BUSINESS
'Bad bank' is back on the table: But where are the buyers for stressed assets?
In the absence of a strong turnaround plan, the bad bank plan can backfire since this will be only transferring the risky assets in the banking system from one place to the other.
BUSINESS
101 firms, 168 bank accounts and 3 holding companies: How Yes Bank’s Rana Kapoor ran a byzantine business empire
Investigation by the Enforcement Directorate sheds light on how the Kapoors created and ran myriad businesses, flouted rules, made questionable investments and forged irregular alliances, including with the Wadhawans of DHFL.
BUSINESS
EMI moratorium temporary relief: Real test begins after May 31
For borrowers, the real test will happen when the moratorium period gets over (May 31) and actual repayment schedule kicks in.
BUSINESS
ICICI Bank Q4: All eyes on what COVID-19 does to the economy
An uncertain business environment certainly presents risks going ahead not just for banks but all industries.
BUSINESS
ICICI Bank tags $100 mn Singapore Hin Leong exposure as NPA, makes provisions
On 20 April, Moneycontrol first reported that ICICI Bank has an exposure of $100 million (about Rs 760 crore) to Hin Leong.
BUSINESS
Written down AT1 bonds may return to haunt Yes Bank with ‘mis-selling’ charges
Alleged ‘mis-selling’ of these bonds to retail bond holders by Yes Bank’s executives is likely to be made part of an existing petition in the High Court of Bombay filed by Axis Trustee
BUSINESS
An accounting twist gifts ‘Yes’ a profit in Q4, but it is still a ‘No’ bank
At the end of March and after an unprecedented mega bail-out, Yes Bank still has a broken balance sheet and its continuation as a going concern depends on several ifs and buts.
BUSINESS
RBI breaks silence; banks fall in line on extension of loan moratorium for NBFCs
After a meeting with the Reserve Bank of India's top brass and representatives of banks and NBFCs, most banks have agreed to extend moratorium to their NBFC clients on a case-by-case basis.
BUSINESS
Services PMI falls to record low of 5.4 in April: Three quick takeaways
The change in consumer behavior due to job and income uncertainties could add to the woes of the services sector even after the lockdown ends
BUSINESS
Why CMIE's latest unemployment data should be an eye-opener for the government
The near stagnation in economy has left small businesses and daily wage earners in a state of uncertainty
BUSINESS
With banks remaining risk-averse, RBI asks big NBFCs if they can lend to smaller ones
The RBI is concerned about banks' reluctance to pass on the benefit of its schemes to small NBFCs and MFIs.
BUSINESS
NBFCs seek RBI nod for one-time restructuring of all loans
RBI Governor Shaktikanta Das and deputy governors met NBFC industry representatives on May 4 to discuss liquidity issues and flow of credit to different sectors
BUSINESS
COVID-19 impact: Here's why Indian banks won't come out of abyss anytime soon
Bankers and analysts expect significant spike in non-performing assets going ahead. The pain may not be visible immediately since the RBI has extended regulatory relaxations.
BUSINESS
With CKP Bank’s failure, yet another co-operative bank bites the dust: What’s ailing these lenders?
India’s weak co-operative banks have been imploding one after the other. Almost every month, the RBI brings some or the other co-operative bank under restrictions.
BUSINESS
CKP Co-operative Bank has 97% NPAs; most to real estate developers
Over the years, CKP Bank had built its business by lending to mostly small and mid-sized real estate developers in Mumbai, who did not pay back loans leading to a huge spike in NPAs.
BUSINESS
RBI top brass takes stock of situation; bank CEOs seek extension of COVID-19 relaxations
Banks have demanded possible extension of the loan moratorium facility to borrowers announced by the RBI in the wake of Covid-19. The RBI will look into these suggestions now
BUSINESS
Franklin Templeton crisis: Here’s a closer look at the companies in which Franklin has invested in
Franklin Templeton's six schemes have total investments of Rs 7,697 crore to 26 companies (with 100% exposure to the six debt funds) of 88 top borrowers in its six debt schemes
BUSINESS
RBI determined to make banks lend to crisis-ridden mutual funds: Will lenders pay heed?
Banks fear huge bad loans going ahead from such exposure in low-rated papers where mutual funds have parked money. Someone needs to guarantee these loans, ideally the government or the central bank.
BUSINESS
Sapre says Franklin Templeton needs to repay lenders first before investors, in talks with firms for early repayment
President of Franklin Templeton India assures investors that they will get their money back, but after the company pays off borrowings and sells securities.
BUSINESS
Franklin Templeton gives moratorium to NCDs of three Future Group companies
“Future Group has requested Fixed Income schemes managed by Franklin Templeton Mutual Fund , relief under the moratorium benefit announced by the RBI," the mutual fund said.
BUSINESS
SIDBI extends loan repayment term to 1-year for NBFCs, MFIs
This is a significant development as microlenders felt the earlier repayment rules were stringent considering the present operating environment.
BUSINESS
COVID-19-hit microlenders knock on SEBI’s door seeking extension of rating period
Rating agencies typically revise ratings of microlenders after 12 months. Despite the lock down, some of the microlenders have received communication from agencies on further rating revision.
BUSINESS
All good for Axis Bank in Q4, but COVID-19 uncertainty shadows future outlook
For banking analysts, Q4 numbers aren’t that important. All eyes are on the April-June quarter when the world will emerge out of the 40-day-long lockdown. That is when the RBI relief for borrowers, in the form of moratorium and liquidity stimulus, will come to an end.
BUSINESS
Why banks are not lending to small companies despite availability of cheap funds from RBI
Their risk aversion has affected NBFCs and smaller MFIs the most.
