Banking

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.

Chart of the Day | Inflation’s dual dance: RBI’s MPC faces a tightrope walk

CPI eases to 2.1 per cent, but core inflation at 4.72 per cent keeps the Reserve Bank cautious ahead of its policy call

Will RBI hold repo rate? 5 things to look out for in August MPC

The MPC is meeting at a time when retail inflation has remained lower than RBI’s medium term target of 4 percent and support is needed for growth revival amid tariff tensions.

Borrowing cost for lower rated NBFCs to reduce by end of this fiscal, says India Ratings

NBFCs are likely to be selective in passing on the reduced funding costs to borrowers, which will help support their margins, the ratings agency has said

What led to the selloff in PB Fintech shares: IRDAI's regulatory action explained

IRDAI's action dates back to June 2020 when it conducted a remote inspection of PolicyBazaar’s operations during its IWA tenure and found irregularities in how it managed the sales processes, disclosures, partnerships, and premium flows.

Corporate loan growth slows as firms tap cheaper bond market

In the June quarter, corporate loan book growth ranged from 1.77% to 12.21% for major banks, well below 2.87%-23.54% in the year-ago period

Trump’s tariff to test India’s central bank rate decision

Before Trump’s announcement, most economists expected no change in rates following the governor’s cautious stance in the June policy meeting. The majority still expect RBI to hold this week, but a few have changed their forecasts recently.

For IndusInd Bank, biggest challenge will be to balance growth with credibility: Abizer Diwanji

The bank's shares have reacted positively, rising over 5 percent on the announcement, as several analysts believe the move could pave way for a turnaround at the bank, after a prolonged turmoil over accounting lapses.

Rupee opens 20 paise down as Trump threatens steeper tariffs on India

India has hit back, calling the criticism from Washington and Brussels as 'unjustified and unreasonable' . New Delhi has said it will 'take all necessary measures to safeguard its national interests and economic security'

Data Story: Trends in bank credit that should worry RBI

Unsecured retail has bounced back; gold loans are keeping up pace and MSME lending is the mantra for banks in Q1

IndusInd Bank – Will the new leadership pave the way for a rerating?

The bank faces the tall and arduous task of scaling up the battered business profitably

How AIIB can help India ramp up its green capex

New Delhi should leverage the Beijing-headquartered AIIB’s plan to raise the share of private projects in its overall lending portfolio in India

Future Generali is now Generali Central after Central Bank stake buy, with focus on serving SME borrowers

Despite Central Bank’s recent stake acquisition, Generali Central Insurance does not expect a significant near-term boost in business from bancassurance business, or insurance policies sold through the banking channel.

MPC meeting: Final cut or start of an extended pause?

The MPC will likely moderate its baseline forecast for GDP below the extant 6.5 percent, further supporting the case for a rate cut

Banks likely to re-evaluate corporate, SME lending plans as US tariffs hit exports

While credit demand from corporates has already been sluggish over the past two quarters, bankers say the new trade headwinds could further delay recovery in the segment.

Is the road clearing for a December rate cut by RBI?

The RBI will likely hold rates steady on August 6 and also in October, waiting for a clear read on the monsoon, a critical input for food inflation, but come December, the pieces could finally fall into place for a rate cut

Motor stumbles, health surges as general insurers prioritise margin over growth in Q1

Motor insurance saw a pull back, fire made a comeback and health continued to grow in the June quarter as ICICI Lombard, SBI General, Shriram General and Niva Bupa adapted to pricing and policy shifts

Ongoing trade talks with US may see RBI hold rates on August 6, say economists

A Moneycontrol poll, too, found that the RBI’s monetary policy committee is expected to maintain status quo

Rupee opens 28 paise up at 87.25/USD on easing dollar index

According to the Bloomberg data, Asian currencies rose, with Thai Bhat up 1.07 percent over last week's closing, Philippine Peso up 0.92 percent, and Malaysian Ringgit up by 0.87 percent.

RBI’s MPC Meet: Will caution trump growth concerns?

As the Monetary Policy Committee meet starts on August 4, India awaits cues on whether the RBI will hold steady or surprise with a rate cut amid global trade tensions

Banking Central| RBI’s MPC meet: Time to nudge growth, again?

Sluggish bank lending and tight liquidity signal the need for a growth-friendly pivot

Federal Bank’s corporate loan book to grow 8-10% in FY26 on tariffs uncertainty, cheaper funds at bond market: CEO

According to the investor presentation of the bank, corporate loan book of the bank increased by 6 percent on-year to Rs 83,680 crore in Q1FY26, from Rs 79,208 crore in a year ago period, and Rs 83,680 crore in a quarter ago period.

Federal Bank Q1 results: Net profit falls 15% on-year to Rs 862 crore

The bank registered operating profit of Rs 1556.29 crore for the quarter ended June 30, 2025.

Financial bids for IDBI Bank stake by December quarter, winning bid likely by end of fiscal: DIPAM Secretary

The government has completed the process of due diligence, and data room protocols have been completed for all interested parties, the secretary said, adding that formal consultations have been completed with all qualified and interested parties.

ICICI Lombard scaled down motor, fire insurance coverage over pricing pressure: CFO Gopal Balachandran

ICICI Lombard CFO Balachandran told Moneycontrol growing those segments may not make financial sense, citing stagnant third-party premium rates over the past 4-5 years.

PSU banks dominated bond issuances in FY25, more Tier-II debt raise likely this fiscal

Private lenders have been totally absent from hybrid bond issuances in FY25. Despite favorable conditions for Tier-2 debt, these banks chose to rely on internal accruals and equity-driven capital planning.

Distributors opting for short-term health plans over long term post commission rule change: Niva Bupa CEO

Krishnan Ramachandran, CEO, says the health insurer’s internal goal is to grow 5-10 percentage points faster than the overall health insurance industry

If I were Allianz, I’d be more worried about retaining Go Digit than the other way around: Chairman Kamesh Goyal 

Addressing concerns over the Allianz-Jio reinsurance JV, Goyal said Allianz intends to continue its partnership with Go Digit, and the existing contract allows no mid-term changes, Goyal says

IDFC First shareholders grant Warburg affiliate board seat, reversing earlier decision

While Currant Sea’s board nominee has not yet been disclosed, this marks a significant change in shareholder sentiment from May 2025, when a similar resolution was voted down.

RBI’s fraud detection tool MuleHunter AI expands reach with over 15 more banks nearing rollout

The banks that have implemented the MuleHunter AI are Canara Bank, Punjab National Bank, Bank of India, Bank of Baroda, and AU Small Finance Bank, Suvendu Pati added

Indian rupee opens 2 paise higher at 87.58/USD on lingering worries over Trump tariff

The local currency opened at 87.58 against the US dollar as compared to 87.60 against the greenback at previous close. According to the Bloomberg data, the domestic currency has depreciated 1.70 percent in July.

Fed’s hard line may force the RBI to keep purse wide open

The Monetary Policy Committee (MPC) can’t afford to sit on the fence—it’s time for bold monetary stimulus to support growth.

Loan against gold jewellery grew 124% in June, fastest among personal loans, RBI data shows

In absolute terms, the outstanding loan against gold jewellery stood at Rs 2.77 lakh crore as on June 27 . There has been a decline in the consumer durable segment

DCB Bank's June quarter net profit rises 20% on year at Rs 157 crore

The Gross NPA as on June 30, 2025 was at 2.98 percent, while Net NPA was at 1.22 percent. The Provision Coverage Ratio (PCR) came in at 74.04 percent and PCR without considering gold loan NPAs was at 75 percent.

PSU banks hit harder by compression on yield on advances in Q1FY26

According to data compiled by Moneycontrol, yield on advances for PSU banks dropped by 15–71 basis points (bps), significantly more than the 12–30 bps reduction observed for private banks.

Indian bond yields open 2 bps higher as Trump announces 25% tariffs

US Fed's Federal Open Market Committee decided to keep interest rates unchanged at 4.25 percent to 4.5 percent in the July 29-30 meeting

Rupee slides further, opens 28 paise down at 87.71 after Trump slaps 25% tariff, Russia penalty

The rupee has depreciated 0.83% in the last two weeks. This year, so far, the currency is the worst performing among Asian peers, down 3.25%

Indian rupee may open close to 88-mark against US dollar as Trump announces 25% tariffs on India

According to the Bloomberg data, Indian rupee has depreciated 0.83 percent in last two weeks. On a year-to-date basis, the local currency is under pressure and second worst performing among Asian peers. It is down 3.25 percent, Bloomberg data showed.

Rupee at over at four-month low at 87.43 against dollar on Trump’s tariff threat

The Rupee ended at 87.4250 against the US dollar compared to 86.8200 against the greenback at previous close, lower by 61 paise down on July 30.