Financial Stability Report

Chart of the Day: Financial stability from the banking prism

India’s banks are in the pink of health and would remain so in FY25 as well, according to the RBI.

RBI's financial stability report shows India’s banks are resilient, but its markets are yet to be

High capital, profitability and low bad loans characterise banks’ resilience, but India’s capital markets are still vulnerable

Few NBFCs with low capital buffers growing at rapid pace warrants close monitoring: RBI report

On an incremental basis, bank lending to NBFCs declined in H2FY24 even as the latter’s overall cost of funds increased, said Reserve Bank of India’s financial stability report

Banks' unrealised losses on HTM portfolio securities decline in March: RBI financial stability report

Banks held 64.6 percent of their investments in the HTM category, which is not subject to mark-to-market valuation, the report has said

Rapid private credit growth, growing 'interconnectedness' with banks and NBFIs can create vulnerabilities: RBI report

Private credit, essentially provided by non-bank lenders to corporates on a bilateral basis, has grown four-fold over the last ten years, the RBI's financial stability report has said

Why never-better bank balance sheets aren’t enough for the RBI

The RBI has said that while a closely linked financial system is efficient and desirable, such links must be monitored as they can also become sources of stress at best and of instability at worst.

Financial Stability Report: Write-offs improved asset quality

Increased provisioning for bad loans, which could come about, both from the new expected loss-based regulations or from increased NPAs, could dent profitability and CRAR ratios in future 

Financial Stability Report: Consumption still stuck on the runway

Two charts in the RBI's Financial Stability Report show how real wages have fared since 2018

Chart of the Day: Retail loans getting riskier, but banks can handle it

As of March end, unsecured retail SMA loans were 6.9 percent of the total portfolio. In case of trouble, banks cannot recover money from unsecured loans due to lack of collateral

Credit card bad debt doubles to 18% for state-run banks: RBI Financial Stability Report

On a year-on-year basis, data with the FSR showed that the NPA for credit cards has increased from 9 percent in March 2022 to 18 percent in March 2023

The missing message for 2023 in the RBI’s Financial Stability Report

The banking system is at its best in almost a decade. But for the current credit cycle to be sustained, banks must not repeat the mistakes of the last one

RBI Financial Stability Report | Bad loans of big cooperative banks worsened in September

Gross non-performing assets (GNPA) ratios of urban cooperative banks (UCBs) have worsened for both scheduled urban cooperative banks (SUCBs) and non-scheduled urban cooperative banks (NSUCBs) in September 2022

HDFC Bank to be among world's top 10 most valuable banks after merger: Report

HDFC Bank, India's largest private lender has a market capitalisation of about $108 billion and recently edged past Citigroup (over $100. 5 billion), which was at the 17th position

What you need to know from RBI’s Financial Stability Report

The recent bank credit off-take needs close monitoring as there has been higher lending to MSMEs and other sectors which were hit badly by the pandemic

RBI Financial Stability Report: Indian economy on the mend but inflation concerns remain

High inflationary pressures, external spillovers and geopolitical risks warrant careful handling and close monitoring, the RBI said.

RBI Financial Stability Report: Banks' asset quality improving, GNPAs at 6-year low

The gross non-performing assets (GNPA) ratio of scheduled commercial banks declined to 5.9 percent in March 2022 from 7.4 percent in March 2021, the RBI said. Net NPA ratio stood at 1.7 percent as on March-end.

Bankers don't share the same enthusiasm on the recovery as markets do

RBI survey shows bankers pessimistic about post pandemic recovery

RBI flags growing presence of Big techs a challenge to banks

As a resolution, RBI said that blending activity and entity-based prudential regulation of big techs may be applied.

RBI Financial Stability Report | Stress test under stress

Error rate for RBI projections in its stress test high

Financial Stability Report a concern but analysts are betting big on these 9 banking stocks

Despite the recent rally, there are plenty of opportunities within the private sector banks, which are adequately provided and have sufficient capital, say experts.

RBI Financial Stability Report tells investors: Wake up and smell the coffee

Report warns of a rise in NPAs which could hamper economic recovery, warns of stretched valuations of financial assets posing risks to financial stability

Centre to discuss Financial Stability Report with RBI before release: Report

Financial Stability Report (FSR) is likely to be released on January 11, 2021.

Chart of the Day | What bankers think about the economic recovery

Majority felt that banking sector prospects will diminish considerably, shows RBI systemic risk survey

Stressing about bank capital

Macroeconomic shocks could lead to capital levels falling below 7 percent for multiple banks