Page 53 - Finance News
From exporters to bond traders, RBI facing increasing calls to step in
It's a familiar pattern: when local or global forces threaten market equilibrium, the Reserve Bank of India is typically expected to step in
 "From exporters to bond traders, RBI facing increasing calls to step in")
India hoped for 'big' GST reform, received only a revised rate card
India's long-overdue GST cut is hailed by PM Modi as the nation's 'biggest reform', with carmakers cutting prices and asset managers calling it a 'landmark reset', yet markets stay muted
 "India hoped for 'big' GST reform, received only a revised rate card")
UK PM Starmer to attend Global Fintech Fest 2025 alongside PM Modi
UK Prime Minister Keir Starmer will join PM Modi at Global Fintech Fest 2025, the first foreign head of state to do so, with AI, licensing and stablecoins set to dominate discussions
 "UK PM Starmer to attend Global Fintech Fest 2025 alongside PM Modi")
FPIs net sellers of G-secs under FAR in FY26, inflows return in Q2
FPIs sold Rs 17,262 crore of government securities under FAR in FY26 so far, but Q2 has seen a turnaround with Rs 14,540 crore in inflows as bond yield spreads widened
 "FPIs net sellers of G-secs under FAR in FY26, inflows return in Q2")
Madras HC sets aside EPFO circular, clears path for higher pension claims
The Madurai bench of Madras HC has struck down an EPFO circular that blocked retrospective PF trust rule changes, enabling employees of exempted firms to seek higher pensions
 "Madras HC sets aside EPFO circular, clears path for higher pension claims")
Six states raise ₹14,900 cr in bond auction; Nagaland rejects bids
Six states borrowed Rs 14,900 crore at the weekly auction while Nagaland did not accept bids for its 10-year bond as long-term state bond yields fell sharply this week
 "Six states raise ₹14,900 cr in bond auction; Nagaland rejects bids")
8th pay panel payout likely to trigger rate hike cycle in FY27: Report
Payout with sizeable arrears will hit core inflation harder, as it propels demand for goods and services overtime, and leads to an instantaneous reset of housing rents
 "8th pay panel payout likely to trigger rate hike cycle in FY27: Report")
Need proactive outreach for easy transition to new GST rates: CBIC chief
The GST Council, in its meeting last week, has approved to make Goods and Services Tax (GST) a two-tier structure of 5 and 18 per cent, with special rate of 40 per cent on tobacco and related products
 "Need proactive outreach for easy transition to new GST rates: CBIC chief")
PSBs shut 1.5 mn inoperative Jan Dhan accounts in 1-time exercise in April
Launched in August 2014, PMJDY was launched by Prime Minister Narendra Modi as a financial inclusion programme to provide access to banking services to a vast unbanked population
 "PSBs shut 1.5 mn inoperative Jan Dhan accounts in 1-time exercise in April")
MFI credit cost to moderate to 4-4.5% in FY26, 3-3.5% in FY27: ICRA
ICRA expects MFI credit cost to fall after surging in FY25, easing to 4-4.5% in FY26 and 3-3.5% in FY27, with AUM growth seen resuming at 8-12% as RBI relaxes norms
 "MFI credit cost to moderate to 4-4.5% in FY26, 3-3.5% in FY27: ICRA")
Banks urge RBI to extend G-Sec issuances into March amid heavy supply
Urge state bond auction via uniform pricing; more of shorter tenure bonds in H2
 "Banks urge RBI to extend G-Sec issuances into March amid heavy supply")
Ujjivan SFB to raise ₹2,000 crore via QIP; awaits RBI licence decision
Ujjivan SFB will raise Rs 2,000 crore through QIP in 18-24 months to fund growth towards a Rs 1-trillion loan book by FY30 while awaiting RBI's call on a universal bank licence
 "Ujjivan SFB to raise ₹2,000 crore via QIP; awaits RBI licence decision")
UPI usage at bars, food joints rises in August; discretionary spending up
While discretionary spending through UPI increases, at the same time, more than 20 million AutoPay mandates continue to be revoked each month, mainly due to insufficient balances
 "UPI usage at bars, food joints rises in August; discretionary spending up")
New co-lending norms may reduce bank and NBFC volumes in near term
RBI's new co-lending norms may shrink volumes in the short term as NBFCs face tech, cost and compliance hurdles - but lenders expect long-term growth once systems adapt
 "New co-lending norms may reduce bank and NBFC volumes in near term")
It's time to get started, put money in deals: M&A financing opens up
Bank financing of M&As will be like any other business and only needs guardrails
 "It's time to get started, put money in deals: M&A financing opens up")
UPI autopay revocations hit 20 mn per month on low customer balance
UPI AutoPay enables users to generate a recurring e-mandate using any UPI payments application. It allows users to set timely mandates to pay using UPI on a periodic basis
 "UPI autopay revocations hit 20 mn per month on low customer balance")
Centre may introduce Bill in winter session to replace tobacco GST cess
New levy could follow full repayment of GST compensation loans, keeping overall tax incidence on tobacco products high
 "Centre may introduce Bill in winter session to replace tobacco GST cess")
Rupee hits new low on additional tariff fears and foreign outflows
High bond yields have bearing on borrowing, says FM
 "Rupee hits new low on additional tariff fears and foreign outflows")
Karur Vysya Bank cuts MCLR by 10 bps across all tenors from Sept 7
It is to be noted that the Reserve Bank of India (RBI) last month kept its benchmark lending rate unchanged at 5.5%
 "Karur Vysya Bank cuts MCLR by 10 bps across all tenors from Sept 7")
Corporate fundraise slows to Rs 1.2 trn as yields harden in July-August
After raising Rs 3.4 trillion in Q1FY26, corporates tapped only Rs 1.2 trillion in July-August as rising G-sec yields and fiscal worries curbed bond market activity
 "Corporate fundraise slows to Rs 1.2 trn as yields harden in July-August")