Banking sector news & PSU Bank Updates

Rupee appreciates most in over two weeks on likely RBI intervention in NDF market

The local currency has remained towards 88.70 in the last few weeks amid pressure from the Asian currencies.

Canara Bank rides the CASA turnaround; MSME and vehicle loans to drive H2 growth, says MD and CEO

Canara Bank MD and CEO also said the lender is preparing to capitalize on the opportunities in the M&A financing space.

MUFG in advanced talks with Shriram Finance for a 20% stake

MUFG likely to invest $3-4 billion in India’s largest vehicle financier; Japanese lender will infuse fresh capital into the lender and secure two board positions.

ACKO to ramp up EV-specific products, distribution channels as it begins Tesla linked insurance: CEO Animesh Das

CEO Animesh Das said the company plans to significantly scale up this share in the coming quarters, although refraining from providing any specific guidance

Banking Central | What does UPI surge mean for Indian payments system?

UPI’s future hinges on whether policymakers allow it to stand on viable economic legs

Rs 2,000 notes worth Rs 5,817 crore still in circulation: RBI

The Reserve Bank of India (RBI) had announced the withdrawal of Rs 2,000 denomination banknotes from circulation on May 19, 2023. Rs 2,000 banknotes continue to be legal tender.

Bank of Baroda eyes 10-11% corporate loan growth in H2FY26, says CEO Debadatta Chand

The bank is keeping a close watch on fluctuations in gold prices but does not expect any significant impact on its loan-to-value (LTV) ratios or portfolio performance in the near term, Chand said.

Bank of Baroda Q2 net profit falls 8% to Rs 4,809 crore, NII rises 3%

Bank of Baroda Q2 results: Asset quality improves

OPINION | Vault Matters: $7 billion, four banks and a new outlook to equity

Capital, equity, etc. are not concerns of RBI was the view that the central bank seemed to hold for a long time. The new regime and its thinking is proving this belief wrong, making for a welcome change

Canara Bank may raise Rs 3,500 crore via AT1 bonds by November

On October 30, the lender has informed exchanges that ratings agency ICRA has assigned ‘AA+’ ratings with ‘Stable’ outlook for the Basel-III compliant Tier-1 bonds.

Supreme Court asks IRDAI, industry to explore policies to improve motor insurance coverage

The supreme court is expected to deliberate on possible enforcement mechanisms and policy reforms to address the large-scale non-compliance of motor insurance in India.

Why banks are finding borrowing via TREPS more attractive over RBI’s VRR auctions

Market participants have said that the narrowing rate differential between TREPS and RBI’s VRR auctions has made the former route a more attractive option.

Rupee opens 9 paise up at 88.61/USD on Asian cues

Asian currencies were mostly higher on Friday, with the offshore Chinese yuan at 7.11 to the U.S. dollar

Union Bank of India working with two external agencies for ECL norms implementation, says CFO

Further, the managing director and chief executive officer Asheesh Pandey said there is no communication from the government on the consolidation of the state-owned banks.

FOMC rate cut gives RBI MPC further room, but policy action seen hinging on growth-inflation outlook

US Federal Reserve’s by 25 bps rate cut has increased the scope for policy flexibility for emerging markets like India, however, economists believe the Reserve Bank of India (RBI) will keep its focus on growth and inflation in framing the policy stance at the upcoming December monetary policy meeting.

RBL and Yes Bank: How India’s two largest banking sector deals happened

The Yes Bank-SMBC and RBL-Emirates NBD deals have opened doors for more such deals to happen in Indian banking ecosystem

UPI transactions grow by 35 percent in first half of 2025, with merchant payments expanding faster than P2P: Worldline report

Merchant payments (P2M) through the UPI route expanded faster than person-to-person (P2P) payments, by 37 percent to nearly 67 billion transactions, showed the report, as compared to a 31 percent growth in P2P transactions.

Chart of the Day | UPI moves the masses, RTGS moves the money

India’s payments data for the first half of 2025 shows two very different digital stories.

RBI's gold reserve rises to 880 metric tonnes at September -end

While 290.37 metric tonnes of gold were kept in safe custody with the Bank of England (BoE) and the Bank for International Settlements (BIS), 13.99 metric tonnes were held in the form of gold deposits, it said.

Go Digit Q2 profit surges 53% to Rs 136 crore; AUM up 15%

Gross written premium (GWP) for the quarter stood at Rs 2,667 crore, up 12.6 percent from Rs 2,369 crore in Q2 FY25.

Star Health Q2 profit drops 50% to Rs 317 crore

The expense ratio is currently at 29.7% in H1FY26.

Dia Vikas Capital cannot acquire more than 5% stake in ESAF Small Finance Bank: RBI

The move would force ESAF’s promoter to find an alternative way to reduce its shareholding in the bank

ICICI Prudential Life enables premium payments via NBBL Banking Connect

The feature allows policyholders to make premium payments directly through their preferred mobile banking app, without having to log in separately using internet banking credentials

HDFC bank puts bankers on leave amid Credit Suisse bond probe

The bank took the step over the last few months with the employees, who were at the center of the allegedly disputed trades of Credit Suisse’s Additional Tier 1 bonds

Governor Sanjay Malhotra’s term sees Rupee’s biggest drop since Subbarao’s first 10 months

RBI Governor Sanjay Malhotra’s period has coincided with a challenging global environment marked by a persistently strong dollar, geopolitical tensions, and a widening interest rate differential between India and the US.

Commercial Paper issuances down 66 percent in October as yields harden

Yield on commercial papers (CP) have hardened by 15-17 basis points amid fluctuation in the systemic liquidity in the banking system.

Today’s capex of a ‘different form’ compared to previous decades, says Citi India CEO

Citi India CEO said renewables, semiconductors, electronics and battery energy storage are some of bright pockets where capex is expected to rapidly grow in the coming years.

India might soon be 3-4 percent of Citi’s overall topline: Citi India CEO K Balasubramanian

Citi ranks No 1 in business with multinational, enjoys 35% market share in custodian biz, 14% share in forex and 8% market share in imports and exports biz

India to have second-largest number of Citi employees: CEO Balasubramanian

India supports about 80 countries globally, with some employees having created their AI patents, the CEO tells Moneycontrol

IDBI Bank divestment: Centre may soon invite financial bids as IMG set to meet on Oct 31 to finalise process

The approval of the SPA and the subsequent invitation of financial bids will mark the final phase of the long-awaited IDBI Bank privatisation process that has been underway since 2021.

Citi India CEO Balasubramanian expects $15-billion IPO rush over next 2 months

The pipeline of companies waiting to hit the market is quite robust and there could be a meaningful spill over to early 2026, Balasubramanian tells Moneycontrol in an interview

Centre plans to hike foreign investment cap in PSU banks to 49%: Report

The government plans to retain a minimum shareholding of 51% in state-run banks, according to the first source. At present, the government has much higher ownership in all 12 banks.

Rupee opens 1 paise higher at 87.86/USD as Asian currencies gain

Currency experts said traders will monitor the US Federal Reserve’s commentary following a widely anticipated rate cut and the magnitude of overseas fund flows.

Banking Central | Credit is the new festival offer

India’s festive season boom isn’t just about rising consumption, it’s how borrowing has become part of everyday financial behaviour

What do RBI’s new capital market exposure rules mean?

The central bank’s draft framework gives lenders more room to back India’s capital markets — but with clear boundaries to prevent excesses.

SBI to hire 3,500 officers in next 5 months to drive business growth

SBI News: The bank has recruited 505 Probationary Officers (POs) in June

Kotak Mahindra Bank sees stress in retail commercial vehicles lending segment, says CEO Ashok Vaswani

In the July-September quarter, advances of Commercial Vehicles and Commercial Equipment grew just 2 percent quarter-on-quarter to Rs 43,676 crore, while on a year-on-year basis, this segment grew 12 percent.

Premature to talk on IDBI Bank, other deals, says Kotak Mahindra Bank CEO Ashok Vaswani

The divestment of IDBI Bank was announced in February 2021. However, the process was formally kick started on October 7, 2022, when DIPAM invited Expressions of Interest (EoI) for strategic divestment of IDBI Bank.

Kotak Bank Q2 results: Net profit falls 2.7% YoY, NII up 4% at Rs 7,311 crore

Net Advances increased 16 percent YoY to Rs 462,688 crore as at September 30, 2025 from Rs 399,522 crore as at September 30, 2024.

Merger buzz: PSBs yet to hear from govt, focused on diluting stakes to meet norms

Media reports had said that Indian Overseas Bank (IOB), Central Bank of India (CBI), Bank of India (BOI) and Bank of Maharashtra (BOM) could be merged with big banks such as Punjab National Bank (PNB), Bank of Baroda (BoB) and State Bank of India (SBI).

Festive spending, GST outflow push liquidity into deficit

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