Page 28 - Banks

Lagged deposit growth to constrain credit growth for banks in FY25: Report

Lagging deposit accretion poses the risk of constraining credit growth for banks in FY25, India Ratings and Research said on Thursday. Maintaining its "neutral" outlook on the banking sector for FY25, the agency said the deposit growth is likely to moderate to 12-13 per cent in FY25 from the 13.8 per cent estimated for ongoing fiscal year. The loan-to-deposit ratio for the sector is at a five-year high of 81 per cent, which makes deposit growth as a crucial part in banks' credit book expansions, it said. The agency said it expects credit growth to come at 20.5 per cent in FY24, including the positive impact of the HDFC twins merger, and added that the same number will come at over 15 per cent in FY25. The loan book mix for banks is likely to change in FY25 due to the dip in shares of exposures to the retail and non-bank lenders segments, the agency said, adding that a revival in private capex will help increase the share of corporate lending in the overall pie. "The improving retu

NPST bags online dispute resolution solution contract from DCB Bank

Banking and payment services provider NPST on Thursday announced that it has secured a contract for an Online Dispute Resolution (ODR) solution from DCB Bank. Private sector lender DCB Bank will implement NPST's ODR to streamline customer complaint addressal, enhance efficiency and rationalise operational and compliance costs, the company said in a release. NPSI focuses on UPI payments and digital banking solutions. It functions as a Technology Service Provider (TSP) and a Third-Party Aggregator Provider (TPAP), it said. "NPST's Online Dispute Resolution solution aligns with DCB Bank's customer-centric ethos, ensuring safe and secure payments while fostering loyalty-building interactions and driving productivity and cost savings," Deepak Chand Thakur, Co-founder and CEO of NPST, said. NPST's ODR, an advanced digital platform for prompt remediation of transactional disputes and customer complaints, enables DCB Bank to uphold high standards of customer service and transparency, the .

RBI releases draft disclosure framework for banks to address climate risks

The RBI has previously acknowledged climate change as a source of financial risk. In July 2022, it released a discussion paper exploring strategies to address climate change-related financial risks

JPMorgan CFO Barnum expects trading revenue to decline in first quarter

"Both equities and macro were relatively strong last year," and performance will be slightly worse across asset classes, Barnum told investors at a conference in Miami on Tuesday

Firm will raise ninth private equity fund: Goldman Sachs CEO Solomon

"We'll launch what we call Capital Partners IX... our next private equity fund, which will be a significant fundraising," Solomon told investors at a conference in Miami

RBI tweaks rules to standardise filing of supervisory returns by banks

Previously, banks had to submit all audited returns to the RBI within seven days from the date of the completion of statutory audit of books of accounts

Maruti Suzuki, Union Bank of India partner for dealer financing solutions

Maruti Suzuki India on Tuesday said it has inked an initial pact with Union Bank of India for dealer financing solutions. The tie-up enhances the comprehensive inventory funding options for over 4,000 Maruti Suzuki sales outlets across the country, the auto major said in a statement. MSI (Maruti Suzuki India) Senior Executive Officer (Marketing & Sales) Shashank Srivastava said the automaker takes great care in nurturing its dealer network. "We proactively align our efforts in meeting the evolving demands of customers and the market, " he added. The company's partnership with Union Bank of India since 2008, has steadily evolved and reached a significant milestone of facilitating over 3,00,000 car finance cases till date, Srivastava said. "As a next milestone of our association, we are entering into an inventory funding Memorandum of Understanding (MoU) which will focus on innovative financing solutions for dealer partners," he added. Union Bank of India Managing Director & CEO

Maha company booked for giving Rs 1 cr fake bank guarantees to civic body

A case has been registered against a representative of a company in Maharashtra's Latur district for allegedly giving fake bank guarantees of more than Rs 1 crore to the Panvel Municipal Corporation for securing contracts of maintenance projects, police said on Tuesday. Between November 17, 2022 and February 26, 2024, the engineering company was awarded contracts for the maintenance, repair and renovation of all public toilets within the Panvel Municipal Corporation limits and for the repair and renovation of sewage pipelines in Kharghar area of Navi Mumbai, an official from Panvel town police station said. The contracts required the company to furnish bank guarantees of Rs 1,32,63,229. During verification by the civic body, the bank guarantees were found to be fake, the official said. Based on a complaint by the civic body's sanitation department chief, a case was registered on Monday against the company's representative under various Indian Penal Code sections for cheating and ...

Banks to continue investing in physical branches; limits in digitisation

Despite the competition for savers' funds, fueled by the rise of mutual funds and other alternative investment options, banks realise the need for a physical presence to attract customers

EU carbon border tax will do little to cut emissions, says ADB report

It was designed to level the playing field and make foreign suppliers pay the same carbon price as domestic ones, even if they are not subject to an ETS or carbon tax at home

Jack Ma-backed Ant outbids Citadel Securities for Credit Suisse's China op

UBS is struggling to attract interest in the unit from global firms because of escalating geopolitical tensions, a crackdown on bank data flows and the struggling economy

Citigroup hires JPMorgan's Viswas Raghavan as head of banking, exec VC

Raghavan, who is expected to start at the bank in summer, will also join the firm's executive management team and report directly to Fraser, Citigroup said in an internal memo Monday

CBI court convicts Bank of Baroda manager after 27 years of chargesheet

A special CBI court in Mumbai has convicted a manager of the Bank of Baroda in two separate cases after 27 years of charge sheet for causing a total loss of over Rs 15 crore to the bank, officials said on Monday. The CBI had charge-sheeted Ramchandra Shridhar Joshi, then Chief Manager posted in Walkeshwar Road Branch, Mumbai, in 1996 in two cases -- for causing loss of Rs 10.50 crore and Rs five crore -- by fraudulently diverting bank's money to accused conspirators, the agency said in a statement. The central probe agency had taken over the probe in 1994 and had filed a charge sheet in both cases in 1996, it said. After the completion of the trial, the special CBI court sentenced him to under two years rigorous imprisonment with a fine of Rs three lakh in the first case and one year imprisonment with a fine of Rs 1.37 lakh in the second case. "The case against two charge sheeted accused was abated due to their death during trial while another accused was discharged," a CBI ...

Bank of England builds 'proactive case' to regulate non-banking sector

A central banker said that one way to overcome this would be to use capital and liquidity rules to influence how banks, which central banks regulate, interact with non-banks

Canara Bank board approves 5-for-1 stock split to increase affordability

The lender would need two months to get an approval for the stock split from the Reserve Bank of India, it said in an exchange filing

Paytm likely to partner with four banks for enabling UPI transactions

The central bank has asked Paytm Payments Bank, the banking unit of Paytm to wind down its business by March 15, leading to disruption for the popular payment app

Banks, post offices to help ECI step up voter education ahead of LS polls

Lok Sabha elections: The initiative is part of the Election Commission of India (ECI)'s ongoing efforts to increase electoral awareness across the country

Ahead of LS polls, EC ropes in banks, post offices to spread awareness

The Election Commission on Monday roped in banks and post offices to spread voter awareness as part of its efforts to increase voting percentage in the upcoming Lok Sabha polls. The poll panel has often expressed concern over urban and youth apathy with many registered voters not turning up at the polling stations to cast ballot in the previous elections. Over 30 crore of the 91 crore electors did not cast their ballot in the previous parliamentary polls. The Election Commission (EC) on Monday signed a memorandum of understanding (MoU) with two prominent organisations -- the Indian Banks' Association (IBA) and the Department of Posts (DoP) -- to amplify its voter outreach and awareness efforts ahead of the Lok Sabha elections. The initiative, the poll panel said, is in continuation of its efforts to enhance electoral awareness in the country. The EC had recently signed an MoU with the Ministry of Education to formally integrate electoral literacy into the educational curriculum of

RBI lifting curbs on forex non-deliverable forward arbitrage by banks

Arbitrage trades allow investors to benefit from the price differences of securities in different markets but can exaggerate price trends

RBI allows banks, non-banks to issue PPIs for public transport systems

The regulator amended guidelines for prepaid payment instruments for mass transit systems (PPI-MTS). It said such PPIs can be issued without Know Your Customer (KYC) verification of the holders