Year-ender | PSU banks stay ahead of private lenders on advances growth in 2025 as credit demand remains uneven
Credit growth has consistently remained above 10 percent in recent months, indicating stable demand conditions and continued flow of credit to productive sectors of the economy.
India’s reinsurance market grows 11% to Rs 1.12 lakh crore in FY25
During FY25, the gross reinsurance premium written by Indian reinsurers and FRBs stood at Rs 69,228.64 crore. Of this, domestic business continued to dominate, accounting for nearly 85 percent of the total, while foreign business contributed the remaining share
Health insurance drives non-life premium growth, contributes 41.4% of total premium in FY25
Among various segments under the non-life insurance business, health insurance remained the largest contributor with a share of 41.42% of the total premium in 2024-25, up from 40.29% in FY24
Life insurers’ commission payout rises 18% in FY25, outpaces premium growth
The total commission outgo rose 18 percent year-on-year in 2024–25, significantly outpacing the 6.73 percent growth recorded in total premiums during the same period
Only 17 of 25 life insurers complied with IRDAI expense norms in FY25
During FY25, the life insurance industry reported gross expenses of management of Rs 1.38 lakh crore, accounting for 15.60 percent of total gross premium
Life insurance penetration dips to 2.7% in FY25, overall penetration flat
Private sector life insurers outpaced the broader market, recording a 12.07 percent growth in premium income in 2025
Data Story | Big dreams, and bigger leverage fuel India’s small business loans
India’s small firms have greater access to formal credit but that should come with a warning against too much leverage.
RBI to purchase Rs 50,000 crore worth of G-sec via OMO Purchase auction on January 5
On December 29, the central bank injected Rs 50,000 crore through OMO purchase of Government of India securities, in to the banking system.
Banks raise record Rs 13.17 lakh crore via CDs in 2025 amid weak deposit growth
The surge in CD issuances comes at a time when banks are grappling with sustained pressure on low-cost deposits.
Year-ender | Rate cuts fail to cheer Indian corporates in 2025 as bond participation remained flat YoY
Public sector financial institutions continued to dominate the bond market in 2025. The top five issuers during the year were National Bank for Agriculture & Rural Development (NABARD) raising Rs 65,465 crore, Power Finance Corporation (PFC) raising Rs 49,101 crore, REC Ltd raising Rs 40,399.5 crore, Bajaj Finance Ltd raising Rs 31,207.9 crore, and Indian Railway Finance Corporation (IRFC) raising Rs 28,761.65 crore, data showed.
PD underwriting commission slumps 65% in FY25; strong G-sec demand keeps earnings under pressure
The underwriting commission (excluding GST) fell to Rs 14.5 crore in FY25 from Rs 43.1 crore in FY24, as the average commission rate dropped sharply to 0.1 paise per Rs 100, compared with 0.3 paise per Rs 100 a year ago.
RBI tightens grip on payment ecosystem as digital transactions near 98% of total payments
Paper-based instruments such as cheques now represent just 2.4 percent of transaction value.
NBFC credit growth led by services, retail; power sector share moderates in FY25
Total gross advances by NBFCs rose to Rs 48.39 lakh crore at end-March 2025 from Rs 40.53 lakh crore a year ago.
Banks report sharp improvement in asset quality in FY25; gross NPAs fall across segments: RBI report
During 2024-25, schedule commercial banks added Rs 2.26 lakh crore of fresh NPAs, but reductions exceeded additions, led by recoveries, upgradations and write-offs totalling Rs 2.75 lakh crore. Write-offs accounted for the largest portion of reductions at Rs 1.58 lakh crore, followed by recoveries of nearly Rs 67,693 crore.
Banks to face rising competition from non-bank lenders in commercial sector funding, says RBI report
The consolidated balance sheet of scheduled commercial banks (SCBs) (excluding RRBs) increased by 11.2 per cent during 2024-25 as compared with 15.5 per cent during 2023-24.
Foreign banks cut India footprint as global realignment continues, shows RBI report
As of end-March 2025, the number of foreign banks operating in India through branches or wholly-owned subsidiary mode declined to 44, following the exit of one bank during the year, the RBI report said.
Loans, cards and digital banking dominate complaints to RBI Ombudsman in FY25: RBI report
The Offices of the RBI Ombudsman (ORBIOs) received about 29.6 lakh complaints during 2024-25, marking an increase of 0.8 percent over the previous year. A majority of these complaints originated from metropolitan and urban centres.
Banking fraud amount jumps 30% YoY in FY26 till September, shows RBI report
During 2024-25, based on date of reporting by banks, the total number of frauds decreased. However, the amount involved in frauds increased.
IBC share in total recoveries rises to 52.4% in FY25 from 49.5% a year ago
During 2024-25, the number of cases referred for resolution decreased under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act and Insolvency and Bankruptcy Code (IBC).
Year-ender | Why Indian bond yields eased only 30 bps despite 125 bps RBI rate cuts in 2025?
Looking ahead, experts believe bond yields in 2026 will be influenced less by domestic rate actions and more by global trends and fiscal dynamics at home. Additionally, bond market will also look out for government borrowing numbers in the Union Budget and its tenure, and also fiscal deficit target. These factors will also shape up the bond yield in the coming months, experts said.
RBI injects Rs 50,000 cr in banking system via OMO purchase auction
On December 23, the RBI had announced additional measures such as conduct of Open Market Operation (OMO) purchase of governments securities and USD/INR Buy/Sell swap auction to inject durable liquidity to the banking system after review of current liquidity and financial conditions.
PSU general insurance merger likely still at preliminary stage
Industry officials familiar with the matter say the government is still at a preliminary assessment stage, with no formal execution plan or timeline in place
HDFC Life sees VNB margins normalising by FY27 as near-term pressures ease: MD & CEO Vibha Padalkar
During an exclusive email interaction with Moneycontrol, the MD and CEO said she said the company is taking a calibrated approach alongside industry-wide discussions with distributors, while focusing beyond cost optimisation to improve profitability
Year-ender | PSU banks outperform private peers on margins as funding advantage softens RBI rate-cut blow
The decline in the weighted average lending rate on fresh and outstanding rupee loans was higher in the case of private banks relative to public sector banks after the cumulative 100 bps rate cut by RBI. On the deposit side, transmission was higher for public sector banks compared to private banks in case of fresh term deposits.
