Page 10 - Banking

Banking system liquidity turns deficit amid tax payments, GST outflows

Experts said the liquidity crunch is expected to be temporary and will pick up on the back of government expenditure

Banks, NBFCs roll out festival season offers to revive credit demand

Banks and NBFCs are launching festival offers, including lower loan rates, cashback, EMI schemes and GST-linked benefits to tap rising demand ahead of Diwali

Wall Street banks may lean on Indian GCCs, boost hiring after H-1B shakeup

Trump's $100,000 H-1B visa fee can push Wall Street banks to hire more Indian engineers and rely heavily on GCCs in India, according to a report by Bloomberg

Benefits of AI should not overshadow prudent risk management: RBI dy guv

RBI Deputy Governor M Rajeshwar Rao said AI adoption in banking must be measured and responsible, stressing strong governance, ethical use and alignment with long-term stability

IndusInd Bank names Viral Damania CFO amid leadership transition

IndusInd Bank has appointed Viral Damania as CFO and KMP with effect from September 22, while Santosh Kumar will continue as Deputy CFO after ceasing additional duties

SBI expands in Tamil Nadu with 14 branches, rural camps and CSR push

SBI chairman Challa Sreenivasulu Setty inaugurated 14 branches, rural camps and CSR initiatives in Tamil Nadu, reinforcing the bank's focus on financial inclusion and community support

India's banking liquidity crunch seen as temporary, says analyst

The Reserve Bank of India is comfortable with a liquidity surplus of around 1% of banks' deposits, which is roughly 2.5 trillion rupees

Cooperative banks get simplified Aadhaar system to expand financial access

The streamlined approach is expected to make the process more cost-effective and efficient while giving a strong push to last-mile banking and digital inclusion efforts

MFIs see funding fall over 50% in FY25 to Rs 58K crore, seek support line

The industry's fund crunch comes over lenders' fears of asset quality, repayment, and over-leverage, which ties in to the Reserve Bank of India's push for responsible lending

Banks' era of infrastructure funding is over: Nabfid chairman K V Kamath

NaBFID Chairman KV Kamath says banks can no longer be primary infra financiers due to structural limits, with markets and DFIs better placed to meet India's long-term needs

AIBOC condemns unfair labour practices followed by StanChart

Those arbitrarily terminated include Satyajeet Tripathy, General Secretary of ASCBO, Tilottama Roy, president of ASCBO, and four other active members of the union, it said

Banks bid ₹45,783 crore at RBI overnight VRR auction as liquidity dips

Banks bid nearly double the notified Rs 25,000 crore at RBI's overnight VRR auction as surplus liquidity fell to Rs 63,745 crore from Rs 1.89 trillion earlier this week

SMBC becomes Yes Bank's largest shareholder, nominates two directors

Sumitomo Mitsui Banking Corporation has acquired a 20 per cent stake in Yes Bank from SBI and others, becoming its largest shareholder and nominating two board directors

SBI completes 13.18% sale in Yes Bank to Sumitomo Mitsui Banking Corp

The proceeds of the transaction would boost the bottomline of SBI in the second quarter ending September at a time when interest income and margins are under pressure

Finance ministry flags low PSB credit to labour-intensive sectors

The official further added that the advances to agriculture and retail sectors touched 92 per cent and 98 per cent respectively for below the Rs. 10 crore loans category

Banks step up focus on fee-based income; treasury gains come under pressure

Further, bankers said that there is still room to reduce rates on term deposits, and bulk deposit rates have already declined

RBI fines PhonePe ₹21 lakh for non-compliance with PPI regulations

RBI penalises PhonePe Rs 21 lakh for failing to report escrow shortfalls under PPI norms, marking its third penalty since 2019 over compliance issues

Call for paring govt stake in public sector banks, greater board autonomy

The discussion also touched upon the objective of ensuring that at least two public sector banks feature among the world's top 20 banks

MSME lending sees robust value, volume growth, delinquencies also increase

The increase in lending to the MSME sector reflects robust credit demand from small businesses as well as improving credit access supported by the increasing digital lending initiatives

Banks may turn to domestic bond market in H2FY26 for Tier-II bonds

After a lackluster first half in FY2026, banks are likely to turn to fresh Tier-II bonds to strengthen their capital base and to replace earlier issuances raised at a higher coupon rate