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Higher credit costs may impact growth of SBI Cards and Payment Services

SBI Cards and Payment Services, the only listed pure-play card issuer, saw weak growth at 3.5 per cent Y-o-Y in July

Outward FDI increases to $3.2 billion in August 2024, shows RBI data

Equity commitments more than double Y-o-Y to $1.14 bn

RBI imposes penalty on BNP Paribas, 3 others for compliance lapses

The Reserve Bank of India on Friday said it has imposed a penalty of Rs 31.8 lakh on BNP Paribas (the bank) for certain deficiencies in statutory and regulatory compliance. The central bank has also imposed penalties on Hewlett Packard Financial Services (India), SMFG India Credit Company, and Muthoot Vehicle & Asset Finance for non-compliance with certain norms. In a statement, the RBI said the penalty has been imposed on the bank for non-compliance with certain directions issued by it on 'Interest Rate on Advances'. Giving details, it said the statutory inspection for Supervisory Evaluation of the bank was conducted by it with reference to its financial position as of March 31, 2023. Based on supervisory findings of non-compliance with RBI directions and related correspondence in that regard, a notice was issued to BNP Paribas, advising it to show cause as to why penalty should not be imposed on it for its failure to comply with the said directions. After considering the bank's

UPI users can now send Rs 5 lakh for some transactions: Check details

RBI has raised UPI transaction limit to Rs 5 lakh for tax payment, effective from Sunday

'India's growth potential is above 7.5%': RBI Governor Shaktikanta Das

At a Singapore forum, RBI Governor Shaktikanta Das projected that India has a growth potential of at least 7.5%, slightly above the RBI's official 7.2% forecast for 2024-25

NaBFID should become self-sustainable, not rely on govt: RBI dy governor

NaBFID is a development finance institution that was set up in 2021 to focus on infrastructure funding

Paytm to reapply for RBI's payment aggregator licence post govt approval

The announcement comes shortly after PPSL, a subsidiary of Paytm, secured approval from the Ministry of Finance to invest further in its payment services business

Rupee holds above lifetime low, supported by likely RBI intervention

That weighed on Asian currencies. But the rupee held its ground, supported by state-run banks' dollar sales, most likely on behalf of the RBI, traders said

Reserve Bank to stick to higher digitally-linked deposit buffer proposal

In India, retail and small business accounts make up around two-thirds of deposits, of which more than 50 per cent are digitally accessible, Moody's estimates

RBI slaps penalties on Axis, HDFC Bank for non-compliance with directives

The RBI had conducted a statutory inspection of bank with reference to its financial position as of March 31, 2022, based on supervisory findings of non-compliance with the central bank's directions

Conundrum of the credit-deposit ratio: Understanding RBI's concerns

The RBI is also concerned that the banks have turned to bulk deposits and certificates of deposit to mobilise funds, as retail deposits (both savings and term deposits) have become stagnant

RBI rejects Canara Bank's bid for credit card subsidiary amid concerns

The decision by the Reserve Bank of India comes amid increasing concerns over the growing volume of unsecured loans in the banking sector

Market expects MPC to implement cumulative 50 bps rate cut by March 2025

They also foresee a continued decline in food prices, which fell to 5.1 per cent in July from 8.4 per cent in June year-on-year, further supporting expectations of a rate cut

Inflation likely held below RBI's target at 3.5% again in Aug, finds survey

Although food prices, which make up nearly half the inflation basket, have eased significantly in the last two months, erratic monsoon rains across India could harm crop yields

Several banks oppose draft LCR circular, say may affect loan growth

Claim it will impact retail deposits as 90% are digitally linked

NaBFID MD says infra loan losses low, questions RBI's 5% provision proposal

Infra financier NabFID's managing director Rajkiran Rai on Friday questioned the RBI proposal to make lenders set aside 5 per cent on under construction projects, saying the reverses on such loans are very low. Stating that there is a need to change perceptions surrounding infrastructure finance, Rai said the incidence of loans turning sour has reduced in the recent past and added that the same is evident in the risk-based pricing for such finance by banks. "Where is 5 per cent coming from? Actually it (NPAs on infra loans) is less than 1 per cent," Rai said addressing the annual Fibac event here. He conceded that if one looks at a ten-year period, the 5 per cent number may look true, but the same has improved drastically and added that infra loans are coming at as low as 8.75 per cent, as per a NaBFID study. It can be noted that a few weeks ago, the RBI came up with draft guidelines reviewing the rules governing project finance which call for banks to set aside 5 per cent as ...

Root of C-D mismatch: Major banks aren't competing for savings deposits

The savings bank deposit interest rate was the last one to be deregulated by the RBI after all other interest rates were deregulated

Expect new members in MPC to be appointed in time, says RBI Guv Das

Reserve Bank Governor Shaktikanta Das on Thursday said he expects new external members of the monetary policy committee to be appointed in time. Speaking to reporters on the sidelines of the annual Fibac event here, Das said the meeting of the Monetary Policy Committee (MPC) -- scheduled to take place from October 7 -- can only take place when the members are in place. "New members obviously have to be appointed then only we can hold the meeting. It should happen. We expect the new members to be in place in time," the governor said. The four-year term of three external members -- Ashima Goyal, Jayanth Varma and Shashank Bhide -- is coming to an end on October 4. The appointments to the panel are made by the government. The MPC is chaired by the governor and has six members. The RBI has three representatives, including the governor, while the other three are external members. The members vote on the rate call before the resolution is made public, and the governor has the casting vo

Inflation debate must consider downsides of alternative frameworks

To be fair, the RBI or the MPC on its own cannot change the target or stop taking into account one part of the consumer basket without appropriate amendment to the RBI Act

Provide more employment opportunities to women, RBI Guv Das tells banks

Reserve Bank Governor Shaktikanta Das on Thursday said the financial sector can help in bridging the gender gap by providing more employment opportunities to women and creating tailored schemes for businesses promoted by them. Highlighting the importance of inclusive growth, the governor said a truly developed India must ensure that every citizen, regardless of their socio-economic status, has access to financial services and has the required financial literacy. In his inaugural address at the Annual FIBAC 2024 Conference organised jointly by FICCI and IBA, Das said India's female labour force participation remains lower than the global average. This gap, he said underscores the urgent need for targeted initiatives such as improving girls' education, skill development, workplace safety, and addressing societal barriers. He said entrepreneurship is a vital component of economic empowerment, yet in India, less than one fifth of micro, small and medium enterprises (MSMEs) are owned by