Page 15 - Indian Banking System

PSU banks to open about 300 branches in unbanked areas by Dec 2022: Report

As part of the financial inclusion drive, public sector banks will open about 300 brick-and-mortar branches in the unbanked areas of various states by December 2022. These new branches will cover all remaining unbanked villages with a population of more than 3,000, according to sources. A Maximum number of 95 branches will be opened in Rajasthan followed by 54 in Madhya Pradesh. The public sector banks will open 38 branches in Gujarat, 33 in Maharashtra, 32 in Jharkhand and 31 in Uttar Pradesh. The progress with regard to the opening of branches in the rural areas was reviewed in the recent meeting of heads of public sector banks with the Financial Services Secretary last month. Banks have been asked to open branches at allocated locations by the respective State Level Bankers' Committee (SLBC) by December 2022, the sources said. Bank of Baroda will open 76 branches, while State Bank of India will establish 60 branches. Financial Inclusion is a national priority of the governmen

Centre may revamp framework for setting state-owned banks' targets

New framework could be on lines of earlier 'Statement of Intent' used to fix annual targets, will monitor performance on parameters such as return on assets, NPA, financial inclusion initiatives

Axis Bank hikes MCLR by 5 bps across tenors, follows other lenders

Banks change lending policy to keep up with monetary policy committee's raising repo rate

Bank Locker Rules: Here's everything you should know to protect your assets

The Reserve Bank of India regularly updates rules for improving the safety and convenience of the bank customers. These are the Bank locker rules that everyone should know.

India's bank liquidity surplus rises after a sharp drop last week

India's banking system liquidity surplus rose to more than 2 trillion rupees on Wednesday, after dropping to a near three-year low below 500 billion rupees ($6.34 billion) last week.

After PMC Bank, Wadhawans duped Indian Bank of Rs 279 crore

The Chennai-based public sector Indian Bank has admitted to a major loan default of Rs 279 crore by the realty group, Housing Development & Infrastructure Ltd (HDIL) Mumbai, and its suspended Directors -- Rakesh Kumar Wadhawan and son Sarang Wadhawan.

State Bank of India changes ATM withdrawal rules; Check new guidelines here

In a bid to protect the customers against ATM frauds, a withdrawal of or more than Rs 10,000 from the SBI account will now be possible only on entering the OTP in the ATM

Understanding Positive Pay System necessary to encash cheques from August 1

Several banks including BoB and SBI have issued notifications asking customers to register under PPS before August 1 to encash high-value cheques

Banks likely to lose Rs 11,790 cr in Q1 on bond rally, says report

Banks are unlikely to take a big hit on profitability this quarter due to rising bond yields, which may eat up 5.3 per cent (Rs 11,790 crore) of their net income in the worst-case scenario

IndusInd Bank's board gives nod to mobilise Rs 20,000 cr via debt

Private lender IndusInd Bank of Monday said its board has approved a proposal to raise Rs 20,000 crore in debt to fund business growth.

HDFC Bank lost Rs 50k-cr corporate loans as competitors offered lower rates

Merger-related dispensations separately handled by RBI, says HDFC Bank CFO Srinivasan Vaidyanathan

Negative interest rate and financial repression

Investments drive growth but how will investors get funds if the savings pile shrinks with no incentive to save in a negative interest rate regime?

Govt revamps Banks Board into Financial Services Institutions Bureau

Guidelines for selection of general managers and directors of public sector general insurance companies have been made part of FSIB

S&P affirms ICICI Bank's 'BBB-' rating on improved asset quality

As S&P affirms ICICI Bank's BBB rating, an upgrade over the next one to two years is unlikely as that would require an improvement in the bank's financial profile

End arbitrary account-freeze by banks

A longer-term solution is to allow customers to easily vote with their feet

Non-banks not allowed to load credit lines on prepaid wallets, cards: RBI

RBI has asked fintech to stop this practice immediately. The change will come into effect on July 1

Early assessment of banking sector health encouraging: RBI deputy guv

"The asset quality of banks has improved and the gross NPAs and net NPAs of the banks have improved from the pre-pandemic levels," Rao said

Credit card linkage to UPI: Uncertainty over pricing leaves players in dark

There is no clarity on whether linking to UPI facility will be extended to credit cards of other card networks, such as Visa, Mastercard, American Express, etc

Banks to take Rs 37,200-cr hit by liquidating 10 power projects: BofA

Combined capacity is 10.5 Gw; projects fail to find any takers under insolvency process

HDFC Bank sees profits more than doubling to $15 bn in 5 years after merger

CEO Jagdishan tells analysts merger with HDFC gives the lender the opportunity to double balance sheet every five years