Page 45 - Banks

After a decade in wilderness, Indian banks healthy, but still not cautious

With the incremental credit-to-deposit ratio running at 111%, Indian banks will have to pay more to savers - sacrificing some part of their high profitability

Looking closely at banks' business models: RBI governor Shaktikanta Das

Citing the recent bank failures in the US and in Europe, Das said risks for individual banks would crop up from their balance sheet, which might have been considered safer

Resilient bank must be financially, organisationally strong: RBI Guv Das

Hinting at cyber risks, the RBI Governor said that it has been identified as the foremost in top 10 operational risks for 2023 based on a global survey of financial institutions

First Republic Bank plunges on report of potential buyers for new shares

These banks have an incentive to deal as the political fallout of the FDIC making them whole on their $30 billion of deposits could be serious

Asian Development Bank operations reach $20.5 bn in 2022: Report

The lender financed institutional reforms to support economic recovery, strengthened public service delivery and growth in key economic sectors

Bank of Maharashtra reports more than double profit to Rs 840 cr in Q4

State-owned Bank of Maharashtra (BoM) on Monday reported a more than two-fold jump in its net profit to Rs 840 crore for the March quarter, helped by a decline in bad loans and a rise in interest income. The bank had earned a net profit of Rs 355 crore in the year-ago period. During the quarter, the bank's total income increased to Rs 5,317 crore as against Rs 3,949 crore a year ago, BoM said in a regulatory filing. Interest income grew to Rs 4,495 crore during the period under review, from Rs 3,426 crore in the corresponding quarter a year ago. The bank's board has recommended a dividend of Rs 1.30 per share or 13 per cent of Rs 10 face value out of the net profits for the year ended March 31, 2023. Gross Non-Performing Assets (NPAs) were reduced to 2.47 per cent of gross advances as of March 31, 2023 from 3.94 per cent by the end of March 2022. Net NPAs also came down to 0.25 per cent of the advances from 0.97 per cent at the end of 2022. The fall in bad loans ratio helped cut

Bank of Maharashtra Q4 net profit more than doubles to Rs 840 crore

Bank has announced a dividend of Rs 1.3 per share with a face value of Rs 10

Biz of moving currency booming, with new revenue streams set to open up

Millions of rural Indians now have debit cards, yet lack access to ATMs. Such drivers are expected to contribute to the growth of ATMs in the rural regions

Banks refuse to take coins worth lakhs from Shirdi temple. Here's why

Due to space constraints, four state-owned banks in Shirdi have already stopped accepting coins

Overnight rates stay above repo as banks borrow before VRRR maturity

The current reporting fortnight ends on Friday, and banks are scrambling to borrow funds to maintain the mandatory reserve requirements, traders said

RBI calls meeting of all bank boards to discuss governance, supervisory

Ethics, supervisory expectations may also figure in May 29 meeting

IndusInd Bank signs $100 mn loan deal with JBIC to push Japanese equipment

Under the deal, IndusInd Bank will offer credit to firms in the supply chain of Japanese OEMs in India, and to final buyers of construction machinery made by Japanese firms

After insurance firms, now private banks under income tax scanner

Two large private banks are suspected of taking advantage of their position as intermediaries to get additional revenue from insurance companies

Banks to remain closed today? Check bank holidays in April 2023 here

Ambedkar Jayanti is an Indian national holiday commemorating the life and contributions of Dr BR Ambedkar

G20 can borrow a leaf from RBI's book

India must use its presidency of the G20 to showcase RBI's banking practices as these are more rigorous than those of many of its counterparts elsewhere

IT service outsource norms to kick in from October this year, says RBI

"The agreements that come into force on or after October 1 shall comply with the provisions of these directions from the date of agreement itself," RBI said

Share of Casa in overall deposits at 7-year low of 11.6% by FY23-end

Worse still, Casa deposits' share of incremental deposits has fallen to single digit (6.7%), for the second time in 10 years

Consider 2023 as a year to invest for long term, says Sankaran Naren

Sankaran Naren, executive director and chief investment officer at ICICI Prudential Asset Management Company, in conversation with Puneet Wadhwa

Post office saving schemes compete with bank FDs after 3 rate hikes by govt

Post office term deposits, which were fetching lesser returns than bank FDs in the recent past, have again become competitive with the government effecting three back-to-back increases in interest rates on small savings schemes. The return on post office term deposits of two years under the small savings schemes is 6.9 per cent, the same as offered by most banks on deposits of similar maturity. After a series of repo rate hikes by the RBI since May 2022, the transmission to retail deposit rates gathered pace in the second half (H2) of the last fiscal after remaining subdued in April-September (H1) period as banks intensified their efforts to garner retail deposits to fund robust credit growth, a central bank analysis. The Weighted Average Domestic Term Deposit Rate ( WADTDR) on fresh deposits (including retail and bulk) of banks increased by 222 basis points (bps) from May 2022 to February 2023. During H1, banks had focussed on mobilising bulk deposits. This was reversed in H2 wit

Banks sanction Rs 23.2 trn to about 400 mn beneficiaries under Mudra Yojana

Banks and financial institutions have sanctioned Rs 23.2 lakh crore to over 40.82 crore beneficiaries under the Mudra Yojana since its launch in 2015. Pradhan Mantri MUDRA Yojana (PMMY) was launched on April 8, 2015, by Prime Minister Narendra Modi to facilitate easy collateral-free micro-credit of up to Rs 10 lakh to non-corporate, non-farm small and micro-entrepreneurs for income-generating activities. Loans under PMMY are provided by Member Lending Institutions (MLIs) -- banks, non-banking financial companies (NBFCs), microfinance institutions (MFIs) and other financial intermediaries, the finance ministry said in a statement on Saturday. "#PMMudraYojana has played a vital role in funding the unfunded and ensuring a life of dignity as well as prosperity for countless Indians. Today, as we mark #8YearsOfMudraYojana, I salute the entrepreneurial zeal of all those who benefitted from it and became wealth creators," Prime Minister Narendra Modi said in a tweet. Speaking on the occas