A recent RBI circular reminds us that digital banking, welcome as it is in the overall context, does not benefit all sections of society equally.
While it will almost certainly impact the fiscal deficit, this needs to be accompanied by an aggressive recovery of loans so that moral hazard doesn’t set in.
While the State Bank of India has played a pioneering role through its insurance programme, premiums have skyrocketed recently, that too, secretly.
Although Roopa Kudva quit the bank transparency body in July 2017, there has been no public intimation of this development.
Obese banks are generally unhealthy for the economy. But the government is happily fattening banks thinking they are becoming “stronger” in the process.
SBI introduced a two-tier interest rate structure,cutting the rate for accounts with less than Rs. 1,00,00,000 to 3.5%, while those above it still net 4%..
State Bank of India, the biggest lender to the airlines, has pegged its losses at Rs 900 crore, however, the actual losses may be even higher than these estimates.
The additional loss of Rs 5,792 crores in the quarter ended March 2017 surprised the capital market. Were the regulator, the parent bank and SBI’s chairperson aware of the state of asset quality in its subsidiaries?
Leaving aside the historical traditions of each princely state bank, and the imminent implementation obstacles, the few advantages of this merger deserve closer scrutiny.
The corporate sector is responsible for 70% of the country’s NPAs, but their loans are being waived off while waiving farming loans is still being frowned upon.
Indian shares rose on Monday, with the NSE index moving close to breaching a key psychological level of 9,000, on hopes the ruling BJP would win the ongoing elections in UP.
Both the former and current RBI governors are surely acquainted with the Gujarati saying “Kona Baapni Diwali”. This cannot be the Centre’s stance when it comes to solving India’s NPA crisis.
Going against RBI guidelines, the SBI branch told the officer that government offices were not allowed more than Rs 24,000 a week in cash.
It is dangerous for the government to seek financial stability at the cost of people who entrust their money to banks.
The second fortnight of September saw Rs 3 lakh crore of time deposits, something unique, followed by liquidation of Rs 1.2 lakh crore of these right after.
Over the past two years, Prime Minister Narendra Modi’s government has pushed banks to recognise non-performing assets, make adequate provisions for them and try to raise capital from outside to bolster their balance sheets.
Through mergers with its associate banks, SBI will benefit from better reach and network, and will find itself among the world’s largest banks. But it also risks ignoring local sensibilities.
In Tamil Nadu, it is the Election Commission, and not the political parties, that is providing the nail biting finish to election season.
A consortium of banks led by the State Bank of India today rejected before the Supreme Court the proposal offered by liquor baron Vijay Mallya and his companies to pay 4,000 crore rupees by September towards partial settlement of the dues owed.
The high rejection rate could mean the banks had something to hide and may be a reflection of the government’s current trend of restricting the access to information.
Vijay Mallya on Wednesday submitted a proposal in the Supreme Court to pay 4000 crore rupees as partial settlement of the dues he owes to a consortium of banks led by State Bank of India.
When the Modi government came into power in May 2014, it found itself inheriting a host of legacy issues resulting from the after-effects of global recession and UPA II’s financial misadventures. There was a deep macroeconomic instability brought about by the high fiscal and current account deficits, raging […]
The ‘sin’ of public sector banks is that they lent heavily to infrastructure projects that never took off. The way forward is to provide for loan losses, infuse capital, fix their management and governance – and look to revive lending.