BUSINESS
India’s Inflation Heat—Part-3: Unrelenting price rise threatens to break the back of India’s small entrepreneurs; many face closure
A sharp jump in inflation meant input costs escalated for small businesses. Many are planning to shut shop as cash reserves run dry.
BUSINESS
Equitas founder Vasudevan open to take up board-level role in bank if RBI permits
When asked whether the successor will be from within the bank or outside, he said the race is open for anyone.
BUSINESS
REPCO Bank may appeal RBI’s decision to reject universal bank permit application; others undecided
The RBI said six of 11 applicants were not suitable for permits of small finance bank and universal bank licences.
BUSINESS
Catch ’em young: Fintechs now eye the under-21 category
A group of fintechs have smelled an opportunity in the financial services market that focus on children, which is largely under-penetrated. Many firms like Muvin and Pencilton have already launched products like pre-paid cards, and many have either raised funds or are planning to do so to tap the market.
BUSINESS
Interview: NPAs to come down and net interest margin to improve this year, says Bank of Baroda managing director
Chadha said the bank has seen sequential improvement in bad loan figures consistently and is confident the trend will continue this fiscal.
BUSINESS
Will continue growing at 35%-40% CAGR in FY23, says Bandhan Bank MD & CEO
The private sector bank on May 13 posted a net profit of Rs 1,902.3 crore for the quarter ended March.
BUSINESS
Canara Bank to launch soundbox, revamped bank app with 282 features by June, ED says
Paytm and AU Small Finance Bank are the only other players that presently offer soundboxes.
BUSINESS
Interview | Expect Rs 15,000-crore loan recoveries in FY23, says Canara Bank MD and CEO LV Prabhakar
Prabhakar said the bank will obtain board approval to raise up to Rs 9,000 crore via AT-I and tier-II bonds latest by the first week of June.
BUSINESS
Canara Bank to launch credit card subsidiary; announcement likely in 2-3 quarters: MD
Banks have been aggressively chasing growth in the high-return but unsecured credit card business. Axis Bank on March 30 announced the acquisition of Citibank’s India consumer business for $1.6 billion in an all-cash deal.
BUSINESS
Bankers surprised at timing, quantum of RBI rate hike; see substantial liquidity pullout due to CRR hike
In a surprise move on May 4, the RBI increased the policy repo rate by 40 bps to 4.40 percent with immediate effect.
BUSINESS
Mahindra Finance plans credit-card business entry; eyes double-digit business growth in FY23, says MD
The plan comes on the heels of RBI’s directive that NBFCs can offer credit cards if they receive regulatory permission and have a certificate of registration.
BUSINESS
Exclusive Interview: YES Bank to raise Rs 7,500 crore this fiscal, ARC announcement 'any day' now, says MD Kumar
“I understand very little about the market. I think the most important part for us is in terms of continuously giving an improved and sustainable performance. I think we as a team are great,” Kumar said.
BUSINESS
Shriram Transport eyes 12% loan growth in FY23; plans super app in 3 years, says MD Umesh Revankar
STFC will not be adding new locations this year, however, it will consider converting rural centers into branches if they cross 400 customers’ target.
BUSINESS
YES Bank to set up ARC by June, raise capital as buffer against uncertainties in FY23, says CEO Prashant Kumar
The lender on April 30 reported its January-March net profit at Rs 367 crore as against a loss of Rs 3,788 crore in the same period last year. This was led by lower provisions, higher net interest income and an improvement in asset quality.
BUSINESS
ICICI Bank upgrades digital services for MSMEs; to maintain “risk-calibrated growth” approach in lending
Executive director Anup Bagchi said banks may soon start to lend to MSMEs based on their cashflows and not on their solvency, thanks to the rapid adoption of digital services.
BUSINESS
Exclusive | Shivalik Small Finance Bank appoints ex-RBL bank retail chief Anshul Swami as MD-CEO
Swami replaces Suveer Kumar Gupta who co-founded the bank and led its transition from an urban co-operative bank to a small finance one. Gupta will now act as an advisor to the Board of Directors, sources said.
BUSINESS
Interview | AU comfortable as small finance bank, ready to convert to universal bank if RBI wants, says Sanjay Agarwal
"There are certain challenges like inflation, interest rate cycles, geopolitical issues, but I don't think those are bigger than what we have faced in the last two years," Agarwal said.
BUSINESS
Timeline: How RBI cut the arbitrage of NBFCs and moved to bank-like regulations
The RBI has been tightening screws on systemically important NBFCs, bringing their regulation on par with that of commercial banks to ring-fence the system.
BUSINESS
RBI’s new norms on promoter loans, NPA divergence to increase governance standards in NBFCs: Experts
NBFCs will have to make divergence reporting if the additional gross NPAs identified by regulator exceeds 5 percent of the reported figures.
BUSINESS
Regulatory, tech challenges will test HDFC Bank’s top brass during merger, say experts
Chances of the regulator granting any leeway, especially on the priority sector loan front, are less likely going by precedent, they point out.
BUSINESS
HDFC to sell 10% of subsidiary to Abu Dhabi Investment Authority
"...This investment will help leverage ADIA’s global expertise and experience to further propel HDFC Capital towards becoming a leading investment platform,” said HDFC chairman Deepak Parekh.
BUSINESS
Kinara Capital raises Rs 380 crore in equity round led by Nuveen; to disburse Rs 10,000 crore MSME loans in 3 years
Kinara Capital is a mid-sized NBFC focussing on credit to micro, small and medium enterprises.
BUSINESS
Lenders may see uptick in credit growth, better asset quality in Q4, say analysts
Normalised collection efficiency will lead to higher recoveries and upgrades and higher credit growth shall further improve lenders’ headline gross non-performing asset figures, analysts say.
BUSINESS
Indian banks watchful of defaults, delay in offshore dues amid Russia, Lanka crises
Some bankers said the situation may worsen if Western countries invoke sanctions against all trading partners of Russia. India is among the few countries that have not entirely cut their trade ties with Russia.
