State Bank of India (SBI) on Thursday launched a dedicated counter across its 360 select branches to cater to Current Account customers.
The dedicated counter called Current Account Service Point (CASP), will address the critical needs of key Current Account customers and mobilize new customers, India’s largest bank said in a statement. It was launched by Challa Sreenivasulu Setty, Managing Director (Retail & Digital Banking) on the occasion of the 66th Foundation Day of SBI.
“The initiative will also enable the customers in digitizing their processes and provide simplified technical solutions as per their requirements. CASP will be staffed by trained and dedicated Relationship Managers across all the centres,” it said .
For the month of June, majority of the cryptocurrencies logged losses, but despite the volatility that stood out in this asset class during the month, you may want to know about the cryptocurrency which performed the best or saw the lowest losses. Here’s the complete list of top 3 cryptocurrency assets as sourced from the Coindesk- the blockchain news outlet that has compiled a list of top 20 crypto assets.
10 Top Cryptocurrencies Of June 2021 Some Of Which You Can Consider For Investment In July 2021
1. Bitcoin (BTC):
It may be surprising for some crypto enthusiast and stakeholders but the largest cryptocurrency has stood as the best performing crypto for the period under review i.e. June 2021. Though the market expectations such as imminent Death cross event spooked the crypto to again below $US 30000, it managed to end the June month higher.
2. Algorand (ALGO):
This is an open-sourced, decentralized blockchain capitalizing on two-tiered structure and is aimed at increasing speeds as well as realizing finality. The blockchain network makes use of Proof-of-Stake (PoS) consensus mechanism. For the month of June, ALGO loggest second lowest losses of more than 4 percent as per the Coindesk Research and the crypto last quoted at a price of $0.8451.
3. Filecoin (FIL):
The open-source cryptocurrency and digital payment solutions fell in value by over 14% or close to 15%. The cryptocurrency has been mined aiming to be a digital storage as well as data retrieval method. Developed by Protocol Labs, the Filecoin crypto allows users to rent unused space in the hard drive. As per Coinbase portal, the 24 hour change in the crypto has been down by 8 percent and quotes at $4205.
4. Tezos (XTZ):
As per the official website of the crypto, it is an open source platform for addressing major hurdles confronting blockchain adoption for assets as well as apps. Also the structure of the Tezos crypto is designed in a way to take on long term upgradability, open participation, collaboration as well as smart contract safety.
For the June month, Tezos declined by close to 17.5% and last quoted at a price of $2.92 with a percentage increase of over 5% in the last 24 hours.
5. Ethereum (ETH):
The second most valuable crypto by market capitalisation stood as the fifth top cryptocurrency for June 2021 and lost as much as 17.7% in its price. It is being advocated by experts that Ethereum has the potential to pip Bitcoin and also for some time we had even seen the volume in Ethereum rising above Bitcoin.
6. Cardano (ADA):
The crypto conceived via peer reviewed research which came into existence on the basis of evidence based methodologies is a proof of stake blockchain platform. The crypto integrates pioneering technologies for offering unmatchable security as well as sustainability solutions for decentralized applications, systems, and societies.
as part of the crypto sell off, the crypto also registered a fall of 19.2% from the month trading at $1.7210 beginning June 1. As on July 1, it quotes at a price of $1.34 and is said to be a ‘Buy’ for July month as a bullish breakout is seen for the digital token.
7. Litecoin (LTC):
This crypto can be used by anyone, anywhere without permission for transacting with anyone else globally. As of early June, the crypto is the 14th largest by m-cap. The token primarily makes use of peer to peer technology.
“Due to Litecoin’s complementary nature to Bitcoin and the fact it has established a market for itself, it is often considered the first successful alternative cryptocurrency, or altcoin”, said co-founder of Coinflip.
“If you are interested in investing in a technology that enables fast and inexpensive borderless transactions, Litecoin is a great investment opportunity,” he added. Also, it has been a relatively stable crypto or altcoin when compared to other altcoins at around the same time. “Litecoin is a digital currency that uses peer-to-peer technology to send payments anywhere in the world quickly,” he said further.
The price of Litecoin as at the time of writing this copy is $135.8 and it dived a huge21.6 percent in June month.
However there are varied views around the altcoin and some also see it as a good speculative trade opportunity and not a good investment idea.
8. NuCypher (Nu):
This is a decentralised encryption, key management system (KMS) and access control encryption service for public blockchains. The crypto facilitates end-to-end encrypted data sharing on decentralized storage solutions as well as public blockchains.
The crypto is considered a good investment on the following premise: the crypto has a low circulating supply, a small m-cap and because of its utility. Further it has a strong technological backing and solid use cases.
In June, the crypto dived a good 22%, and it last quoted at a price of $0.2299.
9. Bitcoin Cash (BCH):
Bitcoin Cash aims to be decentralised, peer to peer digital cash. Considering the prospects of Bitcoin Cash, the token in comparison to Bitcoin can be a safe bet and is a better investment considering the average transaction fee is low. Also, BCH can also manage around 25,000 transacions per block. Bitcoin processes 1,000-1,500 transactions per block.
Also, since its launch the crypto has not been hacked while bitcoin is associated and linked to illicit activities.
For the June month, Bitcoin cash fell in price by 26% and last quoted at a price of $495.22.
10. Yearn Finance (YFI):
This is an application based Ethereum token that looks after the Yearn.finance platform. The platform is a yield optimizer that moves funds around the decentralized finance (“defi”) ecosystem for generating a high return. As on July 1 at the time of writing this copy, it is $32,279.
It is an open-source, decentralized finance lending protocol and facilitates users in optimizing their crypto assets via lending and trading services.
This is the second most expensive crypto after Bitcoin with a far lower supply. In few months time the crypto has skyrocketed in value. Its all time high has been $95,071. By the end of 2021, yearn.finance might be traded around the $95,000 mark.
So, it is definitely a buy given the current dip which should be capitalised upon.
For the June month, the crypto fell a staggering 28 percent.
Disclaimer: The story is for informational purpose only and investors should do their own research and consult investment advisors.
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The Reserve Bank of India on Thursday cautioned that banks face the prospect of a rise in non-performing loans, particularly in their small and medium enterprises (SME) and retail portfolios, especially as regulatory relief is wound down.
The RBI’s latest Financial Stability Report (FSR) noted that banks remained relatively unscathed by pandemic-induced disruptions, cushioned by regulatory, monetary and fiscal policies.
The report reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC-SC) on risks to financial stability.
“Within the domestic financial system, credit flow from banks and capital expenditure of corporates remain muted.
“While banks’ exposures to better rated large borrowers are declining, there are incipient signs of stress in the micro, small and medium enterprises (MSMEs) and retail segments,” the report said.
The FSR underscored that the demand for consumer credit across banks and non-banking financial companies (NBFCs) has dampened, with some deterioration in the risk profile of retail borrowers becoming evident. Subdued credit growth in a low-interest rate scenario could impact banks’ net interest income levels, it warned.
Stable NPA ratios
The gross and net NPA ratios of banks remained stable during the second half of 2020-21, at 7.5 per cent and 2.4 per cent, respectively, in March 2021. As at September-end 2020, the ratios had been 7.5 per cent and 2.1 per cent, respectively.
On the other hand, special mention account (SMA) ratios, which reflect incipient stress, deteriorated, the report said.
The report said banks must prepare contingency strategies to deal with segment-specific asset quality pressures, especially when regulatory reliefs get rolled back.
Per the FSR, macro-stress tests for credit risk show that scheduled commercial banks’ GNPA ratio may increase from 7.48 per cent in March 2021 to 9.80 per cent by March 2022 under the baseline scenario and to 11.22 per cent under a severe stress scenario.
Stress tests also indicate that SCBs have sufficient capital, both at the aggregate and individual level, even in the severe stress scenario.
Monitor MSME, retail loans
As banks and other financial institutions have resilient capital and liquidity buffers, balance-sheet stress remains moderate in spite of the pandemic, the report said. But it emphasised a close monitoring of MSME and retail credit portfolios. This calls for banks to shore up their capital position when favourable market conditions prevail, it added.
“The banking sector will be required to specifically guard against adverse selection bias while being alive to the credit demand from productive and viable sectors.
“In the most optimistic scenario, the impact of the second wave should be contained within the first quarter of the year, while frictional inflation pressures work their way out over the first half of the year,” the FSR said. The report said financial intermediaries need to internalise these expectations into their outlook while staying on guard against potential balance-sheet stress with sufficient capital and liquidity buffers and governance structures.
Govt borrowings
Referring to the surge in the government’s market borrowings, with a significant share of public debt being absorbed by banks, the FSR noted that going forward, however, their absorptive capacity may be circumscribed by the likely expansion of bank credit as economy recovers.
The Reserve Bank of India, in consultation with the State Governments/Union Territories (UTs), announces that the quantum of total market borrowings by the State Governments/UTs for the quarter July – September 2021, is expected to be ₹ 1,69,591 crore. The weekly schedule of auctions to be held during the quarter along with the name of States/UTs who have confirmed participation and tentative amounts indicated by them is as under:
Month
Proposed Date
Expected quantum of borrowing (in ₹ Cr)
States/UTs who have confirmed participation and the tentative amount of borrowing (in ₹ Cr)
July, 2021
July 06, 2021
13400
Andhra Pradesh
2000
Assam
500
Bihar
2000
Goa
100
Gujarat
1000
Maharashtra
2000
Mizoram
100
Punjab
1200
Rajasthan
1000
Tamil Nadu
2000
West Bengal
1500
July 13, 2021
10400
Andhra Pradesh
1000
Bihar
2000
Goa
100
Maharashtra
2000
Punjab
800
Rajasthan
500
Tamil Nadu
1500
Uttarakhand
500
West Bengal
2000
July 19, 2021
7100
Assam
600
Gujarat
1500
Haryana
500
Kerala
1000
Maharashtra
1500
Punjab
500
Tamil Nadu
1500
July 27, 2021
15900
Chhattisgarh
1000
Goa
100
Gujarat
1500
Haryana
2500
Himachal Pradesh
1000
Maharashtra
2000
Punjab
800
Rajasthan
1500
Tamil Nadu
1500
Telangana
1000
Uttarakhand
500
West Bengal
2500
August, 2021
August 03, 2021
18651
Andhra Pradesh
2000
Assam
500
Bihar
2000
Goa
100
Gujarat
1000
Jammu & Kashmir
500
Jharkhand
500
Karnataka
2000
Kerala
1500
Madhya Pradesh
2000
Maharashtra
2000
Manipur
150
Meghalaya
150
Punjab
2000
Rajasthan
1000
Sikkim
251
Tamil Nadu
1000
August 10, 2021
14300
Bihar
2000
Goa
100
Haryana
2000
Kerala
1500
Maharashtra
2000
Punjab
700
Rajasthan
1000
Tamil Nadu
1000
Telangana
2000
West Bengal
2000
August 17, 2021
12250
Assam
600
Chhattisgarh
1000
Gujarat
1500
Karnataka
2000
Kerala
2000
Maharashtra
1500
Nagaland
150
Punjab
500
Tamil Nadu
1000
Uttarakhand
500
West Bengal
1500
August 24, 2021
9700
Assam
600
Goa
100
Haryana
1000
Kerala
1000
Maharashtra
2000
Punjab
500
Tamil Nadu
1000
Telangana
1000
West Bengal
2500
August 31, 2021
13500
Andhra Pradesh
2000
Assam
500
Chhattisgarh
1000
Gujarat
1500
Himachal Pradesh
1000
Madhya Pradesh
2000
Maharashtra
1500
Punjab
1000
Rajasthan
1500
Tamil Nadu
1000
Uttarakhand
500
September, 2021
September 07, 2021
20840
Andhra Pradesh
1000
Arunachal Pradesh
163
Bihar
2000
Goa
200
Gujarat
1000
Haryana
1000
Jammu & Kashmir
600
Jharkhand
500
Karnataka
2000
Kerala
1000
Madhya Pradesh
2000
Maharashtra
2000
Manipur
197
Meghalaya
200
Mizoram
80
Punjab
1500
Rajasthan
1000
Sikkim
400
Tamil Nadu
1000
Telangana
2000
West Bengal
1000
September 14, 2021
12400
Assam
600
Bihar
2000
Goa
100
Karnataka
2000
Maharashtra
2500
Punjab
700
Rajasthan
1000
Tamil Nadu
1000
Uttarakhand
500
West Bengal
2000
September 21, 2021
4650
Gujarat
1000
Maharashtra
2000
Nagaland
150
Punjab
500
Tamil Nadu
1000
September 28, 2021
16500
Assam
600
Chhattisgarh
1000
Goa
100
Gujarat
2000
Haryana
1000
Himachal Pradesh
1000
Madhya Pradesh
2000
Maharashtra
2000
Punjab
800
Rajasthan
1500
Tamil Nadu
1000
Uttarakhand
500
West Bengal
3000
Total
169591
The actual amount of borrowings and the details of the States/UTs participating would be intimated by way of press releases two/ three days prior to the actual auction day and would depend on the requirement of the State Governments/UTs, approval from the Government of India under Article 293(3) of the Constitution of India and the market conditions. RBI would endeavour to conduct the auctions in a non-disruptive manner, taking into account the market conditions and other relevant factors and distribute the borrowings evenly throughout the quarter. RBI reserves the right to modify the dates and the amount of auction in consultation with State Governments/UTs.
Unit linked insurance plans (ULIPs) seem to be gaining more popularity amongst investors as stock markets remain bullish. A study by Bajaj Allianz Life Insurance revealed that two out of three Indians intend to invest in ULIPs in the coming year.
It also revealed that the affinity towards ULIPs have increased for nine out of 10 investors, post the first wave of pandemic. “The affinity for ULIP is higher in non-metros at 67 per cent and among mass-affluent Indians (66 per cent) compared to average Indians,” the firm said.
Ease of tracking
For affluent customers, ULIPs are attractive as it offers ease of tracking of investments, low-cost structure and convenience of adding rider or top-up and withdrawal of money, the survey revealed.
Further, middle-income Indians seek the facility of partial withdrawal in ULIPs. “More than one in three middle-income Indians rate this as key feature in ULIPs. For more than 50 per cent mass-affluent Indians, guidance of experts in managing funds is a key feature in ULIPs,” it further said. Amongst the younger investors, SIP was found to be the most preferred mode of investing.
The Subordinate Legislation Committee of the Parliament, which examines whether the rules and regulations drafted by executive is in tune with the Acts passed, has decided to study the merger of certain public sector banks and the bank recapitalisation schemes of the Centre. The Committee will see if the regulations and rules framed for both the purposes are in tandem with the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 and the Nationalised Banks (Management and Miscellaneous Provisions) Scheme of 1970.
The matter came up for discussion on Wednesday when the panel was examining Regulations framed by UCO Bank, Indian Overseas Bank, Bank of Maharashtra and Bank of India under Section 19 of the Banking (Acquisition and Transfer of Undertakings) Act 1970. The members in the panel asked the representatives from the Department of Financial Services to furnish details of the merger and recapitalisation schemes, too, before the panel and before the Parliament.
A member in the panel told BusinessLine on the condition of anonymity that they asked the Centre about the status of the regulations framed by each of the banks mentioned in the agenda item under Section 19 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 and asked the directors to lay all the regulations on the Table of the Lok Sabha. “We asked them about the reports that Niti Aayog has recommended some of these banks are up for sale. We did not get a proper answer. We have asked the officials to submit the details before our next meeting scheduled on July 12,” a member from the Opposition camp said.
Bank recap and NPAs
In the meeting, the members also sought whether UCO Bank, Indian Overseas Bank, Bank of Maharashtra and Bank of India have framed regulations prescribing the legal framework for ensuring the safety of computerised data by sub-section (2G) of Section 3 of the Act.
There were discussions about the recapitalisation schemes and non performing assets too. “We asked whether the procedure for raising the capital by the board of directors of each of the banks concerned as prescribed by Clause (c) of sub-section (2B) of Section 2 of the Act has been prescribed? If so, what are their salient features?” the member asked.
The members also observed that the Pension Fund Regulations of the banks do not make detailed provisions relating to functions of the trusts such as qualifications of trustees, procedure of decision making etc. The members asked the banks to provide inputs on the infirmities observed. The members also demanded the details of the capital structure of each of the banks concerned. “We asked whether capital is adequate to meet their liabilities? Whether the paid up capital of each of the respective banks has ever lost? If so, whether the same has ever been reduced?” the member said.
The member added that the mergers and the proposals to disinvest public sector banks go against the banking nationalisation scheme and it should not be done with the approval of Parliament.
Today, the Reserve Bank released the 23rd issue of the Financial Stability Report (FSR), which reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC) on risks to financial stability and the resilience of the financial system in the context of contemporaneous issues relating to development and regulation of the financial sector.
Highlights:
Sustained policy support, benign financial conditions and the gathering momentum of vaccination are nurturing an uneven global recovery.
Policy support has helped in shoring up financial positions of banks, containing non-performing loans and maintaining solvency and liquidity globally.
On the domestic front, the ferocity of the second wave of COVID-19 has dented economic activity, but monetary, regulatory and fiscal policy measures have helped curtail the solvency risk of financial entities, stabilise markets, and maintain financial stability.
The capital to risk-weighted assets ratio (CRAR) of scheduled commercial banks (SCBs) increased to 16.03 per cent and the provisioning coverage ratio (PCR) stood at 68.86 per cent in March 2021.
Macro stress tests indicate that the gross non-performing asset (GNPA) ratio of SCBs may increase from 7.48 per cent in March 2021 to 9.80 per cent by March 2022 under the baseline scenario; and to 11.22 per cent under a severe stress scenario, although SCBs have sufficient capital, both at the aggregate and individual level, even under stress.
Going forward, as banks respond to credit demand in a recovering economy, they will need to reinforce their capital and liquidity positions to fortify themselves against potential balance sheet stress.
The Reserve Bank releases monthly data on India’s international trade in services with a lag of around 45 days.
The value of exports and imports of services during the month of May 2021 are given in the following Table.
Table: International Trade in Services
(US$ Million)
Month
Receipts (Exports)
Payments (Imports)
January – 2021
17,365 (-5.4)
9,877 (-9.3)
February – 2021
17,842 (4.1)
10,380 (3.3)
March – 2021
20,797 (18.4)
12,263 (21.5)
April – 2021
17,547 (14.1)
9,896 (18.6)
May – 2021
17,357 (10.7)
10,233 (14.8)
Notes: (i) Data for April-May are provisional while those for January-March are revised on pro-rata basis using balance of payments data of Q4:2020-21 released on June 30, 2021. (ii) Figures in brackets are growth rates over corresponding month’s data which have been revised on the basis of balance of payments statistics released on June 30, 2021.
Monthly data on services are provisional and would undergo revision when the Balance of Payments (BoP) data are released on a quarterly basis.
MUMBAI – The dent to Indian financial institutions’ balance sheets has been much less than earlier projected and banks have sufficient capital and liquidity buffers to withstand future shocks, according to a report released by the Reserve Bank of India (RBI).
Banks’ gross non-performing assets could rise to 9.8% by March 2022 from around 7.48% as of the end of last March under the baseline scenario and to 11.22% under a severe stress scenario, the report said.
The projections are far less dire compared to the report released in January in which the RBI had indicated that bad loans could double in a severely stressed scenario.
“Capital and liquidity buffers are reasonably resilient to withstand future shocks, as the stress tests presented in this report demonstrate,” RBI Governor Shaktikanta Das, wrote in the foreword to the report.
However, he added that there are new risks which have emerged on the horizon including the risks of future waves of the coronavirus pandemic, international commodity prices and inflationary pressures, global spillovers amid high uncertainty and rising instances of data breaches and cyber attacks.
(Reporting by Swati Bhat and Nupur Anand; editing by Jonathan Oatis)
ICICI Bank on Thursday announced the launch of comprehensive banking solutions for medical doctors.
“Called Salute Doctors, it provides customised banking and value-added services to all doctors, beginning with medical students to senior medical consultants to an owner of a hospital or a clinic,” ICICI Bank said in a statement.
It includes a number of services such as a range of premium savings and current accounts for personal and business banking. It also offers a specially curated suite of loans for home, auto, personal, education, medical equipment, setting up a clinic, hospital or business.
It also offers value-added services offered in association with partners, to help doctors fulfil their lifestyle needs, manage clinics or hospitals better and digitally, get updates on the latest medical developments, take care of accounting needs, expand and procure medical supplies.
Meanwhile, HDFC Bank has launched the #SalaamDilSey initiative, a national platform for the general public to show gratitude to doctors for their tireless service during the pandemic and to pay tribute to doctors across the country.
