The government’s decision to infuse Rs 4,557 crore into IDBI Bank is a one-off exercise to help the bank recover from its NPA ills.
The government will provide Rs 4,557 crore as one-time recapitalisation to IDBI Bank.
We have collated a list of stocks which remained in focus on Wednesday because of their price action. The technical outlook is for the near to medium term.
The bank expects to raise capital from its majority shareholders--Life insurance Corporation of India (owns 51 percent stake) and the government of India (46 percent) before September 30, 2019, to meet the shortfall.
Trends on SGX Nifty indicate a flat to positive opening for the broader index in India, with 0.05 percent loss or 6 points. Nifty futures were trading around 11,116-level on the Singaporean Exchange.
RBI has also set framework to build regulatory sandbox for innovation in fintech. Banks Board Bureau has begun its hunt for BoI, PNB heads
IDBI Bank is also in talks with investors, including LIC to raise Rs 10,000 crore capital by the end of the second quarter to meet minimum regulatory requirements.
The bank has received binding bids for stake sale in its mutual funds subsidiary while the process is on for monetising investment in IDBI Federal Life Insurance.
The bank is looking for bidders for over 170 million shares in firms, including Neelachal Ispat Nigam and Haldia Petrochemicals.In January, LIC had completed acquiring a 51 percent stake in IDBI Bank, after it was approved by the Union cabinet in August 2018
The Life Insurance Corporation of India (LIC) in January 2019 acquired a 51 percent stake in the Bank, which reclassified it as a private sector financial institution
The lender has reduced its one-year MCLR or the minimum lending rate to 8.95 percent.
Some of the foreign banks operating in India also reported fraud cases worth crores during the last 11 fiscal years.
Former RBI Governor Raghuram Rajan has flagged key issues that the new government needs to tackle immediately
Once it is out of PCA, IDBI Bank aims to raise Rs 6500 capital including Rs 2500-3000 crore of Tier-2 bonds this financial year.
The bank has approached the Allahabad bench of the NCLT court to extend the Corporate Insolvency Resolution Process (CIRP) as the deadline expires on May 6, sources said.
IDBI Bank has launched 'NRI-Insta-Online' account opening process for NRIs residing in Financial Action Task Force member countries.
The bank has reduced its one-month lending rate by 10 basis points to 8.15 percent.
For December quarter of this fiscal, IDBI Bank reported widening of loss to Rs 4,185.48 crore as bad loans surged.
'The board of directors, at its meeting held on Tuesday, (March 19, 2019), has approved rupee bond borrowing limit of Rs 4,000 crore to be borrowed in one or more tranches,' the bank said in a regulatory filing.
According to the sources, the RBI is not in favour of changing the name of IDBI Bank.
IDBI Bank is now a private sector lender following acquisition of majority stake by LIC.
IDBI Bank has been under the prompt corrective action framework of RBI that bans it from corporate lending and branch expansions, salary hikes and other regular activities.
The country's largest insurer, LIC, that has a series of failed attempts to set up a bank associated with its name now owns a majority stake in IDBI Bank. Here's how it plans to revamp the bank and maximise shareholder wealth.