Provisions

On March 27, the RBI issued a clarification on its earlier guidelines on investments by lenders in alternative investment funds that have further investments in borrower companies linked to the lenders.

Morgan Stanley estimates credit loss impact on loans between 1% and 2.5%

Morgan Stanley expressed difficulty in providing an exact estimation of the impact of the expected credit loss (ECL) guidelines, as the final guidelines are pending. However, their rough estimate suggests that the impact could range from 1% to 2.5% of loans.

Should banks follow credit loss model for provisioning: RBI to seek industry views

India’s banks presently follow incurred loss model for ascertaining loan loss provisions.

Chart of the Day: NBFCs are yet to fix their stressed loan book

Non-bank lenders have not been able to reduce their delinquencies in a big way despite the recovery in the economy once the pandemic began to recede.

Is your real estate project exempted under RERA?

Various RERA authorities have expressed divergent views in respect of interpretation of Section 3(2) (a) of the RERA Act, which exempts certain projects from the requirement of registration.

Ideas For Profit | ICICI Bank

Q1 FY22 earnings reaffirm that ICICI Bank has transitioned well from a stressed bank to a growing lender. However, the valuation is not yet fully capturing the significant improvement in business fundamentals and growth story. Q1FY22 Highlights: · Net profit surged to Rs 4,616 crore, a growth of 78% YoY · NIMs improved on domestic book to 3.9% · Wrote back Rs 1,050 crore of COVID-19 related provisions created in earlier periods · High provision coverage ratio of 78% as of end June is comforting · Stock is trading at around 1.9 times FY23 estimated core book

COVID-19 crisis: Banks may beef up provisions to year-ago level in April-June quarter, say analysts

While banks have so far been cautious about forecasting credit costs, analysts see the fresh provisioning burden at around Rs 56,000 crore.

What should investors do with Axis Bank post Q2 results: buy, sell or hold?

Most of the global brokerage firms which came out with recommendations maintained their rating on Axis Bank while JP Morgan raised its target price to Rs 790 from Rs 770 earlier.

Cap on cash donations: Former CECs say more can be done

The cap of Rs 2,000 per person on cash donations to political parties is a welcome move but the provisions can be made more stringent as parties can still find ways to bypass laws aimed at cleansing electoral system of black money, former Chief Election Commissioners feel.

UCO Bank's provisions will come down in 3rd quarter: Chief

In conversation with CNBC-TV18, Ravi Krishan Takkar, MD & CEO of the bank, said net non-performing assets (NPA) have come down from 10.04 percent as on June to 8.83 percent. This is due to good recovery and the bank was able to upgrade few account during this quarter.

ICICI Bank Q2 net seen down 18%, slippage from watchlist key

Slippage in Q2 from watchlist will be seen closely. Provisions may remain elevated in Q2 despite stake sale in ICICI Pru life. Q1 provision was at Rs 2514.5 crore while ICICI had created contingent provision in Q4FY16 of which Rs 2734.6 crore is available with them after Q1.

Merger with SBI should be completed before March 31: SBM

In an interview to CNBC-TV18, N Krishnamachari, MD of State Bank of Mysore spoke about the results and his outlook for the company.

Axis Bank Q2 profit sinks 83% to Rs 319 cr, provisions up 5-fold

Private sector lender Axis Bank has reported a whopping 83.1 percent degrowth in profit at Rs 319 crore for July-September quarter, dented by big clean-up of bad loans that lifted provisions 5-fold.

Indian Bank Q1 profit jumps 43% despite high tax cost; NPAs rise

Asset quality weakened a bit as gross non-performing assets as a percentage of gross advances increased 31 basis points to 6.97 percent and net NPA rose 28 basis points to 4.48 percent on sequential basis.

Good monsoon, festive season likely to boost sentiment: M&M Fin

The company reported a subdued quarter with 2.25 percent fall in its net profit to Rs 87 crore and reduced its provisions to 30.5 percent to Rs 224.5 crore in Q1. Asset quality quarter-on-quarter deteriorated to 36.9 percent at Rs 4,414.7 crore.

SBBJ reports Rs 221 cr loss in Q1

It had registered a net profit of Rs 270.62 crore in the April-June period of last fiscal, 2015-16, SBBJ said in a regulatory filing.

RBI's new stressed assets scheme better than SDR: UCO Bank

The Reserve Bank of India's new Scheme for Sustainable Structuring of Stressed Assets will help banks with large corporate accounts in textiles, iron and steel and power sectors, says Ravi Krishan Takkar of UCO Bank in an interview to CNBC-TV18.

PNB Q4 loss at Rs 5367 cr, provisions rise 3-fold to Rs 10485 cr

Provisions increased nearly 3-fold to Rs 10,485.23 crore during the quarter compared to Rs 3,775.53 crore in preceding quarter and Rs 3,834.2 crore in corresponding period of last fiscal.

Axis Bank Q4 net may slip 7%, provision may hit; NII seen up 13%

Analysts polled by CNBC-TV18 will be keenly watching if loan growth will be higher than industry average driven by retail book. Net interest margins may be under pressure due to stressed assets.

Nifty floor near 6800; banks not going bankrupt: Kotak's Prasad

Global conditions may result in overshoot in the short term, but we expect several stocks to be meaningfully higher versus current levels over the next 9-12 months, Sanjeev Prasad, Senior Executive Director & Co Head (Strategy), Kotak Institutional Equities writes in a note to clients

IDBI Q3 loss @ Rs 2184cr on high provisions, slippages up 4-fold

In absolute terms, gross NPA jumped 33 percent quarter-on-quarter to Rs 19,615 crore and net NPA shot up 48 percent to Rs 9,613 crore in quarter ended December 2015, impacted by fresh slippages that increased significantly to Rs 5,839 crore from Rs 1,373 crore on sequential basis.

Canara Bank Q3 profit sinks 87% to Rs 85 cr, provisions up 70%

Net interest income, the difference between interest earned and interest expended, declined by 6.5 percent to Rs 2,226.6 crore in quarter ended December 2015 compared to Rs 2,380.48 crore in corresponding quarter of last fiscal.

PNB Q3 profit seen down 13%, provisions & asset quality key

Net interest income, the difference between interest earned and interest expended, may increase 1.26 percent to Rs 4,286 crore in quarter ended December 2015 compared to Rs 4,233 crore in year-ago period.

ICICI at 22-month low post Q3: Will analysts re-rate stock now?

CLSA maintains buy rating with a target of Rs 320 per share stating that credit costs drove earnings cut but valuations are attractive. The brokerage has reduced earnings forecasts for FY17-18 by 7-10 percent considering higher credit costs and states upside could arise from profit on sale of stakes in subsidiaries.

BoB Q2 profit tanks 89% on higher provisions, NPA worsens

Net interest income, the difference between interest earned and interest expended, declined 4.6 percent to Rs 3,244 crore from Rs 3,401 crore during same period.