Banking News

The RBI must address the unions' stark warnings or it risks amplifying inequalities and eroding public trust

Finance Ministry to meet CEOs of state-owned banks to review Q1 performance on August 20

The review meeting on August 20 with public sector banks to assess the performance of the first quarter of 2025-26.

Primary dealers ramp up corporate bond repo borrowing to diversify liquidity sources

The total volume on ARCL Tri-party Repo in July was Rs 52,175.10 crore, compared with Rs 39,725.50 crore, registering a growth of 32 percent month-on-month.

Indian bond yield eases after S&P upgrades India's rating to 'BBB'

S&P Global Ratings raised its long-term unsolicited sovereign credit ratings on India to 'BBB' from 'BBB-', and its short-term ratings to 'A-2' from 'A-3'. The outlook on the long-term rating is stable.

Indian rupee opens 2 paise up as dollar index ease, traders await Trump-Putin meet outcome

The dollar index, which measures the greenback's strength against a basket of six major currencies, fell to 97.752 in the morning from the previous close of 97.840.

State borrowings via SDL become costlier as rate cut hopes fade

Government bond yields have been on the rise since the RBI’s status quo in the August monetary policy. Though the decision was in line with the market expectation, few participants expected a surprise rate cut.

Indian rupee opens 5 paise up at 87.65/USD as US Inflation shows limited tariff impact

The highly-anticipated U.S. inflation readings indicated President Donald Trump's tariff regime had yet to filter down to consumer prices.

Chart of the Day | Indian NBFCs are in a good spot now

Falling funding costs and equity infusions bolster credit profiles of non-bank lenders.

Diversifying Russian oil imports may add only $4-6 billion to India's import bill, says Anubhuti Sahay of Standard Chartered Bank

The gap, or impact on GDP, was closer to 25 to 40 basis points. At 50 percent, almost 50 percent of our exports to the US become non-tradable, priced out, and the impact then would be much larger, Sahay said.

RBI allows investment of surplus rupee balances in special vostro accounts into G-Secs, T-Bills

The changes are in immediate effect and operational guidelines to AD Category-I banks issued by the RBI, release said.

10-year benchmark G-sec yield ends over 4-month high on limited potential for rate cut

Bond yields have been on the rise since the Reserve Bank of India (RBI) kept policy rate unchanged in the August monetary policy.

How Aadhaar is emerging as a soft target for insurance fraud

Multiple police investigations conducted in several parts of the country over the past week have reportedly uncovered organised scam networks manipulating Aadhaar data to make bogus claims

PSU banks report 161% year-on-year surge in forex income in Q1FY26 as rupee weakens

In Q1FY26, the Indian rupee depreciated by 2.03 percent against the US dollar, creating favourable conditions for forex trading gains.

We've strengthened the team and have a more diversified portfolio, says Axis AMC's B Gopkumar

The Axis AMC managing director and CEO says the firm's goal is to bridge the gap between traditional fund management and the transparency offered by modern fintech platforms, empowering customers with comprehensive but easy-to-understand portfolio analysis

ICICI Bank and the premiumisation of bank accounts

The biggest risk in hiking minimum balance is a slowdown in low cost savings account deposit and loss of market share to competition

Indian rupee opens 4 paise lower at 87.70 against US dollar on China tariff truce extension

US President Donald Trump on Monday signed an executive order to extend the China tariff deadline by an additional 90 days, CNBC reported, quoting a White House official confirming the development.

Not in regulatory domain of RBI: Governor Sanjay Malhotra on minimum balance for savings accounts

Public sector banks generally have lower balance requirements than private lenders, with Jan Dhan accounts exempt from such norms

ICICI investment banking head Saraf to move to retail broking

The leadership reshuffle comes after ICICI Securities was delisted from local stock exchanges in March

Banks recommend new GST slab of Rs 1 crore to curb merchants ditching digital payments

DFS sought comments from banks, RBI and NPCI on the existing GST slab of Rs 40 lakh for shopkeepers, whether it should be raised, and by how much, sources said

Banking Central| ICICI Bank’s Rs 50,000 MAB move: A bold bet or a blunder? Let the market decide

ICICI Bank’s steep minimum balance hike has sparked outrage but it’s the bank's call. Customers have options.

AU Small Finance Bank’s leap to universal banking: A game-changer indeed, but what’s next?

Jaipur-based lender’s transition marks a historic shift, but challenges loom large

ICICI Bank raises minimum balance requirement for metro customers, first hike since 2015

The move, which came into effect on August 1, 2025, signals a sharper focus on affluent customers while trimming its exposure to the mass market segment.

HDFC Bank Chairman Atanu Chakraborty warns of global risks, urges pvt sector to do ‘heavy lifting’

Speaking at the bank’s Annual General Meeting (AGM) on August 8, he said the IMF’s forecast of 3 percent global GDP growth for 2025 'does not look robust'

PSU general insurers gain ground as private peers retreat from loss-heavy segments

If PSUs can keep combined ratios stable while sustaining higher premium mobilisation, the shift could become structural; if not, it will likely revert as private capital re-enters at repriced levels, analysts point out

SBI chairman sees limited impact of Trump's tariffs on the banking sector

The overall exposure of the banking system to the sectors likely to bear the brunt of Trump's tariffs is limited. SBI, too, doesn't have much exposure to these sectors, CS Setty has said

Corporates favouring commercial papers over bank loans, says SBI chairman Setty

In June quarter, corporate loans grew 5.7 percent on-year to Rs 12.03 lakh crore

SBI regains home loan crown, outpaces HDFC Bank by Rs 8,000 crore to top the housing segment

SBI’s home loan portfolio for Q1 FY26 stood at Rs 8.51 lakh crore as of June 30, 2025, marking a robust 15.05 percent year-on-year growth

May engage with regulator to understand NOFHC requirement: Sanjay Agarwal, MD & CEO, AU Small Finance Bank

Speaking exclusively to Moneycontrol, Agarwal said he will approach the regulator soon to understand why the requirement to convert his stake into a non-operative finance holding company was imposed as a licensing condition.

Rupee opens 15 paise up at 87.56 as dollar index eases

The rupee is expected to move in the 87.40-88.15 range, as developments on Trump tariffs will be closely tracked

Kinara Capital halts repayment till October after coordinated resolution with lenders

Kinara Capital is facing a liquidity crunch after some of its lenders appropriated fixed deposits and issued loan recall notices, prompting credit rating agency ICRA to downgrade the company’s ratings.

No deal signed for health insurance yet, says LIC CEO R Doraiswamy

There is a delay in the deal, as we would like to observe the evolving health insurance market closely before making any definitive move, says Doraiswamy

RBI grants in-principle approval to AU Small Finance Bank for transition into universal bank

On September 3, AU Small Finance Bank has applied to the RBI for voluntary transition from a Small Finance Bank to a Universal Bank.

Why is the RBI focusing more on overnight rates?

The RBI has since the beginning of this year made the overnight rate the central operational target for monetary policy implementation.

Indian rupee opens flat at 87.73/USD despite Trump's additional tariff and threat of secondary sanctions

On August 6, Trump signed an executive order for imposing an additional 25 per cent tariff on imports from India.

Money market witnessed higher rate transmission post 100 bps rate cut

Since the February policy announcement, the rate for 3-month treasury bills has dropped by 110 bps, 3-month commercial papers issued by NBFCs have fallen by 161 bps, and 3-month certificates of deposit have declined by 170 bps, according to RBI data.

Average daily surplus liquidity under RBI’s LAF doubled to Rs 3 lakh crore in four months

The sharp increase in the liquidity can be attributed to the durable liquidity infusion since start of this year by the RBI through various instruments such as open market operations (OMOs) purchases of governments securities and USD/INR buy-sell swap auctions.

RBI holds rates steady, signals confidence in growth and inflation management

The overwhelming uncertainty emerging from the external environment, especially since the last few weeks, due to intense tariff announcements and trade negotiations is not only posing risks to global financial markets but also challenges to economies like India in terms of the growth outlook.

RBI holds repo rate steady: Are we in for a long pause?

Another rate cut may be at a bay until the last mile transmission of the 100 bps reduction from February is fully reflected in economy. Equally, the possible impact of macro uncertainties on economic growth may play a larger role in deciding the rate trajectory from hereon.

Disinflation meets MPC hesitation as RBI fears inflation edging higher next year

Despite a downward revision in the inflation numbers, the RBI preferred to take a forward-looking view, expecting inflation to edge back up next year.

RBI holds rates: A well priced-in ‘pause’, a less priced-in ‘neutrality’

With trade negotiations still underway, assessing any growth-inflation impact right away is quite difficult. The RBI MPC had revised down its GDP growth estimate in February by 20 bps to 6.5 percent on-year, partly reflecting tariff-related risks, but uncertainty has accelerated since then.

No major inflation risk seen if Russian oil imports fall, says RBI Guv Sanjay Malhotra

Crude oil is a key factor in inflation, but impact depends on sourcing mix, global prices and government response, says Deputy Governor Poonam Gupta

RBI Governor hopeful of an 'amicable solution' to US trade negotiations

Negotiations for a trade deal between India and the US were launched in March 2025 with five rounds of talks held so far, the last being in July. Talks for a mini-version of a deal before August 1 seemingly failed as divergences remained, especially on agriculture.

Indian banks spark AI gold rush as tech firms race to tailor language models, build agents

As major banks such as Punjab National Bank and Union Bank of India float tenders for BFSI-specific Gen AI tools, tech majors like HCLTech and TCS to consulting firms like EY alongside startups like Perfios, Sarvam are racing to offer domain-tuned models, Agentic AI, and secure copilots.

RBI Governor clarifies UPI stance: Costs exist but who pays remains unclear

RBI Governor Sanjay Malhotra clarified, "I never said UPI cannot be free forever. The question, I believe, was whether charges like MDR would be passed on to consumers. I responded by saying that there are costs involved."

Surplus liquidity helps better transmission of rate cuts in bond, credit market, says RBI governor

Between February and June 2025, the weighted average lending rate of scheduled commercial banks fell by 71 basis points for fresh rupee loans, of which 55 bps was directly due to the repo rate cut

RBI working group recommends retaining WACR as policy target, liquidity framework

The group is also in favour of continuing with the variable rate auction mechanism for repo and reverse repo operations to maintain the operating target rate at the policy rate

Gross FDI rises 5% in April-May but net inflows slip on $0.8 billion outflow

Foreign portfolio investment inflows into emerging market economies remained strong in May and June, amid improved global risk sentiment

MPC meeting: CPI inflation to rise above RBI’s medium-term target in Q4

The RBI lowered its CPI inflation projection for FY26 to 3.1% from its earlier forecast of 3.7% on easing food prices and benign outlook

Rupee opens 9 paise up at 87.71 against dollar ahead of RBI's monetary policy decision

A Moneycontrol poll of economists and treasury heads expects the Monetary Policy Committee to maintain status quo on interest rates

Bond yields open flat ahead of RBI's monetary policy decision

A Moneycontrol poll of economists and treasury heads across banks and fund managers said the Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) is likely to maintain its status quo on interest rates.