BUSINESS
Why have Indian banks stopped lending to students?
The trend of rising bad assets from student debts is not unique to Indian market.
BUSINESS
RBI’s regulation and supervision rejig in jeopardy as Jan 31 deadline for officers nears
RBI facing manpower issues for regulation and supervision is bad news for the banking industry at a time country’s institutions are hit by a number of fraudulent transactions.
BUSINESS
DHFL mess deepens: Has India’s banking regulator learnt its lessons from shadow banking episodes yet?
Banks have reportedly agreed to dilute bidding terms to get a buyer but depositors have moved the Supreme Court against this decision
BUSINESS
Before her IMF stint, a ‘neo-liberal’ Gita Gopinath ruffled feathers within Left’s old guard
IMF Chief economist Gita Gopinath was among the first prominent economists who criticised Narendra Modi government's note ban
BUSINESS
Bad loan hit banks wary of corporate loans; what it means for a struggling economy?
Economic slowdown is slowly impacting the balance sheets of banks. Most of the large bad loan accounts may get adjusted in the third and fourth quarters, but the real challenge for banks will be to maintain credit growth
BUSINESS
How dual regulation is worsening the mess at India’s opaquely run co-operative banks
To save India’s broken co-operative banks waiting to implode, current laws needs to be changed to give the power of regulation to a single regulator; the RBI is most suited for the job.
BUSINESS
Who will say 'Yes' to YES Bank?
The big challenge for the bank is to maintain the Tier-I capital adequacy at the minimum 8 percent level by March.
BUSINESS
More than Goddess Lakshmi on currency notes, what India needs is Muni Narada on electoral bonds
The interesting part about electoral bonds is that no one can ask questions about the source of money. It is not an exaggeration to say that in barely three years of its existence, these instruments have turned the whole process of political funding in India even more opaque and mysterious.
BUSINESS
'Twist' in the tale: High inflation, weak economy may hamper RBI operation to tame longer-term yields
If the inflation remains high, the central bank may stay on hold for a prolonged period. Coupled with likely high government borrowing, bond yields could rise further, no matter what RBI does.
BUSINESS
Rs2,000 notes contributed 61 percent of the total fake currencies seized in 2018, up from 53 percent in 2017
A total of 54776 pieces of fake Rs2000 notes worth Rs10.96 crore were seized in 2018 out of the total 257243 pieces of fake currencies seized in number and Rs17.95 crore crore in terms of value
BUSINESS
Michael Patra fills in Viral Acharya's shoes: Why government loves a quiet, career central banker at Mint Street
After a difficult phase in terms of RBI-Central government relations, the NDA-government probably wants a ‘friendly’ RBI’s top brass to work with, especially when the economy is facing a crisis.
COMPANIES
CPI inflation at 7.35%: Rising bond yields may hurt banks’ treasury income in Q4
Banks may take a hit on their MTM portfolios in Q4 if the yields stay high. The high retail inflation could cause a spike in G-sec yield by another 10 basis point. But the bigger trigger will be budget.
BUSINESS
CPI inflation may stay elevated in the near term; base effect, direction of food prices will be key
The direction of food prices will depend heavily on how monsoon pans out in June. A large number of farmers in India depend on seasonal rains for irrigation needs.
BUSINESS
With CPI inflation at over 5 year high, forget a rate cut from RBI in the next policy
Secondly, the fact to note is that in December, the core inflation (excluding volatile food and fuel components), too has inched up a bit. The core inflation, at 3.54 percent, is the highest since September last year.
BUSINESS
Banks may see some relief from recoveries in Q3, but the pain isn’t over yet
Banks like SBI and ICICI are likely report substantial recoveries from a few major accounts including Essar Steel, Ruchi Soya, Prayagraj Power and Rattan India Power, analysts said.
BUSINESS
Don’t give up; someone somewhere will listen, says ICICI Bank whistleblower Arvind Gupta
In a free-wheeling interview with Moneycontrol, Gupta said he felt redeemed with the case reaching to its logical conclusion.
BUSINESS
Yes Bank's Ravneet Gill needs to set house in order and deliver on his promise to gain market's trust
The new regime, under CEO Ravneet Gill, promised to take the bank out of its corporate governance mess and asset quality issues, and attract new investors, but he has been unsuccessful to get an investor so far.
BUSINESS
SBI’s new finance scheme with buyer guarantee: Should a bank own up potential failures of a builder?
Prima facie, SBI doesn’t have much risk in this scheme since the bank will grant loans to star rated builders with proven track record and strong cash flows
BUSINESS
Budget 2020: If govt is serious about reviving growth, it shouldn’t be too focused on fiscal deficit target
Weakness in the manufacturing sector, poor tax collections and an unprecedented lull in consumer demand have been a drag on the economy. Government’s policy flip-flops in some key sectors and worsening global conditions have made the situation worse
BUSINESS
Budget 2020: What lies in store for state-run banks ravaged by bad debt?
State-run banks will require substantial capital infusion to resume lending to productive sectors once demand picks up, analysts said
BUSINESS
RBI wants to punish weaker banks that are perennially sick. But how far can it go?
While ‘auctioning’ a distressed bank is a bit of a stretch, RBI could very well consider playing the role of a matchmaker to merge weak banks with stronger ones.
BUSINESS
With this fiscal's estimated GDP growth set to be the lowest in 11 years, here’s a look at how it will impact the common man
Slowing growth means more companies coming under stress. That is bad news for banks that are still fighting the ghost of bad loans that have originated in the past. Banks may see fresh bad loans emerging from small and medium-sized companies (the large ones are already accounted for through NCLT courts).
BUSINESS
RBI's Operation Twist in progress: Who will eventually benefit?
So far, in three tranches of 'Operation Twist', the RBI has bought bonds worth Rs 30,000 crore and sold Rs 25,326 crore worth of securities.
BUSINESS
Banks staring at fresh NPA whammy on farm loan waivers, faulty Kisan Credit Card model
The size of the Maharashtra loan waiver, announced by the new coalition government, could work out to around Rs 51,000 crore.
