State Bank of India (SBI), the country's largest lender, today ruled out any immediate hike in savings deposit rates, even as private sector lenders have raised interest within days of the Reserve Bank of India (RBI) deregulating such rates.

No immediate hike in savings deposit rates: SBI

Press Trust of India

Amid rising concerns about funding for the power sector, public sector lender Punjab National Bank (PNB) has started restructuring loans doled out to State Electricity Boards (SEBs), many of which are deep in the red.

PNB starts restructuring loans to state electricity boards

The country's largest lender State Bank of India (SBI) today said the Finance Ministry has given an assurance that the bank would be adequately capitalised by March 2012, but it has not yet decided on the route it will take for the same.

SBI to get capital infusion by March: Chaudhuri

Public sector Dena Bank aims to achieve Rs 1.5 lakh crore business with a growth of 20% during this fiscal, according to a top bank official.

Dena Bank aims to hit Rs 1.5 lakh cr mark by 2013

RBI&rsquo;s deputy governor concerned about current account deficit.

Focus on exports necessary, says RBI

Business Standard

State-run Indian Overseas Bank is expecting a capital infusion of up to Rs 1,450 crore from the government by February 2012, a top official said here on Tuesday.

IO Bank expects capital infusion from govt

Bond yields jumped close to the nine per cent mark during intraday trade, as traders sold the current 10-year benchmark bond on Tuesday. Yesterday, the Reserve Bank of India (RBI) had said a new 10-year bond would be auctioned this week. The announcement came after market hours.

Bond yields harden ahead of new benchmark, rupee down

Punjab National Bank (PNB) on Tuesday reported 12.1 per cent rise in its net profit to Rs 1,205 crore for the second quarter ended September, against Rs 1,074.5 crore in the same period last year. The increase in profits was better than expected, as the country&rsquo;s largest nationalised lender saw a good growth in interest income.

PNB net profit up 12%

State-run lender, Central Bank of India posted a decline in net profit due to higher provisioning made on bad loans in the July-September quarter. The bank&rsquo;s net profit was at Rs 244 crore for the quarter ended September, lower by 35.62 per cent as compared to Rs 379 crore in the corresponding quarter last year.

Central Bank of India Q2 net down 35%

State Bank of Hyderabad (SBH), an associate bank of SBI, reported a 12.27 per cent decrease in net profit to Rs 232.04 crore for the quarter ended September 30, 2011, due to higher interest expenditure and higher provisioning for non performing assets (NPA). Net profit in the corresponding period last year stood at Rs 264.48 crore. The bank's retail lending registered poor returns impacting the overall profitability during the three-month period.

SBH net down 12%

State-run Indian Bank reported a 12.7 per cent increase in its net profit to Rs 469 crore for the second quarter ended September 30 2011, as against Rs 416 crore during the same period a year ago. Bank&rsquo;s chairman and managing director TM Bhasin attributed the growth primarily to the increase in net interest income (NII) and non-interest income.

Indian Bank Q2 net up 13%

Even as leading banks set their eyes on India&rsquo;s largest public sector lender, State Bank of India (SBI), for a cue on increasing their savings deposit rates, SBI seems to be in no mood to raise this, at least for some time.

Won't raise savings deposit rate for now: SBI chairman

Canara Bank, the Bangalore-based public sector lender, plans to raise a business of Rs 125 crore from financial inclusion villages across the country. The bank has till now opened 125 branches in as many gram panchayats where there is no banking facility available, a top official said.

Financial inclusion to earn Rs 125 cr for Canara Bank

Limited branch networks are unlikely to persuade foreign banks in India to increase the interest rate on savings deposits aggressively, since most of these lenders have a high proportion of low-cost retail deposits in their total deposit base.

Foreign banks may skip savings deposit rate war

The Karnataka Vikas Grameena Bank (KVGB) has started &lsquo;Recovery Counselling Centers&rsquo; across all its regional offices to provide a major boost to recovery of long-pending arrears.

KVGB launches 'recovery counselling centres'

Public sector banks are busy deputing manpower to under-staffed debt recovery tribunals (DRTs), after the finance ministry asked them to temporarily fill positions vacant since a few months. According to bankers, Rs 2 lakh crore of loans are stuck in DRTs, which were once established to provide banks with speedy resolution and recovery of disputed loans.

Banks to assist debt recovery tribunals

The Reserve Bank of India on Wednesday said banks may offer structured derivative products to customers for hedging risk. These should not contain any underlying derivative.

RBI okays new rules for structured derivative offers by banks

With a dip in the demand for fresh loans due to sharp rise in interest rates and increased prepayments, growth in the mortgage (home loan) market would be 15 per cent in 2011-12 against 18 per cent in 2010-11, says an Icra study.

Home loan growth to moderate to 15%: Icra study

Tata Capital, a non-banking finance company floated by Tata Group, has reported a 61 per cent increase in net profit to Rs 71.3 crore for the second quarter ended September, against Rs 44.7 crore in the same period last year.

Tata Capital net up 61% at Rs 71 cr

Italian banks are also looking at opportunities to establish their offices in India, said Pierfrancesco Gaggi, director of Italian Banking Association, ABI.

Italian banks keen to start India operations

Commercial banks are getting tougher with real estate developers, asking for supporting documents in advance and increasing scrutiny while sanctioning loans to safeguard risks in such loans.

Banks get tougher with realty firms

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