BFSI summit highlights: Not acquisition but integration a challenge, says Razorpay's MD

Business Standard BFSI Summit 2024 updates: Catch all the updates related to the BFSI summit here

7:17 PM

RBI ensures ecosystem safety: Shashank Kumar, co-founder & MD, Razorpay

“As a start-up, we are here to solve customer problems. But as a regulator, the Reserve Bank of India (RBI) ensures ecosystem safety,” Shashank Kumar said. 

 “Without regulation, it would be the wild, wild west,” he added.

7:13 PM

Secret sauce to success is our company culture and DNA: Shashank Kumar, co-founder & MD, Razorpay

"In the last 10 years, razorpay has acquired 8 companies -- secret sauce to success is our company culture and DNA.. we are a bottom-up organisation; we don't have a top-down approach.. we have 50 different teams working towards their separate goals.. that allows us to work very fast and launch new products," Shashank Kumar said at the BFSI Fireside chat.

7:02 PM

Over 10 years, our experiences have made us resilient, says Shashank Kumar, MD, Razorpay

6:40 PM

NBFCs should not generalise the actions of RBI, Vishaka Mulye CEO, Aditya Birla Capital

"We should not generalise the actions of RBI, its not very different from what has happened before but this time around its enactment has been a bit different. Banks are cautious about lending not just because of the mandate, it differentiates one NBFC to the other," says Vishaka Mulye.

6:20 PM

RBI concerns around NBFCs are protecting customer interests: Umesh Revankar, Executive VC, Shriram Finance

"NBFCs are largely dependent on banks for raising resources. There are new arrangements like co lending coming in. RBI trying to make it more responsible lending and systematic. RBI concerns around NBFCs have been towards protecting customer interests,"  Umesh Revankar, executive VC, Shriram Finance said today.

5:48 PM

No obvious governance issue SFBs are not addressing: Ajay Kanwal, CEO, Janalakshmi financial services

"SFBs (small finance banks) are the only banks who meet their customers every month and get money from them," Ajay Kanwal said. There is no obvious governance issue we are not addressing, he added.

5:24 PM

All customer grievance mechanisms are in place, K Paul Thomas, founder, ESAF Small Finance Bank

"For better customer service, we have adequate systems in place at different levels. customers have the right escalate to senior levels as well. There may be a few exceptions but largely, all customer grievance mechanisms are in place,"  K Paul Thomas said.

5:19 PM

Will not become Universal Bank for next three years: R Baskar Babu, CEO, Suryoday SFB

"Each one of us is doing well regionally but turning into a universal bank will help us enter new territory. However, I would not give it a shot for next three years," says R Baskar Babu.

5:12 PM

Cost of deposits will go down in a commercial bank, says Ajay Kanwal,

"We are bigger than lot of universal banks in size, we have a profitable mode. We are growing very fast. One big advantage of turning into a commercial bank is that the risk factor goes down as per customer's perspective.. employees will feel happy, and so will investors. Cost of deposits will go down," Ajay Kanwal, CEO,Jana SFB said. 

4:00 PM

Exiting consumer business in India was a global decision: Ashu Khullar, CEO of Citibank

"You need to have scale and size to make the business profitable. We see a double digital CAGR for growth in India. On multiple levels, India is highly strategic for Citibank, says Ashu Khullar.

3:40 PM

There should be flexibility in terms of offering differential rates: Prashant Kumar, MD & CEO, Yes Bank

"In the name of innovation, we don't want to make things complicated. Today, there is no differentiation in terms of rate of interest, which we offer to our customers, irrespective of the risk profile. Additively, if I have to offer a rate of interest, I have to offer the same rate of interest to all customers, depending on the lcr. I feel there should be a flexibility in terms of offering the differential rates, which is definitely going to help the large number of population," Prashant Kumar said.

 

3:19 PM

BFSI update: I always tell my staff to go for cross selling but no malpractices, says Rakesh Sharma, IDBI Bank

Customer has to spread their money to earn the best rate of interest, Sharma said.

3:15 PM

Surplus money with people is now moving to other avenues: Prashant Kumar, Yes Bank

"Mobilisation of deposits is not a big challenge. The surplus money with people is now moving to other avenues. Money in motion is in anyway part of the banking system. If I have an avenue for deployment, I will need to see if I have to do it for the short-term, long-term, high-risk or low risk. The money in circulation is more now," Prashant Kumar said.

2:46 PM

Low deposits impact profitability: Rakesh Sharma, Head, IDBI Bank

"In 2011-12, saving rate was about 39%. Now, consumption rate has gone up. Also, other investing opportunities are available. Bank deposits are safe. People must assess their own risk appetite. Bankers will have to provide convenience to customers - through both digital and physical branches. Low deposits do impact our profitabiity...we will have to come up with more innovative schemes to shore up deposits, Rakesh Sharma said.

 

1:22 PM

Banks are looking at ways to deliver additional value to customers, says SBI chairman

Setty said that deposit mobilisation has become a top priority across the banking sector.