Page 694 - Finance News
DHFL assigned default rating; MFs with high exposure see 30-50% drop in NAV
CRISIL and Icra assigned 'D' rating to DHFL's commercial papers, anticipating a default, while CARE Ratings marked D, or default, the housing finance firm's all long-term facilities
 "DHFL assigned default rating; MFs with high exposure see 30-50% drop in NAV")
DHFL crisis: How the housing finance giant's fortunes took a downward turn
A strong brand in tier-II and lower cities, DHFL was an AAA-rated company till February 3, when it was downgraded to AA+ by CARE Ratings. A series of downgrades has eroded its stock by half since then
 "DHFL crisis: How the housing finance giant's fortunes took a downward turn")
Premium for third-party motor insurance to be raised from June 16
Earlier, it had issued an exposure draft on May 20, proposing a hike in motor third party insurance premiums and had invited comments from various stakeholders
 "Premium for third-party motor insurance to be raised from June 16")
SFIO probe shows IFIN's exposure to AAA borrowers dropped to zero by 2017
In its first charge sheet filed against the group, the SFIO found gross violations by the company while doing credit appraisal and monitoring
 "SFIO probe shows IFIN's exposure to AAA borrowers dropped to zero by 2017")
Indian banks need to expand their global banking relationship, says report
While domestic banks account for a significant portion of such credit, its distribution is significantly skewed
 "Indian banks need to expand their global banking relationship, says report")
Game-changers? Small finance banks fail to make a dent in banking space
The latest available RBI consolidated data tells us that in FY18, these banks reported positive earnings before provisions and taxes, but high provisioning on account of the elevated
 "Game-changers? Small finance banks fail to make a dent in banking space")
Allahabad Bank aims at turnaround, hopes to return in black in this quarter
Kolkata-based lender Allahabad Bank had posted a loss of Rs 8,334 crore last fiscal
 "Allahabad Bank aims at turnaround, hopes to return in black in this quarter")
Fitch downgrades ICICI Bank rating from BBB- to BB+ amid banking distress
The rating action comes amid the challenges the bank faces in its operating environment, Fitch Ratings said in a statement
 "Fitch downgrades ICICI Bank rating from BBB- to BB+ amid banking distress")
Microfinance sector wants banks, NBFCs to come under lending code
These companies are seeking a level-playing field where all lenders in the segment come under a common code, namely the Code for Responsible Lending
 "Microfinance sector wants banks, NBFCs to come under lending code")
Axis Trustee becomes first trustee to start operations in GIFT IFSC
Axis Trustee will provide facility agency services to IFSC banking units for their ECB transactions and trusteeship services to alternate investment funds
 "Axis Trustee becomes first trustee to start operations in GIFT IFSC")
IFC sees green bond scope in India, says project identification only issue
IFC's Vivek Pathak was talking on the sidelines of the creation of the first global green bond fund by IFC and the HSBC Global Asset Management
 "IFC sees green bond scope in India, says project identification only issue")
Monetary Policy: RBI may cut rates, turn 'accommodative' after dismal GDP
The RBI had retained its 'neutral' stance after the rate cut in April but traders said a change in this stance to 'accommodative' will be more comforting for markets
 "Monetary Policy: RBI may cut rates, turn 'accommodative' after dismal GDP")
RBI tweaks large exposure framework for banks; NBFCs to come under scrutiny
Central bank's move may make lending to NBFCs relatively streamlined
 "RBI tweaks large exposure framework for banks; NBFCs to come under scrutiny")
RBI policy review: Rate cut, adequate liquidity needed to support growth
Guidance on systemic liquidity conditions will be crucial, as the pace of transmission of policy rates depends to a large extent on the level of liquidity
 "RBI policy review: Rate cut, adequate liquidity needed to support growth")
Over 6,800 cases of bank fraud involving Rs 71,500 crore in 2018-19: RBI
A total of 5,916 such cases were reported by banks in 2017-18 involving Rs 41,167.03 crore
RBI alters large exposures framework for banks to cut concentration of risk
The modified 'Large Exposures Framework' (LEF) provides exclusion of entities connected with the sovereign from definition of group of connected counter-parties
 "RBI alters large exposures framework for banks to cut concentration of risk")
Debt funding in MFIs up 63% to Rs 35,759 cr in FY19, equity rises 42%
Liquidity improved, despite a challenging scenario, due to better portfolio quality. Barring few pockets where recovery was impacted due to debt waivers, overall delinquencies came down: Experts
 "Debt funding in MFIs up 63% to Rs 35,759 cr in FY19, equity rises 42%")
RBI policy review: Rate cut a certainty after weak GDP data, say Experts
The policy repo rate is at 6%. Retail inflation was at 2.92% in April
Economists caution govt over fiscal stimulus, call for RBI rate cut
The RBI's Monetary Policy Committee will meet this week to take a call on the policy rate
External commercial borrowings down by nearly 20% in April to $3.16 billion
Of the total external commercial borrowings (ECBs) in April 2019, $2.66 billion was raised through the automatic route, $500 million through approval route while the rest through RDBs
 "External commercial borrowings down by nearly 20% in April to $3.16 billion")