Page 112 - Finance News
Customers panic as RBI bans withdrawals from New India Co-operative Bank
RBI imposed severe restrictions on New India Co-operative Bank, including a ban on withdrawals for six months, due to concerns over the bank's financial stability
 "Customers panic as RBI bans withdrawals from New India Co-operative Bank")
Overall bank exposure to NBFCs moderates, but remain primary source
Overall bank exposure to NBFCs as share of total bank credit declined in 2023-24, which bodes well for overall financial stability, according to the Reserve Bank of India
 "Overall bank exposure to NBFCs moderates, but remain primary source")
Business correspondents to undergo digital audit, new training models
New audit envisages banks using digital technologies like video-based interviews, geo-tagging technology, and transaction-based controls, committee to be headed by top SBI official
 "Business correspondents to undergo digital audit, new training models")
NBFCs urge RBI to raise ECB limit, ease loan recovery and eKYC rules
NBFCs urge RBI to raise the ECB limit, ease SARFAESI norms for small loans, expedite eKYC approvals, and relax asset classification rules for alternative vehicle financing
 "NBFCs urge RBI to raise ECB limit, ease loan recovery and eKYC rules")
RBI flags FEMA breach in overseas guarantees, seeks corporate compliance
RBI directs state-owned banks to ensure corporates admit and pay penalties for violating FEMA rules by securing performance guarantees from overseas financial institutions
 "RBI flags FEMA breach in overseas guarantees, seeks corporate compliance")
Rupee rises 8 paise to 86.85 against US dollar during early trade
The local unit, however, remained under pressure due to unabated foreign fund withdrawal and higher crude oil prices
 "Rupee rises 8 paise to 86.85 against US dollar during early trade")
IBBI mandates timely reporting of insolvency assignments on portal
In case of closed cases, the IP will have to add the assignment by March 31. However, for closed cases related to personal guarantors, the deadline has been extended to April 30, 2025
 "IBBI mandates timely reporting of insolvency assignments on portal")
ARCs acquire Rs 1.14 trillion worth of dues in April-December 2024
Recoveries to touch Rs 38,000 crore
 "ARCs acquire Rs 1.14 trillion worth of dues in April-December 2024")
The new Income Tax Bill FAQs: I-T department answers key questions
The FAQ further said that while "no major policy-related changes" or tax rates changes have been made in the I-T Bill, "material" changes are being proposed in the existing law
 "The new Income Tax Bill FAQs: I-T department answers key questions")
Bank of Baroda gets board approval to raise up to Rs 8,500 crore equity
Approves extra time for AT1 and Tier-II debt capital issuance
 "Bank of Baroda gets board approval to raise up to Rs 8,500 crore equity")
Rupee's two-day RBI-driven surge peters out despite rally in regional peers
The Reserve Bank of India (RBI) is believed to have intervened heavily on Monday to prevent the rupee from breaching 88 per dollar and then again on Tuesday for further support
 "Rupee's two-day RBI-driven surge peters out despite rally in regional peers")
Ensure fair customer treatment, address their grievances: RBI Guv to NBFCs
Highlighting the collaborative efforts required between the Reserve Bank and the NBFCs, the Governor stressed upon balancing growth aspirations with sound practices for ensuring inclusive development
 "Ensure fair customer treatment, address their grievances: RBI Guv to NBFCs")
FM presents new I-T Bill in LS, to be reviewed by a standing committee
The Income Tax Bill 2025 will undergo review by a standing committee before being sent back to the government for approval. Thus it will some time for it to be passed in the Parliament
 "FM presents new I-T Bill in LS, to be reviewed by a standing committee")
Exim Bank to provide $300 mn credit to Vietnam for boats, patrol vessels
The bank had also entered into an agreement with GO-VNM for making available to the latter, India supported LoC of $120 million for procurement of high-speed guard boats
 "Exim Bank to provide $300 mn credit to Vietnam for boats, patrol vessels")
New Income Tax Bill tabled in LS: Here's what's changing & what's not
If passed, the new Income Tax Bill, 2025 will replace the Income Tax Act of 1961 and come into effect on April 1, 2026
 "New Income Tax Bill tabled in LS: Here's what's changing & what's not")
Liquidity easing to moderate pressure on banks' net interest margins: Fitch
The Indian banking sector's NIM remains healthy at 3.5 per cent as of the first half of FY25, although it has declined from about 3.6 per cent in FY24, partly due to the upward repricing of deposits
 "Liquidity easing to moderate pressure on banks' net interest margins: Fitch")
RBI allows Temasek subsidiary to raise stake in AU Small Finance Bank
Zulia Investments holds 1.37% stake in India's largest small finance bank
 "RBI allows Temasek subsidiary to raise stake in AU Small Finance Bank")
Banks' margins to take 10 bps hit in FY26 due to rate cuts: Fitch Ratings
Last week, the RBI started its rate-cutting cycle by lowering its key policy rate by 25 bps to 6.25 per cent and said it would be watchful and proactive with liquidity measures
 "Banks' margins to take 10 bps hit in FY26 due to rate cuts: Fitch Ratings")
Rupee set for losses as RBI focuses on monetary easing, rising volatility
The rupee's recent gyrations mark a departure from its stability in the past two years, and the moves are testing new central bank chief Sanjay Malhotra's tolerance in dealing with swings
RBI lifts restrictions on Kotak Mahindra Bank on onboarding new customers
In April last year, the RBI placed restrictions on the bank as it failed to plug gaps in its information technology (IT) systems
 "RBI lifts restrictions on Kotak Mahindra Bank on onboarding new customers")