Page 5 - Rbi

Microfin borrower indebtedness rises marginally in Sept after two-year dip

RBI's Financial Stability Report shows microfinance borrower indebtedness edged up in September 2025 after a two-year decline, even as credit and active borrowers fell in H1 FY26

High distribution costs limit insurance coverage, says RBI in FSR report

RBI's Financial Stability Report said high distribution-led costs are embedded in pricing, hurting affordability and penetration, while insurers' conservative investing may weaken product appeal

RBI flags stablecoin risks, urges countries to prioritise CBDCs over crypto

In its Financial Stability Report, RBI said central bank money must remain the ultimate settlement asset, warning that stablecoins pose macrofinancial risks and can weaken capital controls

Credit growth nears 12% as deposit growth slows to 9.35% till Dec 15

Credit growth remained strong till December 15, while deposit growth weakened further, widening the credit-deposit gap and underscoring persistent liquidity tightness in the banking system

Are banks open or closed on New Year's Day, Jan 1? Here's state-wise update

January 1, 2026, a Thursday, is New Year's Day in 2026. In the US, January 1st is a federal holiday; in India, it is a restricted holiday. However, in some states, banks are closed, as per the RBI

2025: Year of big-bang reforms aimed at ease of doing business in finance

The Reserve Bank of India rolled out sweeping reforms in 2025 to lower compliance costs and improve ease of doing business, from LCR relief and project finance norms to digital lending rules

Govt plans to amend SARFAESI Act to include special situation funds

Centre is considering amending SARFAESI to include special situation funds as financial institutions and to require borrowers to file representations within 30 days of a demand notice, sources said

RBI rejects bids for 2037 paper at OMO as banks quote prices above market

RBI rejected bids for the 7.18 per cent 2037 security as quoted prices were above market levels, but purchased ₹50,000 crore of gilts in line with the notified amount

Bank NPAs at multi-decade lows as gross NPA ratio falls to 2.1%: RBI data

RBI's Trends and Progress report shows banks' asset quality improved, with gross NPAs down to 2.1% by September 2025 and net NPAs at 0.5%, aided by recoveries and provisioning

Half of new bank branches in FY25 opened in tier-1 centres; ATMs dip: RBI

RBI's Trend and Progress report said scheduled commercial banks expanded branches mainly in tier-1 centres in FY25, while ATM numbers declined modestly due to fewer off-site machines

Recovery under IBC improves to nearly 37% in FY25 despite fewer cases

RBI data shows banks improved recovery outcomes under the IBC and SARFAESI in 2024-25 even as the number of cases referred for resolution declined

Why capping Sebi's surplus risks weakening India's market regulator

Capping Sebi's surplus under the Securities Markets Code risks eroding the regulator's financial autonomy and independence, with implications for market governance and investor confidence in India

Number of UCBs declines to 1,457 in FY25 as RBI consolidation continues

India's urban co-operative banks fell to 1,457 at end-March 2025 from 1,926 in 2004, as RBI consolidation continued via mergers, closures and licence cancellations

RBI to consolidate more circulars across departments to cut compliance cost

After consolidating over 9,000 Department of Regulation circulars into 244 master directions, RBI said it will take up similar exercises across other departments to ease compliance

Banks 'resilient' but face stiff fund mobilisation competition: RBI report

RBI said banks remain resilient with low bad loans and strong capital, but credit growth outpacing deposits will keep resource mobilisation competitive, requiring strong governance and risk management

SFB asset quality worsens in FY25; GNPA rises to 3.6%: RBI report

RBI's Trends and Progress report said small finance banks saw weaker asset quality and lower profits in FY25, even as balance sheets expanded at a faster pace than other banks

Lenders onboarded on RBI's ULI platform rise to 64 from 36 last year

RBI said 64 lenders, including 41 banks and 23 NBFCs, are now on the Unified Lending Interface, using more than 136 data services to support credit assessment and decision-making

Microfinance loan performance needs close monitoring, RBI cautions NBFCs

The RBI has flagged rising stress in microfinance loans, urging NBFCs to balance growth with sound practices, even as overall asset quality in the sector improved

How heavy state borrowing has blunted the RBI's rate cuts and bond buying

RBI's liquidity push is being neutralised by record state borrowing, keeping yields elevated and markets subdued - exposing deep fiscal strains beneath India's strong GDP numbers

A shift towards decluttering, rationalisation marks RBI's 2025 reforms

The RBI's actions throughout the year mark a decisive shift towards principle-based regulation and systematic rationalisation of legacy instructions