firms
The branded tea, coffee and water arm of the Tata group is now evaluating three to four firms for a possible buyout, according to a person familiar with the discussions.
“The company is doing due diligence of three to four companies, including a Hyderabad-based one, and should be able to close a deal by March,” said the person. “Dairy will be the company’s prime focus area as it offers an opportunity for local procurement and global marketing.” Read more