Page 29 - Banking

Private banks see steepest fall in credit growth to 9.5% in FY25: RBI

RBI data shows private banks led credit slowdown in FY25, while retail loans grew faster than overall credit and savings deposit share continued to decline

Central Bank acquires 25.18% stake in Future Generali India Life Insurance

At present, Central Bank of India has 25.28 per cent stake in FGILICL, which had earned a gross written premium of Rs 1,810.53 crore in FY24

India may ease bank ownership rules as foreign interest, capital needs grow

Analysts say foreign banks are keen for deals in India, the world's fastest-growing major economy, especially as it angles for regional trade agreements

Govt extends tenure of Punjab & Sind Bank MD S K Saha till Feb 2027

According to an official notification issued by the Department of Financial Services under the Ministry of Finance, Saha's current term was set to end on June 2, 2025

Bank credit growth slows to 6.7% in first half of April, shows RBI data

Bank credit growth slowed to 6.7% in April, with faster growth in metals and textiles but slower in infrastructure and agriculture. RBI data highlights changes in services and personal loans credit

Interest rates on fresh deposits declined sharply by 35 bps in April

Fresh deposit rates declined more sharply than lending rates in April, as RBI's policy easing and surplus liquidity support rate transmission across the banking system

Banks set to miss fourth deadline to roll out cassette-swap system for ATMs

Banks, cash handling firms, and managed service providers are yet to work out the absorption of costs involved in the trade as well as the logistics of switching to the new system

Sixty one per cent of floating rate loans linked to EBLR as of Dec 2024

Meanwhile, loans linked to marginal cost of funds based lending rate (MCLR) has reduced to 36 per cent as of December 2024, Reserve Bank of India (RBI) annual report revealed

Reserve Bank of India lens on payment fintechs over misclassified merchants

Several payment aggregators are said to have misclassified merchants, typically in the retail category, under utility - a segment that traditionally draws lower interchange rates

Lenders told to monitor gold loan portfolios, ensure checks in place: RBI

RBI urges banks and NBFCs to improve gold loan oversight, citing lapses in LTV monitoring, risk assessment, and auction transparency in its annual report

Parliamentary panel flags 'ambiguities' in IBC; govt mulls amendments

Following the status quo put on BPSL's liquidation, a parliamentary panel has deemed the existing IBC not up to the mark

FinMin asks sponsor banks to draft 5-year growth plan for RRBs

The finance ministry has also asked the sponsor banks of RRBs to submit action plans for expansion of branches and business of RRBs in the next five years

Banks, NBFCs shift focus away from unsecured loans to loan against property

As stress continues to linger in the unsecured segment of retail lending, LAP has emerged as an attractive avenue for banks and NBFCs besides gold loans

NFRA gets IndusInd Bank complaint; in talks with RBI to avoid probe overlap

The authority, however, is in talks with the Reserve Bank of India (RBI) to cross-check the investigations, including a forensic audit, that the central bank has conducted so far to avoid duplication

Karur Vysya Bank expects 2% more credit growth than industry in FY26

The Tamil Nadu-based bank has lined up plans to open 28 new branches before the first half of the current financial year, particularly in Southern and Western parts of the country, the Bank's CEO

Banks must offer KYC update to reactivate inactive accounts: RBI draft

RBI's draft proposes KYC updates at all bank branches and via video to ease activation of inoperative or unclaimed accounts and reduce dormant deposit numbers

RBI eyes interest rate relief for borrowers with co-lending rules

Message conveyed at meet between RBI officials & fintechs

Punjab & Sind Bank, IoB chiefs likely to get extended tenures soon

"Granting extension of tenures to PSB & IOB MDs is at a final stage. Both MDs have two years of services left. The final notification will come soon," said the source

Emirates NBD gets RBI in-principle nod to set up wholly owned subsidiary

Dubai-based Emirates NBD has received RBI's in-principle approval to convert its three India branches into a wholly owned subsidiary to deepen domestic banking services

SBI slashes domestic term deposit rates by 20 basis points across tenors

SBI cuts fixed deposit rates by 20 bps across tenors from May 16, citing improved liquidity and policy rate cuts; highest interest now at 6.7 per cent for 2-3 years