Month: September 2021

SBI and Bandhan Bank planning to move their back office verticals to fintech hub of Kolkata, BFSI News, ET BFSI

Banking & Finance

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Banks like State Bank of India and Bandhan Bank are planning to move several of their back office verticals and processing centers in the sprawling fintech hub of Kolkata which is being built on 70 acre in New Town area.

As many as 28 financial institutions and legal firms have already taken land in the fintech hub, for which foundation stone was laid in 2012, one year after Mamata Banerjee came to power ending three decades of Left rule.

The government on Friday made the land booking and registration process online. About 48 acre of 70 acre has been allotted so far.

The government has also made rules easier for mutual funds to acquire land here.

Entities other than mutual funds, become eligible for a plot of land in the fintech hub if and only if they have annual revenue in excess of Rs 500 crore every year for three years.

Bandhan Bank has taken two plots in the hub and is planning to build its headquarter here as well as create a currency chest and back office, managing director Chandra Shekhar Ghosh said at the event to launch the online facility.

SBI chief general manager Ranjan Kumar Mishra said the bank is contemplating various of its verticals and processing centers here.

The hub, which is located at one of the most modern townships adjacent to Kolkata, is expected to be ready in three to four years time.



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7 Stocks To Buy With Potential Upside of Up To 51% From Sharekhan

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7 stocks that you can buy according to Sharekhan’s Value Report

Company Name Current market price, Sept 10 Target price (Sharekhan) Gains %
Zee Entertainment Rs 182 Rs 275 51.1%
Granules India Rs 328 Rs 475 44.82%
TCI Ltd Rs 427 Rs 541 26.87%
Va Tech Wabag Rs 335 Rs 435 29.85%
Sadhbhav Engineering Rs 51 Rs 68 33.33%
Power Grid Rs 173 Rs 217 25.43%
NTPC Rs 117 Rs 140 19.66%

Zee Entertainment has an upside potential

Zee Entertainment has an upside potential

According to the report, Zee Entertainment has the best potential from amongst these 7 stocks to generate returns. The stock has over the years taken a knock as the promoters pledged shares to pay of their debts became an issue.

However, the founder of the group Subhash Chandra said that nearly 91.25 of the total debt to lenders has been settled.

“I am happy to report that we have come out of the financial stress situation by settling 91.2% of our total debt to 43 lenders in 110 accounts. About 88.3% of the amount has been paid, while the remaining 2.9% is in the process of being paid. We are making all the required efforts to settle the remaining 8.8% of our total debt,” Chandra said in an open letter.

Granules India, TCI Ltd are other stocks that can deliver

Granules India, TCI Ltd are other stocks that can deliver

According to Sharekhan’s report the other stocks that can deliver is Granules India and TCI Ltd. Recently, Granules India received licence from Defence Research & Development Organisation to manufacture and market Covid-19 treatment drug, 2- Deoxy-D-Glucose (2-DG). Developed by DRDO, 2-DG has been granted permission b y the Drug Controller for emergency use as adjunct therapy in moderate to severe Covid-19 patients, Granules India has said. However, unlike most of the markets the stock has already run-up.

From time to time, while we do highlight reports of brokerages, we wish to point out that the markets are overvalued at the moment based on price to earnings for Sensex companies. According to broking firm Motilal Oswal, the Sensex is currently trading at 18% premium to long term averages, and hence prudence would be better. Staggered investing is the best bet when the markets are buoyant. Investors should exercise a degree of caution give the way the markets have rallied in the last 2-3 months. In fact, 1,000 points gain on the Nifty has come in just 19 trading sessions, which makes it time to be cautious.

Disclaimer

Disclaimer

The article is informational in nature, which is taken from the brokerage report of Sharekhan. Please do consult a professional advisor before you invest in equities. Greynium Information Technologies Pvt Ltd, its subsidiaries, associates and authors do not accept culpability for losses and/or damages arising based on information in the article.



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7 Mutual Fund Schemes For SIP Investment Which Are Rated 5-Star By Crisil

Personal Finance

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How Crisil ranks Equity Mutual Funds?

Crisil ranks these mutual funds based on various parameters.

1) Mean return and volatility

Mean return and volatility are considered as separate parameters across all categories. Mean return is the average of daily returns based on the scheme’s NAV for the period under analysis and volatility is the standard deviation of these returns.

2) Exposure to sensitive sectors

In case of debt schemes, industry concentration is analysed for exposure to sensitive sectors which are arrived based on Industry Risk Score (IRS) for various sectors. Crisil’s assessment of IRS quantifies the credit risk associated with an industry on a uniform scale to ensure comparability across industries.

3) Liquidity

3) Liquidity

It measures the ease with which a portfolio can be liquidated. The lower the score, the better. In case of equities, it measures the number of days to liquidate the portfolio. Liquidity is calculated by taking the average portfolio liquidity score of the past three months

4) Asset quality

Asset quality measures the probability of default by the issuer of a debt security to honour the debt obligation in time.

5) Tracking error This is used only for index schemes. The tracking error is an estimation of the variability in a scheme’s performance vis-à-vis the index that it tracks. The lower the tracking error, the better.

6. Count of Negative Returns The count of negative returns is used as parameter in arbitrage funds to capture downside risk of the funds

List of 5-star rated mutual funds across categories to invest in

List of 5-star rated mutual funds across categories to invest in

Name of fund Type of fund 3-year returns, annualized
Mirae Asset Emerging Bluechip Fund Large and midcap 22.36%
UTI Core Equity Fund Large and Midcap 14.27%
Canara Robeco Bluechip Equity Fund Largecap 17.14%
IDBI India Top 100 Equity Fund Largecap 14.53%
Franklin India Bluechip Fund Largecap 12.27%
PGIM India Flexi Cap Fund Flexicap 23.47%
UTI Flexi Cap Fund Flexicap 18.82%

Our take on SIPs

Our take on SIPs

The Sensex at the moment is at 58,000 points and according to reports, the Sensex is trading at 18% premium to long term averages. Against this backdrop it is best to invest through Systematic Investment Plans. We suggest that your SIP amount needs to be small, given where the markets are. In case the markets fall, you can aggressively increase your Systematic Investment Plans amount.

For the time being we suggest that investor invest only small amounts, so risks are hedged to an extent.

Disclaimer:

Disclaimer:

The mutual funds mentioned in this story are taken from the ratings of CRISIL. Please do consult a professional advisor before you invest in mutual funds. Greynium Information Technologies Pvt Ltd, its subsidiaries, associates and authors do not accept culpability for losses and/or damages arising based on information in the article. Caution needs to be exercised as mutual funds are subject to risks associated with the stock markets.



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NPS: Finance Ministry Gives Nod To Employer’s Contribution Of 14% For CAB Employees

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Planning

oi-Roshni Agarwal

|

The Ministry of Finance has now approved the contribution of 14% employer’s share to NPS account of CAB or Central Automonous Bodies’ employees. Vide a notification dated 31st January 2019, the centre had enhanced the employer’s share of contribution for centre’s NPS subscribers from 10% to 14%. Nonetheless, as CAB employees are not central government employees, 14% employer’s share ruling did not become applicable for them automatically.

NPS: Finance Ministry Gives Nod To Employer’s Contribution Of 14% For CABs

NPS: Finance Ministry Gives Nod To Employer’s Contribution Of 14% For CAB Employees

CABs are dependent financially on grant-in-aid from the centre. Now any such increase in the employer’s contribution would result in budgetary implication and that needs approval from the centre. There was noticed that without prior approval from the finance ministry, the employer’s contribution was increased to 14% of pay and DA in respect of a number of CABs.

The Government was informed that “such internal and suo-moto decisions by the CABs/ Administrative Ministries are contrary to the Delegation of Financial Powers and tantamount to unauthorized expenditure.”

“The issue has further been examined by this Department and taking into consideration all the factors, it has been decided that the notification dated 31.01.2019 may be extended to the employees of Central Autonomous Bodies,” Department of Expenditure, Ministry of Finance said in an Office Memorandum dated 26th August 2021.

“The date of effect will be same as applicable in case of Central Government employees i.e. 01.04.2019. The administrative Ministry/ Departments are directed to ensure that while implementing the enhanced share of contribution among the autonomous bodies, the financial implications shall be borne by the Government in the same manner, as was decided to be borne while implementing the pay revision benefits to employees of autonomous bodies in terms of the 7th CPC recommendation as enumerated vide this Department’s order,” the Office Memorandum further said.

GoodReturns.in

Story first published: Friday, September 10, 2021, 22:36 [IST]



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Punjab National Bank’s board approves raising ₹6,000 crore

Banking & Finance

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Punjab National Bank (PNB) on Friday said its board has approved raising up to ₹6,000 crore by issuing bonds.

The decision was taken at the meeting of the board of directors on Friday.

In a regulatory filing, the bank said its board has “approved raising of capital through issue of Basel III additional Tier-1 (AT-1) bonds or Tier II bonds or a combination of both in one or more tranches up to an amount of ₹6,000 crore”.

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IndiaBulls NCD 2021 Offers 9.75% Interest Rate: Check If This Investment Is Suitable For You

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Investment

oi-Roshni Agarwal

|

NCD or non convertible debenture is a debt instrument issued by the company for mopping up funds from the public and in return they provide some return or coupon rate. The product or the investment option is referred as NCD because the debt component cannot be converted into equity. So, here are checkpoints listed to help you ascertain whether this fixed instrument option shall be apt or not for your investment goals:

IndiaBulls NCD 2021 Offers 9.75% Rate: Check If The Investment Suits You

IndiaBulls NCD 2021 Offers 9.75% Interest Rate: Check If This Investment Is Suitable For You

About the company: Indiabulls Housing Finance is among the leading housing financiers in the country on the basis of AUM. The company works under the ambit of National Housing Bank. The company’s primary focus is on long term secured mortgaged backed loans, with major loan book comprising of secured loans. In the housing segment, the company offers home loan, LAP as well as mortgage loans to developers.

Issue details:

Nature of instrument: Secured & Unsecured Subordinated Redeemable

Issue size: Base Issue of Rs. 200 Cr. with an option to over subscribe up to Rs. 800 Cr. aggregating to Rs. 1000 Cr.

Minimum application: Rs. 10,000 (10 NCD) and in multiples of Rs. 1000 (1 NCD) thereafter

Stock Exchange for Listing: BSE & NSE

Credit Rating CRISIL AA/Stable & BWR AA+ Negative

Mode of Allotment and Trading First Come First Serve Only

Issue objective: Through the proceeds, the housing finance company will go ahead with its onward lending, financing, and for repayment of interest and principal of current borrowings; and for general corporate purposes.

Coupon rate: Here in unsecured NCD comes with a lock in period of 87 months or over 7 years. And the highest coupon rate of 9.75% is pegged for unsecured NCDs.

Series Series 1 Series 2 Series 3 Series 4 Series 5 Series 6 Series 7 Series 8 Series 9 Series 10
Tenor 24 Months 24 Months 24 Months 36 Months 36 Months 36 Months 60 Months 60 Months 87 Months 87 Months
Type of Instrument Secured NCDs Unsecured NCDs
Frequency of Interest Payment Annual Cumulative Monthly Annual Cumulative Monthly Annual Monthly Annual Monthly
Coupon Rate (Retail) 8.75% NA 8.42% 9.00% NA 8.66% 9.25% 8.89% 9.75% 9.35%
Effective Yield (%) 8.75% 8.75% 8.75% 9.00% 9.00% 9.00% 9.25% 9.25% 9.75% 9.75%
Amount on Maturity Rs 1,000.00 Rs 1,182.70 Rs 1,000.00 Rs 1,000.00 Rs 1,295.35 Rs 1,000.00 Rs 1,000.00 Rs 1,000.00 Rs 1,000.00 Rs 1,000.00

Credit rating: Credit rating is another criteria to judge an NCD and this open NCD commands a good rating. Nonetheless the credit rating can change over time depending on the financials and other aspects associated with the issuer of the NCD.

Conclusion: This is a unique NCD issue with both secured and unsecured component and so here unsecured component of the issue will pose risk for the investors in case of financial unease at the company. And now if your risk appetite allows you still can go with the secured option only for higher returns and avoid unsecured option altogether. This is also being said on the rationale that company’s financials are in a declining trend so we may see it defaulting on interest payment etc. Also, there is Covid impact which has disrputed business across verticals, with HFCs not an exception.

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Kotak Mahindra Bank Revises Interest Rates On Fixed Deposit: Latest Rates Here

Personal Finance

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Investment

oi-Vipul Das

|

Kotak Mahindra Bank Limited, India’s leading private sector lender offers a range of fixed deposit schemes such as regular deposits, tax saving deposits, senior citizens deposits, and so on to its debt investors. With a minimum deposit amount of Rs, 5000 one can open a fixed deposit account at Kotak Mahindra Bank to witness a plethora of benefits such as, attractive and assured returns, flexible maturity period of 7 to 10 years, flexible interest withdrawal option, online account opening and managing option, overdraft facility against fixed deposit, premature withdrawal facility, etc. Despite all such features, let me make you aware that the bank has revised interest rates on its fixed deposits which are now in force from 8th September 2021. To know more about the new rates, please keep on reading to make a conclusion whether to invest or not.

Kotak Mahindra Bank Regular Fixed Deposit Rates

Kotak Mahindra Bank Regular Fixed Deposit Rates

For a deposit amount of less than Rs 2 Cr, regular customers will get an interest rate of 2.50% and 2.75% for deposits maturing in 7 to 30 days and 31 to 90 days. For deposits maturing in 91 – 120 Days and 121 – 179 days, the bank is now offering an interest rate of 3.00% and 3.25%. For FDs maturing in 180 days to 269 days and 270 days to 364 days, Kotak Mahindra Bank is offering an interest rate of 4.25% and 4.40%. The bank is now promising an interest rate of 4.50% and 4.75% on FDs maturing in 365 Days to 389 Days and 390 Days to less than 23 months.

For domestic term deposits maturing in 23 months to less than 2 years and 2 years to less than 3 years, the bank is now promising an interest rate of 4.90% and 5.00% respectively. Kotak Mahindra Bank is now promising an interest rate of 5.10% on deposits maturing in 3 years and above but less than 4 years. On long-term deposits of 4 years and above but less than 5 years and 5 years and above upto and inclusive of 10 years, the bank is offering an interest rate of 5.20% and 5.25% post latest revision.

Tenor Interest Rate In % (p.a.) Annualised Yield
7 – 14 Days 2.50% 2.50%
15 – 30 Days 2.50% 2.50%
31 – 45 Days 2.75% 2.75%
46 – 90 Days 2.75% 2.75%
91 – 120 Days 3.00% 3.00%
121 – 179 days 3.25% 3.25%
180 Days 4.25% 4.25%
181 Days to 269 Days 4.25% 4.30%
270 Days 4.40% 4.45%
271 Days to 363 Days 4.40% 4.45%
364 Days 4.40% 4.45%
365 Days to 389 Days 4.50% 4.58%
390 Days (12 months 25 days) 4.75% 4.84%
391 Days – Less than 23 Months 4.75% 4.84%
23 Months 4.90% 4.99%
23 months 1 Day- less than 2 years 4.90% 4.99%
2 years- less than 3 years 5.00% 5.09%
3 years and above but less than 4 years 5.10% 5.20%
4 years and above but less than 5 years 5.20% 5.30%
5 years and above upto and inclusive of 10 years 5.25% 5.35%
Source: Bank Website, W.e.f. 8th September 2021

Kotak Mahindra Bank FD Rates For Senior Citizens

Kotak Mahindra Bank FD Rates For Senior Citizens

Senior citizens will continue to get the following interest rates on their deposits of less than Rs 2 Cr.

Tenor Interest Rate In % (p.a.) Annualised Yield
7 – 14 Days 3.00% 3.00%
15 – 30 Days 3.00% 3.00%
31 – 45 Days 3.25% 3.25%
46 – 90 Days 3.25% 3.25%
91 – 120 Days 3.50% 3.50%
121 – 179 days 3.75% 3.75%
180 Days 4.75% 4.75%
181 Days to 269 Days 4.75% 4.81%
270 Days 4.90% 4.96%
271 Days to 363 Days 4.90% 4.96%
364 Days 4.90% 4.96%
365 Days to 389 Days 5.00% 5.09%
390 Days (12 months 25 days) 5.25% 5.35%
391 Days – Less than 23 Months 5.25% 5.35%
23 Months 5.40% 5.51%
23 months 1 Day- less than 2 years 5.40% 5.51%
2 years- less than 3 years 5.50% 5.61%
3 years and above but less than 4 years 5.60% 5.72%
4 years and above but less than 5 years 5.70% 5.82%
5 years and above upto and inclusive of 10 years 5.75% 5.88%

Fixed Deposits Interest Rates for Domestic / NRO / NRE effective from 8th September 2021 (For Rs 2 Cr and above)

Fixed Deposits Interest Rates for Domestic / NRO / NRE effective from 8th September 2021 (For Rs 2 Cr and above)

Maturity Period Rs. 2 Cr & above but below Rs. 5 Cr Rs. 5 Cr & above but below Rs. 10 Cr Rs. 10 Cr & above but below 25 Cr Rs. 25 Cr & above
7 – 14 Days 2.50% 2.75% 2.75% 2.75%
15 – 30 Days 2.50% 2.75% 2.75% 2.75%
31 – 45 Days 2.75% 3.00% 3.00% 3.00%
46 – 60 Days 2.75% 3.00% 3.00% 3.00%
61 – 90 Days 3.00% 3.25% 3.25% 3.25%
91 – 120 Days 3.00% 3.30% 3.30% 3.30%
121 – 179 Days 3.00% 3.35% 3.35% 3.35%
180 Days 3.60% 3.50% 3.50% 3.50%
181 Days to 270 Days 3.60% 3.50% 3.50% 3.50%
271 Days to 279 Days 2.80% 2.75% 2.75% 2.75%
280 Days to Less than 12 Months 3.75% 3.65% 3.65% 3.65%
12 months – less than 15 months 3.90% 3.70% 3.70% 3.70%
15 months – less than 18 months 4.00% 3.95% 3.95% 3.95%
18 months – less than 2 Years 4.10% 4.10% 4.10% 4.10%
2 years and above but less than 3 years 4.40% 4.25% 4.25% 4.25%
3 years and above but less than 4 years 4.50% 4.50% 4.50% 4.50%
4 years and above but less than 5 years 4.50% 4.50% 4.50% 4.50%
5 years and above upto & inclusive of 7 years 4.50% 4.50% 4.50% 4.50%

Fixed Deposits Interest Rates for Domestic / NRO / NRE (Premature Withdrawal Not Allowed)

Fixed Deposits Interest Rates for Domestic / NRO / NRE (Premature Withdrawal Not Allowed)

Maturity Period Rs. 2 Cr & above but below Rs. 5 Cr Rs. 5 Cr & above but below Rs. 10 Cr Rs. 10 Cr & above but below 25 Cr Rs. 25 Cr & above
91 – 120 Days NA 3.40% 3.40% 3.40%
121 – 179 Days NA 3.45% 3.45% 3.45%
180 Days NA 3.60% 3.60% 3.60%
181 Days to 270 Days 3.70% 3.60% 3.60% 3.60%
271 Days to 279 Days 2.90% 2.85% 2.85% 2.85%
280 Days to Less than 12 Months 3.85% 3.75% 3.75% 3.75%
12 months – less than 15 months 4.00% 3.80% 3.80% 3.80%
15 months – less than 18 months 4.10% 4.05% 4.05% 4.05%
18 months – less than 2 Years 4.20% 4.20% 4.20% 4.20%
2 years and above but less than 3 years 4.50% 4.35% 4.35% 4.35%

Story first published: Friday, September 10, 2021, 19:09 [IST]



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4 Top Auto Sector Picks By Angel Broking For September 2021 For Up To 26% Gains

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1. Suprajit Engineering:

The company has reiterated its bullishness on Suprajit Engineering, the largest supplier of automotive cables to the domestic OEMS with presence across both 2Ws and PVs, for a target price of Rs. 390, which means gains of 26% considering closing price as on September 9, 2021

Rationale for a ‘Buy’ on Suprajit :

Strengths:

1. Moved from a single product, single client company to have diversified exposure

2. Low cost enabled the company to get more business

3. Outperformed the segment in the recent years with double digit growth as against low double digit declines in the segment in FY21.

4. Net cash position

“We believe SEL is prime beneficiary of ramp-up in production by OEMs across the globe and is well insulated from threat of EV (is developing new products). Its premium valuations are justified in our opinion owing to strong outlook and top-grade quality of earnings”, adds the brokerage.

Stock Market price as on closing of September 9 Target price Upside potential
Suprajit Engineering Rs. 310 Rs. 390 26%

2. Sona BLW:

2. Sona BLW:

This scrip has lately debuted on the D-Street and Angel Broking is bullish on the scrip for a target of Rs. 609, implying gains to the tune of 11% from last traded price of Rs. 550.5 per share on the NSE as on September 9, 2021.

Sona BLW is one of India’s leading automotive technology companies that derives ~40% of its revenues from Battery Electric Vehicles (BEV) and Hybrid Vehicles. It supplies EV differential assemblies and gears, BSG systems and EV traction motors to global customers. The company in the FY21 raked in most of its revenue from end use in the international markets.

Fastest growing global Battery Electric Vehicles big trigger for Sona BLW

The company’s capabilities have enabled them to gain market share across its products especially for products related to EV/BEV. They also have strong market share ranging from 55-90% for differential gears for PV, CV and tractor OEMs in India, adds the report.

“Given the traction in the BEV/Hybrid Vehicle space, we believe that Sona Comstar will continue to command higher multiple which is justified by ~47% earnings CAGR over FY21-24E”, mentions the brokerage firm in its report.

Stock Market price as on closing of September 9 Target price Upside potential
Sona BLW Rs. 550.5 Rs. 609 11%

3. GNA Axles:

3. GNA Axles:

Angel Broking has given a ‘Buy’ recommendation for GNA Axles for the similar target price of Rs. 815 as before.

The company is one of the leading suppliers of rear axles to the Auto industry. The company majorly catering to the CV segment is likely to be biggest beneficiary of the revival in the space. Major portion of its revenue are accounted for by the exports market of as much as 60%.

“GNA is expected to be one of the biggest beneficiaries of strong growth outlook for truck sales in US and Europe markets which are witnessing strong recovery in demand. US which accounts for almost 40% of the company’s revenues has been registering strong class 8 truck sales”, says the report.

‘The venture into the SUV axle would provide the company with new growth avenues while the recovery in the domestic CV cycle also bodes well for the company. At current level the stock is trading at a P/E multiple of 11.6x FY23E EPS estimate of Rs. 58″, added the report.

Auto stock Market price as on closing of September 9 Target price Upside potential
GNA Axles Rs790.8 Rs. 815 3%

4. Ashok Leyland:

4. Ashok Leyland:

This tractor player is also betted on for by Ashok Leyland for a target price of Rs. 158 per share. Ashok Leyland has a significant share in MHCV and the demand got severely impacted owing to multiple factors including changes in axel norms, increase in prices due to implementation of BS 6 norms followed by sharp drop in demand due the ongoing Covid-19 crisis.

Now even as MHCV segment has seen a pick-up, demand for buses shall remain low amid preference for personal mobility solution. “We believe that the company is ideally placed to capture the growth revival in CV segment and will be the biggest beneficiary of the Government’s voluntary scrappage policy and hence rate the stock a BUY”, says Angel Broking.

Auto stock Market price as on closing of September 9 Target price Upside potential
Ashok Leyland Rs. 125.3 Rs. 158 26%

Disclaimer:

Disclaimer:

Stock market investments are risky. The stock picks are taken from Angel Broking report and should not be construed as investment advice. Greyinum and its employees shall not be liable for any losses incurred on the decision taken considering the above report.

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Buy This Stock It Can Give A Dividend Yield Of 12.6% By FY 2022-23

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How the dividend for Coal India could pan out (estimates by Prabhudas Lilladher)

FY 2021-22 (e) FY 2022-23
Dividend per share Rs 14.4 Rs 18.5
Dividend yield 9.8% 12.6%

The dividends are based on the current market price of Rs 147 and in the past, the company has given an even higher dividend than Rs 18.5 estimated for Fy 2022-23. The firm has set a price target of Rs 164 on the stock of Coal India.

Reasons to buy the Coal India stock

Reasons to buy the Coal India stock

According to Prabhudas Lilladher, Coal India delivered marked improvement on three counts in August. Resilient volumes despite lean month, continuous reduction in dues from State power generators and strong E-auction revenues were the highlight of month.

“There are concerns that Coal India’s would be under pressure to divert high margin E-auction volumes to power utilities under linkage/Fuel supply agreement (FSA) due to increased power demand and low inventory at power plants. We see no risk to its E-auction volumes as power demand would start receding in October, seasonal increase in Coal India’s volume movement and 3) major chunk of auction volumes are already dedicated for power utilities. In light of better operational performance and strong outlook on E-auction realisations, we maintain Accumulate with a target price of Rs 164 based on EV/EBITDA of 3 times FY23e,” the brokerage has said.

Coal India performing better on operational front

Coal India performing better on operational front

According to Prabhudas Lilladher, Coal India’s offtake grew 9.5% YoY to 48.6mnt in August-21 on a high base of +9.4% with 1.57mnt/day, the fifth consecutive month of best ever seasonally adjusted daily run-rate. As inventory has started building up coupled with steeper rise in production, we believe that Coal India would positively surprise the street on off take supported by strong demand across sectors and lean inventory in the system,” the brokerage has said. The shares of Coal India has largely underperformed the Sensex in the last 1-year.

Disclaimer

Disclaimer

Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution. Greynium Information Technologies, the author, and the brokerage houses are not liable for any losses caused as a result of decisions based on the article.



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Reserve Bank of India – Press Releases

Press Releases

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1. Reserve Bank of India – Liabilities and Assets*
(₹ Crore)
Item 2020 2021 Variation
Sep. 4 Aug. 27 Sep. 3 Week Year
1 2 3 4 5
4 Loans and Advances          
4.1 Central Government – – – – –
4.2 State Governments 18834 3080 10550 7469 -8285
* Data are provisional.

2. Foreign Exchange Reserves
Item As on September 3, 2021 Variation over
Week End-March 2021 Year
₹ Cr. US$ Mn. ₹ Cr. US$ Mn. ₹ Cr. US$ Mn. ₹ Cr. US$ Mn.
1 2 3 4 5 6 7 8
1 Total Reserves 4690783 642453 21357 8895 471830 65469 726585 100440
1.1 Foreign Currency Assets 4233398 579813 20814 8213 309230 43119 588542 81451
1.2 Gold 278053 38083 2121 642 30330 4202 3635 561
1.3 SDRs 141913 19437 -1115 29 131049 17951 131072 17954
1.4 Reserve Position in the IMF 37420 5121 -463 11 1222 197 3336 474
*Difference, if any, is due to rounding off

4. Scheduled Commercial Banks – Business in India
(₹ Crore)
Item Outstanding as on Aug. 27, 2021 Variation over
Fortnight Financial year so far Year-on-year
2020-21 2021-22 2020 2021
1 2 3 4 5 6
2 Liabilities to Others            
2.1 Aggregate Deposits 15517046 -55253 609301 403534 1396596 1340253
2.1a Growth (Per cent)   –0.4 4.5 2.7 10.9 9.5
2.1.1 Demand 1790971 -5777 -79289 -70222 172080 253257
2.1.2 Time 13726075 -49476 688590 473756 1224516 1086996
2.2 Borrowings 238081 -1609 -36770 -5944 -71517 -34588
2.3 Other Demand and Time Liabilities 556523 -7941 -36299 -100085 35785 -10854
7 Bank Credit 10897463 8629 -154703 -52046 536005 681305
7.1a Growth (Per cent)   0.1 –1.5 –0.5 5.5 6.7
7a.1 Food Credit 68801 -3212 14177 7547 3550 2860
7a.2 Non-food credit 10828662 11841 -168880 -59592 532455 678446

6. Money Stock: Components and Sources
(₹ Crore)
Item Outstanding as on Variation over
2021 Fortnight Financial Year so far Year-on-Year
2020-21 2021-22 2020 2021
Mar. 31 Aug. 27 Amount % Amount % Amount % Amount % Amount %
1 2 3 4 5 6 7 8 9 10 11 12
M3 18844578 19328505 -77617 -0.4 848008 5.0 483927 2.6 1970881 12.6 1680533 9.5
1 Components (1.1.+1.2+1.3+1.4)                        
1.1 Currency with the Public 2751828 2830920 -23653 -0.8 233363 9.9 79092 2.9 500477 24.0 247809 9.6
1.2 Demand Deposits with Banks 1995120 1926054 -6090 -0.3 -78486 -4.5 -69066 –3.5 178527 12.1 266847 16.1
1.3 Time Deposits with Banks 14050278 14525375 -48131 -0.3 691675 5.5 475097 3.4 1282896 10.6 1159684 8.7
1.4 ‘Other’ Deposits with Reserve Bank 47351 46156 257 0.6 1456 3.8 -1195 –2.5 8982 29.0 6192 15.5
2 Sources (2.1+2.2+2.3+2.4-2.5)                        
2.1 Net Bank Credit to Government 5850374 6075960 -17417 -0.3 653377 13.2 225586 3.9 893089 18.9 462221 8.2
2.1.1 Reserve Bank 1099686 1191232 2805   22954   91547   80224   176086  
2.1.2 Other Banks 4750689 4884728 -20222 -0.4 630423 15.9 134039 2.8 812865 21.5 286135 6.2
2.2 Bank Credit to Commercial Sector 11668466 11608342 7985 0.1 -162407 -1.5 -60124 –0.5 587078 5.7 732105 6.7
2.2.1 Reserve Bank 8709 8616 -82   -1601   -93   3968   -2949  
2.2.2 Other Banks 11659757 11599726 8067 0.1 -160806 -1.5 -60031 –0.5 583110 5.7 735054 6.8

8. Liquidity Operations by RBI
(₹ Crore)
Date Liquidity Adjustment Facility MSF* Standing Liquidity Facilities Market Stabi lisation Scheme OMO (Outright) Long Term Repo Ope rations& Targeted Long Term Repo Ope rations# Special Long-Term Repo Operations for Small Finance Banks Special Reverse Repo£ Net Injection (+)/ Absorption (-) (1+3+5+6+ 9+10+11+ 12-2-4-7-8-13)
Repo Reverse Repo* Variable Rate Repo Variable Rate Reverse Repo Sale Purchase
1 2 3 4 5 6 7 8 9 10 11 12 13 14
Aug. 30, 2021 – 558539 – – 0 5000 – – – – 50 – – -553489
Aug. 31, 2021 – 638443 – – 325 – – – – – – – – -638118
Sep. 1, 2021 – 662871 – – 0 – – – – – – – – -662871
Sep. 2, 2021 – 714231 – – 19 – – – – – – – – -714212
Sep. 3, 2021 – 683539 – – 0 – – – – – – – – -683539
Sep. 4, 2021 – 38160 – – 1276 – – – – – – – – -36884
Sep. 5, 2021 – 5665 – – 51 – – – – – – – – -5614
* Includes additional Reverse Repo and additional MSF operations (for the period December 16, 2019 to February 13, 2020).
# Includes Targeted Long Term Repo Operations (TLTRO) and Targeted Long Term Repo Operations 2.0 (TLTRO 2.0) and On Tap Targeted Long Term Repo Operations. Negative (-) sign indicates repayments done by Banks.
& Negative (-) sign indicates repayments done by Banks.
£ As per Press Release No. 2021-2022/177 dated May 07, 2021. From June 18, 2021, the data also includes the amount absorbed as per the Press Release No. 2021-2022/323 dated June 04, 2021.

The above information can be accessed on Internet at https://wss.rbi.org.in/

The concepts and methodologies for WSS are available in Handbook on WSS (https://rbi.org.in/scripts/PublicationsView.aspx?id=15762).

Time series data are available at https://dbie.rbi.org.in

Ajit Prasad
Director   

Press Release: 2021-2022/846

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