LIC Housing Finance on Wednesday said it has raised Rs 810 crore by issuing preference shares to its promoter, LIC. Three crore equity shares of face value of Rs 2 each at a premium of Rs 268 per share were issued to LIC on preferential basis, LIC Housing Finance said in a filing on the Bombay Stock Exchange. The fund infusion would help raise capital adequacy ratio.

LIC Housing raises Rs 810 crore

Press Trust of India

Liquidity may come under pressure as the amount in weekly auctions of government securities goes up with the increase in the yearly borrowing target, and likelihood of completing 60 per cent of the programme in the first half of the next financial year.

Higher weekly auctions to weigh on liquidity in first half

Business Standard

Power Finance Corporation (PFC) plans to raise about Rs 40,000 crore in the next financial year. It aims to raise about Rs 3,000 crore through domestic corporate bonds. The bond issue of the government-owned non-banking financial company opened today and would close tomorrow.

Power Finance Corp to raise Rs 40,000 cr in 2012-13

Housing finance companies (HFCs) may be able to access external commercial borrowings (ECBs), a route allowed in the Budget, while the aviation and power sectors would face hurdles in accessing this financing window.

Gain for realty, a struggle for aviation & power

The Reserve Bank of India (RBI) on Wednesday released guidelines on the gold loan business of non-banking financial companies (NBFCs), prescribing a minimum Tier-I capital of 12 per cent and loan-to-value (LTV) ratio of 60 per cent. It also restricted NBFCs from offering loans against gold bullion and coins.

Reserve Bank moves to curb gold loans

The growth in bank deposits slowed to a four-month low of 13.7 per cent, while advances soared 16.3 per cent in the fortnight ended March 9, according to data released by the Reserve Bank of India (RBI).

Deposit growth falls, advances surge

Almost one in every three borrowers did not repay loans to microfinance companies since the industry plunged into a crisis in October 2010. In absolute terms, close to 9.2 million customers (almost equal to Mumbai&rsquo;s suburban population) have defaulted on loan repayment. Microfinance institutions currently have around 32 million clients in the country.

At 9.3 mn, a third of MFI borrowers are defaulters

The Reserve Bank of India's (RBI) recent guidelines for the gold loan sector will significantly moderate the growth and profitability over the next year, said a Crisil report.

RBI norms to moderate gold loan companies' growth: Crisil

Banks are on the brink of exhausting the held-to-maturity (HTM) cap, which protects them from mark-to-market losses, and may approach the regulator for some relaxation, in order to support the government&rsquo;s high borrowing programme.

Banks may run out of cover to shield trading losses

The Reserve Bank of India's recent guidelines for the gold loan sector will significantly moderate the growth and profitability over the next year, said a Crisil report.

RBI norms will moderate growth of gold loan companies, says Crisil

The appointment of a third executive director (ED) in public sector banks, scheduled on April 1, has been delayed due to bureaucratic hurdle.

Third ED appointment in large banks delayed

Looking for a loan against gold jewellery? Banks may be a better option, when compared to non-banking finance companies (NBFCs). Reason: while the Reserve Bank of India has prescribed a loan-to-value ratio (LTV) of 60 per cent for NBFCs, banks offer an LTV of up to 90 per cent, higher by 30 per cent.

Loan against gold: Banks a better option

Infosys, India&rsquo;s second largest IT services provider on Thursday said ING Belgium, one of the leading banks in Belgium, has selected Finacle for its core banking transformation. Finacle is the universal banking solution of Infosys. Finacle will transform ING Belgium&rsquo;s existing legacy systems to provide future-ready technology which can be customised to meet the bank&rsquo;s on-going operational, product and regulatory requirements, the Bangalore-based company said in a statement.

ING Belgium to deploy Finacle 

The Reserve Bank of India&rsquo;s tomes on interest-rate policy made Subir Gokarn despair when he was a Standard &amp; Poor&rsquo;s economist. Now a deputy governor, he&rsquo;s part of the biggest communication overhaul in the bank&rsquo;s 77-year history. &ldquo;That really wasn&rsquo;t the best way to do it,&rdquo; Gokarn, who joined the RBI in 2009, said in an interview last month.

Subbarao boosts transparency in RBI 

Finally, there is a ray of hope for small micro-lenders in Andhra Pradesh. A year ago Finance Minister Pranab Mukherjee had proposed creation of a dedicated fund to provide equity to assist small microfinance institutions in expanding operations.

Equity fund offers hope for microfinance firms

Amissive from the Securities and Exchange Commission (SEC) of the United States directing all investment managers managing $120 million (Rs 600 crore) or more to register with itself could hit inflows into the Indian market in the next few months, according to several foreign fund managers at the Future of Financial Markets Seminar organised by Financial Technologies here today.

Dodd-Frank law likely to hit foreign inflows

Public sector Union Bank of India (UBI) on Thursday announced a decline in its interest rate on loans for home and small and medium enterprises (SME) from April.

Union Bank slashes home loan rates 

Promoters of leading gold loan company Muthoot Finance may dilute their stake by up to 10 per cent to raise funds in the next financial year. &quot;We are exploring options to raise fresh equity for long- term resources to an extent promoters' holding dilution of another 10 per cent from 80 per cent now,&quot; Muthoot Managing Director George Alexander Muthoot said.

Muthoot promoters may dilute 10% stake

High dollar demand from Indian companies to redeem their foreign debt obligations, coupled with month-end requirements of oil importers, on Thursday pushed the rupee-dollar exchange rate beyond 51 levels, last seen two months ago. The absence of dollar supply from the Reserve Bank of India (RBI) in the spot market also triggered a rush in the market as importers covered their positions, fearing further depreciation in the Indian currency.

Re weakens amid pressure on debt redemption

Public sector lender IDBI Bank today said it had collected Rs 1 lakh crore of central tax through its network in the current fiscal.

IDBI Bank collects Rs 1 lakh cr of central tax

Come April 1 and cheques and bank drafts will be valid only for 3 months, a development that RBI thinks will help mitigate frauds related to such instruments.

Cheques, drafts to be valid for 3 months from April

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