Excluding food prices from headline inflation would erode the ‘great faith’ of people in the RBI, said Raghuram Rajan.
The sale is part of HDFC Bank’s exercise to lighten its credit load amid regulatory pressures on the industry; buyers are about half a dozen state-owned banks.
Punjab National Bank allocates about 48.19 crore equity shares at an issue price of Rs 103.75 per share.
Federal Reserve cuts interest rates by 50 basis points. But India’s own rate-cutting cycle will start only when RBI feels inflation has been durably tamed to reside in the target zone of 4%.
The 6.75% interest rate offer is for deposits with tenures ranging from seven to 180 days; there is no penalty for early withdrawal.
HDFC Bank is under regulatory pressure to improve credit-to-deposit ratio which has worsened post-merger; is in talks with Barclays, Citigroup, JPMorgan Chase and ICICI Bank to offload Rs 8,400 crore in loans.
The move from collaterals to cash flow-based lending will give enough traction to the growth of micro enterprises to become small and small to become medium, says SBI chairman CS Setty.
Indian Banks’ Association likely to ask RBI to reduce amount of additional funds lenders will need to set aside against some retail deposits.
Competition for deposits expected to continue for some time, says SBI chairman CS Setty; rather than rates, bank to focus more on customer service and wider network to drive deposit growth.
Reserve Bank of India is making efforts to make UPI and RuPay truly global, Governor Shaktikanta Das said, while outlining focus areas of the central bank going forward.
Taking charge at a time when SBI has touched peak profits, new chairman C S Setty says he will strive to make the bank the most valued financial institution and adopt a bottom-up approach to management.
Correction in equity markets over time can help banks get back the deposits it has ceded, SBI managing director Ashwini Kumar Tewari said.
Punjab National Bank customers can now download their account statements and interest certificates directly through WhatsApp.
SBI chairman Dinesh Khara brushes off concerns over slowing deposit growth; says bank has been able to support its strong loan book growth.
IDFC First Bank CEO Vaidyanathan expects load of high-cost legacy borrowings to fall to just Rs 5,000 cr by fiscal-end; speaks of bank’s strong deposits growth including CASA, which is a hot pot item in this market.
