Page 7 - Banking System

S&P Global downgrades outlooks on 5 regional US banks to 'negative'

It downgraded First Commonwealth Financial, M&T Bank , Synovus Financial, Trustmark and Valley National Bancorp

Improving confidence

A healthy banking system will support growth

Bank direct lending to NBFCs to moderate at Rs 1.7-1.9 trn in FY25: ICRA

That's because of the recent rise in risk weights by the Reserve Bank of India for NBFC exposures

FinMin asks PSBs to ensure compliance in withdrawal from Rera accounts

RERA Act, 2016 mandates the funds from escrow accounts can only be accessed by the promoter after certification from a practising architect, engineer, and chartered accountant

Depositors can claim their unclaimed amount refund from DEA Fund

However, if the deposit amount is above the insurance coverage of DICGC, then the liquidator can claim the amount only on a reimbursement basis

'RBI likely to take delivery of maturing $5 bn FX swap next week'

Taking delivery of the FX swap would infuse around 400 billion rupees but cash outflows towards direct taxes are expected to ensure a sustained deficit in the system

Bank holidays in March 2024: Everything you need to know about 14 days

For the month of March 2024, banks are set to stay shut for at least 14 days. These holidays are determined by the RBI and state governments and include both public and regional holidays

Uttar Pradesh govt asks banks to increase credit flow in state economy

The CD ratio currently stands at 59 per cent, lower than the national ratio of 80 per cent

Paytm doubling down on banking partnerships to streamline business

The company is moving swiftly to finalise these partnerships after the Reserve Bank of India (RBI) extended the deadline for restrictions on deposit and credit transactions of Paytm PB to March 15

Amid liquidity crunch, shorter-tenure govt bonds lag 'longer' peers

Investors have favoured longer-tenure government bonds, or g-secs, with insurance companies and pension funds leading the charge by stocking up on those with maturities of 30 years and more

Cracks start to emerge in global central bank's four-year synchronicity

The International Monetary Fund's latest round of forecasts highlights the divergence: an improved US outlook, worse prospects for the euro zone and miserable figures for the UK

Banking laws and regulatory shake-ups

Regulatory action against Paytm's payments bank points to the need for reform of banking regulation

Canara Bank raises Rs 2,000 crore in capital through Tier-I bonds

In January, the country's largest lender SBI raised Rs 5,000 crore in capital through Basel III compliant Additional Tier 1 bonds (AT-I) at a coupon rate of 8.34 per cent amid tight market conditions

Indian Overseas Bank to open 88 new branches this year: MD Srivastava

Public sector Indian Overseas Bank has drawn up expansion plans to open 88 new branches during the year commemorating the 88th Foundation Day celebrations, a top official said on Saturday. The Chennai-headquartered bank marking the occasion unveiled RuPay Credit Card variants, IOB Freedom Savings and Current Account Variant and Digital Documents Execution for online locker agreements. After paying rich tributes to the late M Ct M Chidambaram Chettiyar, who founded the bank on this day in 1937, the bank's Managing Director Ajay Kumar Srivastava said they plan to open 88 new branches during the year. "This bold expansion initiative underscores the bank's unwavering dedication to offering comprehensive financial services, thereby fostering economic vibrancy and inclusivity in communities spanning the length and breadth of the nation," he said. Meanwhile, Indian Overseas Bank said it has increased the interest rates on Rupees Retail Term Deposits for 444 days by 20 basis points with ..

RBI conducts two VRRR auctions again to balance liquidity within system

Market participants are attempting to address the uneven liquidity and absorb the excess liquidity resulting from government spending, stated a dealer at a primary dealership

UPI payments failing amid server outages; NPCI working with banks

Regret inconvenience on UPI connectivity as few of the banks are having some internal technical issues, NPCI said in a statement

RBI's liquidity drain signals tight cash conditions may stay: Economists

'April policy would be a better time to take a fresh view on liquidity situation for FY25'

Bank credit growth may slow in FY25 on tight liquidity: S&P Global Ratings

Reflecting a robust economic growth, bank credit grew 16 per cent year-on-year (Y-o-Y) till January 12 in the current financial year against 16.5 per cent growth last year

Rs 2,000 notes in circulation down to Rs 8,897 cr, 97.5% returned: RBI

The Reserve Bank of India (RBI) on Thursday said nearly 97.5 per cent of the Rs 2,000 bank notes have been returned to the banking system, and only about Rs 8,897 crore worth of the withdrawn notes are still with the public. On May 19, 2023 the RBI announced the withdrawal of Rs 2,000 denomination bank notes from circulation. "The total value of Rs 2,000 banknotes in circulation, which was Rs 3.56 lakh crore at the close of business on May 19, 2023, when the withdrawal of Rs 2,000 banknotes was announced, has declined to Rs 8,897 crore at the close of business on January 31, 2024," the RBI said in a statement. Thus, 97.5 per cent of the Rs 2,000 banknotes in circulation as on May 19, 2023, has since been returned, it added. "The Rs 2,000 banknotes continue to be legal tender," the RBI added. People can deposit and/or exchange Rs 2,000 bank notes at the 19 RBI offices across the country. People can also send Rs 2,000 bank notes through India Post from any post office to any of the

China boosts stimulus by cutting reserve requirement ratio for banks

Hours after the announcement, regulators added more measures to bolster the slumping property and stock markets