Author: root

Shopify survey, BFSI News, ET BFSI

Personal Finance

[ad_1]

Read More/Less


– Kruthikaa Lakshman

Contactless payments, especially UPI, is gaining traction this Diwali. Nearly 50% of festive shoppers said that they preferred to process payments via UPI as
opposed to any other form, a survey by e-commerce platform Shopify said.

The survey found that the preference for UPI remains consistent across both, online and offline shopping experiences.

The COVID-19 pandemic has had a lot to do with these trends, the survey said. Though the experience that predates the festival is anticipated by many, the
convenience and safety of online shopping has persisted by 76.9% of the shoppers this festive season, it added.

Shopify India released “The Festive Shopping Outlook Report 2021”, measuring consumer trends in the last month, in time for Diwali. Trends have shown that the festive shoppers who would traditionally begin buying for the season, a month in advance hadn’t done so this year.

With mobile phones and internet access to non-metro shoppers, more and more people were seen opting for the digital medium. Online shopping is prevalent after the pandemic has increased to larger areas of the country, according to the report.

60% shoppers use digital payments multiple times a week for festive season shopping: Survey

Contactless payment using radio frequency identification (RFID) or near field communication (NFC) is also constantly improving. The National Payments Corporation of India (NPCI) recently partnered with YES Bank to launch RuPay On-the-Go contactless payments solutions, which is further pushing shoppers to opt for contactless payments, the survey added.

Further, the survey said that the digital payments platform has been opened by Google Pay for use in contactless UPI patents as well.

In terms of what shoppers shopped for during the season, the survey finds that gold and precious metal jewellery, which have been traditional festive gifting favorites, seem to have fallen out of favor this year.

This year, most shoppers were seen investing in tech gadgets. Electronic gadgets, according to the survey, are all set to command maximum consumer gifting budgets with close to 42% respondents showcasing increased propensity towards it.



[ad_2]

CLICK HERE TO APPLY

Leave a comment , , , , , , , , ,

SBI Q2 earnings: State Bank of India’s profit soars 67% as provisions slide

Personal Finance

[ad_1]

Read More/Less


Slippages in Q2FY22 stood at Rs 4,176 crore, as against Rs 15,666 crore in the June quarter and the slippage ratio was 0.66% for the quarter.

State Bank of India’s (SBI) standalone net profit rose 67% year-on-year (y-o-y) to Rs 7,627 crore in Q2FY22 driven by an improvement in asset quality and a sharp drop in provisions. Dinesh Khara, chairman of SBI, said that after the Covid second wave receded, the asset quality outcomes in the September quarter turned out to be quite encouraging.

“The first quarter saw an elevated level of fresh slippages as collections were severely impacted due to restrictions on mobility and concerns around health and safety of our staff as well as customers. However, our ground level forces have rallied back in the second quarter,” Khara said.

Slippages in Q2FY22 stood at Rs 4,176 crore, as against Rs 15,666 crore in the June quarter and the slippage ratio was 0.66% for the quarter. Provisions dropped 98% y-o-y to Rs 189 crore and the credit cost stood at 0.43%. The gross non-performing asset (NPA) ratio fell 42 basis points (bps) sequentially to 4.9% and the net NPA ratio was down 25 bps at 1.52%. SBI’s total restructured book for resolution of Covid-related stress stood at Rs 30,312 crore, accounting for 1.2% of its loan book.

Khara said that loans which in Q1 had turned delinquent in the home loan and Xpress credit personal loan segments saw a pullback in Q2. In the small and medium enterprises (SME) segment, the bank was able to pull back or restructure loans as per the revised guidelines. “With the economic activity coming back, cash flows are restored and we are in a position to see better behaviour as far as borrowers are concerned. No major concerns are there related to asset quality because the underwriting has improved significantly and the collection machinery on the ground has become activated very well,” he added.

SBI’s net interest income (NII), or the difference between interest earned and expended, rose 10.7% y-o-y to Rs 31,184 crore. The net interest margin (NIM) rose 17 bps sequentially to 3.09%.

The bank’s gross advances grew 6.17% y-o-y to Rs 25.31 lakh crore as on September 30, 2021. Retail loans grew 15.2% y-o-y, while the corporate loan book shrank 4%. Khara said that working capital limits for large corporates are unutilised to the extent of 50%. However, SBI has a pipeline of Rs 1.15 lakh crore and it expects that term loans to the tune of Rs 2.25 lakh crore will be availed by companies. Sanctions worth Rs 4.6 lakh crore are still waiting to be availed, he said.

“As far as our overall advances growth is concerned, it stands at over 6% and we would like to see it growing up to 10%. Much of it could be a function of the real economy,” Khara said, adding that retail loans will continue to grow at a faster pace, going by the early signs seen in October. “This month we have seen decent demand from corporates too, and if that continues, we should be in a position to see decent numbers. The unutilised loan limits might decline from the current 50% to 30-35%,” he said.

Deposits grew 9.8% y-o-y to Rs 38.1 lakh crore as on September 30, with the current account savings account (CASA) ratio up 85 bps y-o-y at 46.24%.

SBI’s shares ended 1.14% higher than their previous close on the BSE at Rs 527.65 on Wednesday.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.



[ad_2]

CLICK HERE TO APPLY

Leave a comment , ,

Uday Kotak cautions equity investors of risks ahead

Personal Finance

[ad_1]

Read More/Less


Moving forward, the equity markets will continue to march upwards and the long-term outlook continues to be intact.

Uday Kotak, MD & CEO of Kotak Mahindra Bank, in a message cautioned investors that markets had run ahead of the economic reality. “We have seen the markets going much ahead than the economic reality over the last 18 months and from Samvat to Samvat the markets have performed outstandingly for investors,” Kotak said.

He further emphasised the central banks’ efforts across the world, including India, to keep the liquidity taps open ever since the pandemic occurred in 2020. The move also resulted in strong inflows in the Indian capital markets for the last 16-18 months. “Central banks around the world, including in India, have opened up the flood gates of money,” he said.

Considering the surge in the number of retail investors, he also advised investors to plan both risks and returns during investing in the markets, taking into account the challenges that may occur in the times ahead. However, with the economy of the country improving significantly and that of China’s witnessing challenges, the banker said he continued to be optimistic about the markets moving forward. “Enjoy the market ride but also be aware of the consequences,” said Kotak.

Moving forward, the equity markets will continue to march upwards and the long-term outlook continues to be intact.

However, investors will continue to track global economies, the decision of central banks, and commodity and oil prices among other factors in the near-term.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.



[ad_2]

CLICK HERE TO APPLY

Leave a comment , ,

Central Bank of India may exit PCA next year after RBI revises norms

Personal Finance

[ad_1]

Read More/Less


The central bank has excluded the parameter of return on assets (ROA) from the list of triggers that could put a bank under the PCA framework.

By Piyush Shukla

The Reserve Bank of India’s modified guidelines on prompt corrective action (PCA) framework will likely aid Central Bank of India to exit the same next year. The central bank has excluded the parameter of return on assets (ROA) from the list of triggers that could put a bank under the PCA framework.

The RBI had placed Central Bank of India under the prompt corrective action framework in June 2017 for negative return on assets and higher ratio of bad loans, among others. Presently, it is the only lender facing restrictions under the framework.

According to the RBI’s revised circular on PCA, capital, asset quality and leverage will be the parameters used to identify lenders weak enough to enter PCA. As on September 30, Central Bank of India’s capital adequacy ratio (CRAR) improved to 15.38% from 12.34% a year ago, registering an improvement of 304 basis points. Of this, common equity Tier-I capital stood at 13.41%, while Tier-II capital was 1.97%.

The lender’s asset quality also improved in the reporting quarter with gross and net bad loans ratio falling to 15.52% and 4.51%, respectively, as on September-end, from 17.36% and 5.60%, respectively, a year ago.

Leverage ratio, as at the end of September, stood at 5.15%, higher than 3.96% as on September 30, 2020. “The bank meets all the revised parameters for exiting the PCA framework and we expect the bank could exit the PCA in the current financial year,” Anil Gupta, vice-president and sector head of financial sector ratings at Icra told the Financial Express.

In a report dated September 30, Icra had reaffirmed A+ rating on Central Bank of India’s Tier-II bonds amounting to Rs 2,500 crore. It also revised the outlook on these bonds to stable from negative after an improvement in the bank’s capital position and solvency profile, mainly backed by Rs. 4,800-crore capital infusion by the Centre.

“The ‘stable’ outlook factors in the improved prospects of the bank for exiting the PCA framework and resuming business growth, which will be a positive from a profitability perspective,” the report said.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.



[ad_2]

CLICK HERE TO APPLY

Leave a comment , ,

Reserve Bank of India – Press Releases

Press Releases

[ad_1]

Read More/Less


The Reserve Bank of India vide directive DOS.CO.UCBs-West/D-1/12.07.157/2020-21 dated February 03, 2021 had placed Sarjeraodada Naik Shirala Sahakari Bank Ltd, Shirala, Dist. Sangli, Maharashtra under Directions from the close of business on February 03, 2021 for a period of six months. The validity of the above directions was subsequently extended till November 03, 2021.

It is hereby notified for the information of the public that Reserve Bank of India, in exercise of powers vested in it under sub-section (1) of Section 35 A read with Section 56 of the Banking Regulation Act, 1949, hereby directs that the aforesaid Directions shall continue to apply to the bank till January 03, 2022 as per the directive DOR.MON/D-45/12.07.157/2021-22 dated November 03, 2021, subject to review.

All other terms and conditions of the Directive under reference shall remain unchanged. A copy of the directive dated November 03, 2021 notifying the above extension is displayed at the bank’s premises for the perusal of public.

The aforesaid extension and /or modification by Reserve Bank of India should not per-se be construed to imply that Reserve Bank of India is satisfied with the financial position of the bank.

(Yogesh Dayal)     
Chief General Manager

Press Release: 2021-2022/1149

[ad_2]

CLICK HERE TO APPLY

Leave a comment

Reserve Bank of India – Press Releases

Press Releases

[ad_1]

Read More/Less




April 14, 2015




Dear All




Welcome to the refurbished site of the Reserve Bank of India.





The two most important features of the site are: One, in addition to the default site, the refurbished site also has all the information bifurcated functionwise; two, a much improved search – well, at least we think so but you be the judge.




With this makeover, we also take a small step into social media. We will now use Twitter (albeit one way) to send out alerts on the announcements we make and YouTube to place in public domain our press conferences, interviews of our top management, events, such as, town halls and of course, some films aimed at consumer literacy.




The site can be accessed through most browsers and devices; it also meets accessibility standards.



Please save the url of the refurbished site in your favourites as we will give up the existing site shortly and register or re-register yourselves for receiving RSS feeds for uninterrupted alerts from the Reserve Bank.



Do feel free to give us your feedback by clicking on the feedback button on the right hand corner of the refurbished site.



Thank you for your continued support.




Department of Communication

Reserve Bank of India


Next

[ad_2]

CLICK HERE TO APPLY

Leave a comment

Upset over deal with Axis Bank, Spandana MD Gangireddy quits

Banking & Finance

[ad_1]

Read More/Less


Another spat between an investor and founder has erupted after the recent dispute between promoters of Zee Entertainment and Invesco. Spandana Sphoorty Financial’s Founder and Managing Director Padmaja Gangireddy has resigned from the microfinance lender following a disagreement with private equity investor Kedaara Capital over a proposal to sell the company to Axis Bank. Reddy has 17 per cent stake in the company while Kedaara holds 45 per cent.

According to Gangireddy, Kedaara wants to sell the country’s second-largest microfinance entity to Axis Bank at a throwaway price. “I opposed underselling of the company to Axis Bank at a throwaway price. While other MFIs were acquired at 4.75x and 3,5x BV multiples in the past few months, Kedaara wanted to sell Spandana at 1.6x, which is one-third of other company’s valuation. They are hell-bent on selling the company for their personal benefits,” Gangireddy said in a letter to the employees.

While Axis and Kedaara are yet to comment on Gangireddy’s claims, the company said in a statement that the board of directors has accepted Gangireddy’s resignation. KR Kamath, former Chairman & Managing Director of Punjab National Bank and board member of Spandana, will chair the management committee. “The board confirmed the hiring of an eminent industry veteran as its new MD & CEO,” the statement said without naming the executive. Industry sources said that Shalabh Saxena, MD & CEO of Bharat Financial Inclusion Ltd, could be appointed as the new CEO of Spandana.

[ad_2]

CLICK HERE TO APPLY

Leave a comment , , ,

Reserve Bank of India – Press Releases

Press Releases

[ad_1]

Read More/Less


The following State Governments have offered to sell securities by way of auction, for an aggregate amount of ₹ 6,000 Cr. (Face Value).

Sr. No. State Amount to be raised
(₹ Cr)		 Additional Borrowing (Greenshoe) Option
(₹ Cr)		 Tenure (Yrs.) Type of Auction
1 Andhra Pradesh 500 – 17 Yield
500 – 18 Yield
2 Assam 500 – 3 Yield
500 – 10 Yield
3 Rajasthan 500 500 10 Yield
4 Tamil Nadu 1000 – Re-issue of 6.97% Tamil Nadu SDL 2046 Issued on May 25, 2021 Price
5 Uttar Pradesh 2500 – 10 Yield
  TOTAL 6,000      

The auction will be conducted on the Reserve Bank of India Core Banking Solution (E-Kuber) system on November 09, 2021 (Tuesday). The Government Stock up to 10% of the notified amount of the sale of each stock will be allotted to eligible individuals and institutions subject to a maximum limit of 1% of its notified amount for a single bid per stock as per the Scheme for Non-competitive Bidding Facility.

Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on November 09, 2021 (Tuesday). The non-competitive bids should be submitted between 10.30 A.M. and 11.00 A.M. and the competitive bids should be submitted between 10.30 A.M. and 11.30 A.M.

In case of technical difficulties, Core Banking Operations Team (email; Phone no: 022-27595666, 022-27595415, 022-27523516) may be contacted.

For other auction related difficulties, IDMD auction team can be contacted (email; Phone no: 022-22702431, 022-22705125).

Only in the event of system failure, physical bids would be accepted. Such physical bids should be submitted to the Public Debt Office (email; Phone no: 022-22632527, 022-22701299) in the prescribed form obtainable from RBI website (https://www.rbi.org.in/Scripts/BS_ViewForms.aspx) before the auction timing ends.

The yield percent per annum expected by the bidder should be expressed up to two decimal points. An investor can submit more than one competitive bid at same/different rates of yield or prices in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system. However, the aggregate amount of bids submitted by a bidder should not exceed the notified amount for each State.

The Reserve Bank of India will determine the maximum yield /minimum price at which bids will be accepted. Securities will be issued for a minimum nominal amount of ₹10,000.00 and multiples of ₹10,000.00 thereafter.

The results of the auction will be announced on November 09, 2021 (Tuesday) and payment by successful bidders will be made during banking hours on November 10, 2021 (Wednesday) at Mumbai and at respective Regional Offices of RBI.

The State Government Stocks will bear interest at the rates determined by RBI at the auctions. For the new securities, interest will be paid half yearly on May 10 and November 10 of each year till maturity. The Stocks will be governed by the provisions of the Government Securities Act, 2006 and Government Securities Regulations, 2007.

The investment in State Government Stocks will be reckoned as an eligible investment in Government Securities by banks for the purpose of Statutory Liquidity Ratio (SLR) under Section 24 of the Banking Regulation Act, 1949. The stocks will qualify for the ready forward facility.

Ajit Prasad
Director   

Press Release: 2021-2022/1147

[ad_2]

CLICK HERE TO APPLY

Leave a comment

Reserve Bank of India – Press Releases

Press Releases

[ad_1]

Read More/Less


Reserve Bank of India announces the auction of Government of India Treasury Bills as per the following details:

Sr. No Treasury Bill Notified Amount
(in ₹ crore)		 Auction Date Settlement Date
1 91 Days 10,000 November 10, 2021
(Wednesday)		 November 11, 2021
(Thursday)
2 182 Days 3,000
3 364 Days 7,000
  Total 20,000    

The sale will be subject to the terms and conditions specified in the General Notification F.No.4(2)-W&M/2018 dated March 27, 2018 along with the Amendment Notification No.F.4(2)-W&M/2018 dated April 05, 2018, issued by Government of India, as amended from time to time. State Governments, eligible Provident Funds in India, designated Foreign Central Banks and any person or institution specified by the Bank in this regard, can participate on non-competitive basis, the allocation for which will be outside the notified amount. Individuals can also participate on non-competitive basis as retail investors. For retail investors, the allocation will be restricted to a maximum of 5 percent of the notified amount.

The auction will be Price based using multiple price method. Bids for the auction should be submitted in electronic format on the Reserve Bank of India’s Core Banking Solution (E-Kuber) system on Wednesday, November 10, 2021, during the below given timings:

Category Timing
Competitive bids 10:30 am – 11:30 am
Non-Competitive bids 10:30 am – 11:00 am

Results will be announced on the day of the auction.

Payment by successful bidders to be made on Thursday, November 11, 2021.

Only in the event of system failure, physical bids would be accepted. Such physical bids should be submitted to the Public Debt Office (email; Phone no: 022-22632527, 022-22701299) in the prescribed form obtainable from RBI website (https://www.rbi.org.in/Scripts/BS_ViewForms.aspx) before the auction timing ends. In case of technical difficulties, Core Banking Operations Team should be contacted (email; Phone no: 022-27595666, 022-27595415, 022-27523516). For other auction related difficulties, IDMD auction team can be contacted (email; Phone no: 022-22702431, 022-22705125).

Ajit Prasad
Director   

Press Release: 2021-2022/1146

[ad_2]

CLICK HERE TO APPLY

Leave a comment

Reserve Bank of India – Press Releases

Press Releases

[ad_1]

Read More/Less


(Amount in Crore of ₹)
  SCHEDULED COMMERCIAL BANKS
(Including RRBs and SFBs)		 ALL SCHEDULED BANKS
23-OCT-2020 08-OCT-2021 * 22-OCT-2021 * 23-OCT-2020 08-OCT-2021 * 22-OCT-2021 *
I LIABILITIES TO THE BKG.SYSTEM (A)            
  a) Demand & Time deposits from bks. 205540.9 166216.22 169549.83 210450.75 170518.03 173732.47 **
  b) Borrowings from banks 51306.44 46837.53 60795.6 51306.44 46837.53 60795.76
  c) Other demand & time liabilities 15831.5 23591.55 19828.26 16025.01 23893.56 20150.75
II LIABILITIES TO OTHERS (A)            
  a) Deposits (other than from banks) 14291512.09 15755866.22 15712486.07 14706547.71 16173904.6 16135350.29
  i) Demand 1505253.96 1784685.86 1826768.38 1539744.65 1823519.27 1866229.94
  ii) Time 12786258.13 13971180.45 13885717.74 13166803.05 14350385.42 14269120.4
  b) Borrowings @ 255339.13 253400.96 256983.55 259623.41 258361.91 261631.4
  c) Other demand & time liabilities 563901.26 575778.08 570766.75 574873.16 586214.25 581367.4
III BORROWINGS FROM R.B.I. (B) 115451 94399.47 93603 115451 94399.47 93603
  Against usance bills and / or prom. Notes            
IV CASH 84931.66 99433.86 107400.72 86989.01 101532.47 109997.75
V BALANCES WITH R.B.I. (B) 437010.25 637545.1 638588.93 449413.26 654327.91 655138.3
VI ASSETS WITH BANKING SYSTEM            
  a) Balances with other banks            
  i) In current accounts 15786.81 22589.99 30996.81 17878.57 24741.43 33214.09
  ii) In other accounts 134010.5 133979.98 134408.15 164511.47 166839.62 167845.67
  b) Money at call & short notice 12925.18 12553.48 13913.35 33621.32 27848.59 30115.28
  c) Advances to banks (i.e. due from bks.) 21072.79 24227.64 23913.28 21515.63 24612.25 24296.72 £
  d) Other assets 32167.84 25463.21 29434.9 36928.32 28370.99 32285.68
VII INVESTMENTS (At book value) 4440233.67 4691728.5 4638661.25 4570889.92 4835024.04 4780666.49
  a) Central & State Govt. securities+ 4438623.23 4690645.61 4637472.39 4563080.08 4827873.57 4773441.6
  b) Other approved securities 1610.44 1082.89 1188.85 7809.84 7150.47 7224.87
VIII BANK CREDIT (Excluding Inter Bank Advance) 10338867.88 11014966.84 11046293.43 10672245.65 11355689.23 11390034.72
  a) Loans, cash credits & Overdrafts $ 10169808.88 10800287.25 10835115.52 10501194.69 11139016.17 11176886.22
  b) Inland Bills purchased 23158.61 33686.51 32646.99 23432.28 33719.57 32678.39
  c) Inland Bills discounted 100038.23 127504.71 128604.36 101041.67 128810.63 129878.36
  d) Foreign Bills purchased 17239.67 20341.17 18104.87 17480.07 20495.44 18268.54
  e) Foreign Bills discounted 28622.49 33147.16 31821.7 29096.93 33647.38 32323.21
NOTE
* Provisional figures incorporated in respect of such banks as have not been able to submit final figures.
(A) Demand and Time Liabilities do not include borrowings of any Scheduled State Co-operative Bank from State Government and any reserve fund deposits maintained with such banks by any co-operative society within the areas of operation of such banks.
** This excludes deposits of Co-operative Banks with Scheduled State Co-operative Banks. These are included under item II (a).
@ Other than from Reserve Bank, National Bank for Agriculture and Rural Development and Export Import Bank of India.
(B) The figures relating to Scheduled Commercial Banks’ Borrowings in India from Reserve Bank and balances with Reserve Bank are those shown in the statement of affairs of the Reserve Bank. Borrowings against usance bills and/ or promissory notes are under Section 17(4)(c) of the Reserve Bank of India Act, 1934. Following a change in the accounting practise for LAF transactions with effect from July 11, 2014, as per the recommendations of Malegam Committee formed to review the Format of Balance Sheet and the Profit and Loss Account of the Bank, the transactions in case of Repo/ Term Repo/MSF are reflected under “Borrowings from RBI”.
£ This excludes advances granted by Scheduled State Co-operative Banks to Co-operative banks. These are included under item VIII (a).
+ Includes Treasury Bills, Treasury Deposits, Treasury Savings Certificates and postal obligations.
$ Includes advances granted by Scheduled Commercial Banks and State Co-operative Banks to Public Food Procurement Agencies (viz. Food Corporation of India, State Government and their agencies under the Food consortium).

Food Credit Outstanding as on
(₹ in Crore)
Date 23-Oct-20 08-Oct-21 22-Oct-21
Scheduled Commercial Banks 66659.01 62408.14 63697.47
State Co-operative Banks 30402.9 35817.5 35817.5

The expression ‘ Banking System ‘ or ‘ Banks ‘ means the banks and any other financial institution referred to in sub-clauses (i) to (vi) of clause (d) of the explanation below Section 42(1) of the Reserve Bank of India Act, 1934.

No. of Scheduled Commercial Banks as on Current Fortnight:135

Ajit Prasad
Director   

Press Release: 2021-2022/1144

[ad_2]

CLICK HERE TO APPLY

Leave a comment
1 … 124 125 126 127 128 … 16,278