Only few private sector banks have responded early to repo cut as deposits lagging behind loan growth is a constraint; RBI’s assurance of liquidity surplus may encourage more banks to cut deposit rates.
RBI expects to keep sufficient surplus in the banking system to ensure policy transmission and is looking at a level of around 1% of deposits, Governor Sanjay Malhotra said.
Accounting lapses in IndusInd Bank or crisis in New India Cooperative Bank are ‘episodes’ and can’t be termed as ‘total failure’, RBI Governor Sanjay Malhotra said.
Amid missed targets, liquidity crunch and market slide, most banks have seen deposits lag behind loan growth in the March quarter.
IndusInd Bank's share price goes diving after discrepancies in accounting of derivatives portfolio come to light. Here is how and what happened to the country’s fifth-largest private sector bank.
Uday Kotak has cautioned of the challenges Indian banks face in their business model if the deposit tightness persists.
Microfinance loan book is IDFC First Bank's 'first big isssue post-merger’ and will peak in Q4 of FY25, says MD & CEO Vaidyanathan; every other single business of the bank is doing well.
Punjab & Sind Bank is planning to up branch network to 2,000 by March 2027 as it seeks to grow retail loans. “New branches will be mainly outside Punjab where market is getting almost saturated for us,” says CEO Swarup Kumar Saha.
KVS Manian takes up challenge of lifting Federal Bank to top five league; pivotal decisions include scaling up beyond Kerala, driving volumes in medium-yielding biz, reducing concentration of top depositors and having play in affordable housing.
Sanjay Malhotra will have to guide RBI through an uncertain phase which is seeing the world redraw its politics and economics. Don't expect many interest rate cuts as he has to weigh in a wobbly rupee, trade wars, tight liquidity, inflation and financial stability.
Bank of Maharashtra has joined several other lenders to cut interest rate by 25 basis points on retail loans, including home and car loans, in line with reduction in repo rate by the Reserve Bank of India.
Canara Bank CEO Satyanarayana Raju says CASA ‘shortfall’ has come amid liquidity issues, stiff competition and stability of payment platforms; opening of 250 branches a year has eye on CASA deposits and biz growth.
State-owned banks report highest-ever aggregate net profit of Rs 1.29 lakh crore and operating profit of Rs 2,20,243 crore in nine months of the financial year.
State Bank of India posts net profit of Rs16,891 crore in Q3, but margins are lower and deposit mobilisation stays weak; chairman Setty is confident that credit growth will be 14-16% in FY25.
Punjab National Bank’s Q3 net at Rs 4,508 cr; aims to recover bad loans worth Rs 5,000 crore to Rs 6,000 crore in Q4 of FY25.
