Stock Analysis, IPO, Mutual Funds, Bonds & More

Bandhan Bank jumps 5% as RBI lifts ban on network expansion

Currently, the promoters' holding in the bank is at 62 per cent.

RBI's gradual shift from transparency to forbearance towards stressed sectors

RBI has resisted pressure on a package for NBFCs, but permitted banks not to classify defaulters in MSME, realty.

Rupee opens 14 paise up at 71.75 against dollar

"USDINR pair is expected to quote in the range of 71.70 and 72.30,” said Motilal Oswal Financial Services.

Long-term repo ops: Funds available, but will banks push credit?

RBI’s push comes even as bank credit at 7.1 per cent is at a 58-year low.

50% units in Kashmir's industrial zones unused inactive

As per the government figures, out of 2,547 plots allotted to businessmen in 26 industrial estates, only 1,444 are functional, 323 are non-functional, 479 remain under establishment, 191 units have taken no steps. The situation has worsened for the businesses since J&K Reorganization Bill was passed and communication and Internet curbs were put in place.

Bullish on consumption story? SBI Cards IPO looks a good bet

While SBI Cards’ valuation looks aggressive, it reflects the faster growth in the Indian market.

RBI announces two LTROs on March 2 and 9

The reversal date of LTRO on March 2, 2020 is March 1, 2023 while for LTRO to be conducted on March 9, 2020, it will be March 7, 2023, RBI said.

RBI lifts ban, allows Bandhan Bank to open branches

The Central Bank has allowed the Bandhan Bank to open branches without its prior approval.

Bank strike: No role in management-staff disputes, RBI to Gujarat

The RBI was responding to a PIL seeking the HC's direction to the central bank to direct banks to take action against their employees for joining union-led strikes as it caused great financial damage to the nation and adversely affected consumers.

RBI MPC may consider coronavirus impact on Indian economy: Report

The coronavirus outbreak has brought a large part of the world's second-largest economy China to a standstill and its impact has been felt across industries. On January 30, the World Health Organization (WHO) declared the coronavirus (COVID-19) outbreak a global health emergency. The impact on India is felt through supply chain disruptions from China as well as regional players, who in turn are net importers from China.

What changed for D-Street while you were sleeping

Crude prices edged up on Wednesday as investors covered short positions after three sessions of losses, even as fears deepened that the rapid spread of the coronavirus will lead to a global pandemic.

Stocks in the news: Bandhan Bank, Voda Idea, YES Bank, IRB Infra and BPCL

BPCL has procured 500 million barrels of distress crude (five shiploads) at a discount of $3-5 per barrel.

Shaktikanta Das uses sports analogy to explain RBI's stand on banker retirement age

“You must retire when people ask ‘why’ and not ‘why not’,” Das said, quoting cricketer Sunil Gavaskar.

RBI's new moto 'cash is king, but digital is divine'

Overall, the digital payments in the country have witnessed a growth (CAGR) of 61 per cent and 19 per cent in terms of volume and value, respectively over the past five years, demonstrating a steep shift towards digital payments. "Cash still rules but is increasingly seen as a way to store value as an economic asset rather than to make payments," it said.

Banks await clarification from RBI on CRR exemptions

Lenders say they will not avail the benefit till there is clarity as any miscalculation in CRR could invite penalties.

We would see a very different banking sector in years to come: RBI governor Shaktikanta Das

Banks would continue to be in a position of primacy in finance with them adopting technologies, RBI chief Shaktikanta Das said.

RBI alone cannot contain inflation: C Rangarajan

Former RBI governor C Rangarajan said that supply side shocks should be the responsibility of the govt.

View: Rupee may hit 72.50 level in the short term

Losses in the rupee have remained capped as FIIs continued to pour funds into equity and debt segments.

Slowdown in bank lending may bottom out this fiscal: Crisil

Bank loan may grow at about 6% this fiscal, while gross credit off take may rise 8-9% in FY21, Crisil said.

RBI reviewing monetary policy framework: Governor Shaktikanta Das

In a bid to keep inflation under specified level, the government in 2016 had decided to set up Monetary Policy Committee headed by RBI Governor entrusted with the task of fixing the benchmark policy rate (repo rate). The six-member panel, which had its first meeting in October 2016, was given the mandate to maintain annual inflation at 4 per cent until March 31, 2021 with an upper tolerance of 6 per cent and a lower tolerance of 2 per cent.

India's economy likely grew 4.7% in December quarter

Annual gross domestic product growth likely rose to 4.7% in the last quarter of 2019 from 4.5% the previous quarter, when the growth rate appears to have bottomed out, a Feb. 18-24 Reuters poll found. About 90% of economists in the poll forecast growth for the October-December quarter at 5% or below.

Efforts of banks under PCA framework are being monitored: RBI Governor

Reserve Bank of India Governor Shaktikanta Das has said four banks under the Prompt Corrective Action (PCA) framework are taking efforts and they are being monitored.

Bad loan sale to ARCs an option, not a priority now

Bankers said sale to ARCs remains an option, but not the first priority unless their price expectations are matched.

Mauritius advantage for FPIs will be lost now: TP Ostwal

Mauritius should not fall in this category but they have not taken necessary steps to prevent money laundering through that country, says the Managing Partner of TP Ostwal & Associates’.

Relief for Bandhan Bank promoters?

RBI froze lender’s expansion as owners could not cut 61% stake further.

Goldman sees little room for RBI to ease rates

There may not be a need for any “further significant loosening of monetary policy stance.”

RBI clears Sunil Gurbaxani appointment Dhanlaxmi Bank MD

Dhanlaxmi Bank was removed from the RBI PCA framework, subject to certain conditions and continuous monitoring, as the bank is found to be not breaching any of the risk thresholds of the framework.

SBI’s risk head Anil Kishora is top favourite for CEO post at troubled LVB

Currently, the bank’s CFO S Sundar, is in charge as interim CEO.

Inflation concerns prompted members to pause: RBI MPC minutes

Headline inflation, measured by CPI inflation, increased to 7.4% in December, highest since July 2014.

RBI in discussion with institutions; efforts on to include G-Secs in global indices soon: Das

This was a long-pending suggestion of foreign investors that was addressed in Budget this year.

PM-Kisan Scheme benefits not reaching tillers: RBI directors

The members of the board of Reserve Bank of India (RBI) have drawn finance minister Nirmala Sitharaman’s attention to the inefficacy of the government’s PM-Kisan Scheme and the plight of housing finance companies (HFCs) during their interaction with her last week.

Changing landscape of banking industry will unfold: Shaktikanta Das

The challenge before banks is to make the best use of technology and innovation to bring down intermediation costs while protecting their bottom lines, says Das.

How Sensex, gold, 10-year G-sec performed for week ending Feb 20, 2020

Here is a weekly tracker of Sensex, gold prices, bond yields and inflation. The tracker keeps you updated about the changes in the past year so that investors can get an idea of how their investments performed over a long-term.

Kotak Mahindra Bank gets RBI nod for trimming promoters' stake

On January 30, the bank had informed about RBI's in-principle acceptance for reducing promoters' shareholding to 26 per cent of the PUVESC of the bank within six months from the date of final approval of the regulator. The RBI had asked the bank to cut promoters' shareholding to 20 per cent of paid-up capital by December 31, 2018, and 15 per cent by March 31, 2020.

YES Bank drops 4%, recovers as Hinduja Group looks to pick up stake

Hinduja Group is partnering with Cerberus Capital Management LP to pick up a stake in the bank.

RBI minutes: MPC members feel economy still hasn't bottomed out

Patra said indicators were not offering evidence yet that the downturn was bottoming out.

RBI may push back rollout of new accounting norms to FY23

In March 2019, the RBI announced deferral of IndAS till further notice.

FDI is key source of capex funding

The study notes that there is an increasing preference for FDI as an alternative source of capex financing.

Telecom AGR crisis: RBI closely monitoring developments

The Supreme Court last week rejected a plea by mobile carriers such as Bharti Airtel and Vodafone Idea Ltd for extension in the payment schedule and asked them to deposit an estimated Rs 1.47 lakh crore. Some telcos are already struggling with mounting losses and debt and the additional liability has raised concerns of them defaulting on existing loans.

Stimulus by proxy! Will Rs 60,000 crore in consumer hands do the magic on economy?

The core thrust of this Budget was to improve the ease of doing business.

FPIs remain bullish on India; invest Rs 23,102 crore in February so far

FPIs have been net buyers in the Indian markets since September 2019, the data showed.

RBI Governor says no reason to doubt govt will meet fiscal deficit targets

The RBI governor said there is no reason to doubt that the fiscal deficit for the next year would be met.

BharatPe gets $75 million from Coatue, Ribbit

BharatPe said one reason for the latest fundraising was to invest around $70 million in equity capital in its NBFC arm Resilient Capital, and leverage that by 3-4 times to raise a pool of around $300 million to service loans for merchants on its platform.

Coronavirus outbreak to hit global growth; to have limited impact on India: RBI Guv

Only few sectors are likely to see some disruptions but alternatives are being explored, the RBI governor said.

RBI's 3-year repo auction sees hefty demand

RBI will auction funds worth Rs 1 lakh crore via long-term repos at a fixed rate of 5.15%.

RBI reviewing monetary policy framework change: Governor

"The monetary policy framework is in operation for the last three years. We are reviewing and analysing it internally as to how the MPC framework has worked. At an appropriate time, if required, we'll have discussion with the government," said the RBI governor at a media conference after he met the Finance Minister on the customary Budget briefing.

What changed for D-Street while you were sleeping

Nifty could soon test the 200-day simple moving average of 11,682.8, with the major support of 12,000 being breached Monday on FII selling across cash and derivatives markets.

Rate cut transmission gradually increasing, to improve further: RBI Governor

The RBI Governor said inflation was broadly in line with their expectations.

Transmission of rate cuts to improve further: RBI Guv Shaktikanta Das

Reserve Bank Governor Shaktikanta Das on Saturday said transmission of rate cuts is expected to improve further in the coming days and that momentum is gathering pace on credit growth. Earlier this month, the central bank opted for a status quo on the benchmark interest rate, amid signs of hardening inflation and an uncertain global environment.Transmission of rate cuts to improve further: RBI Guv Shaktikanta Das

RBI Guv: Govt must continue reforms; green shoots of recovery need to sustain

While Finance Minister Nirmala Sitharaman's Budget for 2020-21 and recent steps have created a facilitating eco-system for reviving demand and consumption through a push on infrastructure projects, it is necessary to undertake land and labour reforms, bring efficiencies in agri marketing and focus on skill development, the RBI governor said.

NBFCs should raise resources on sustained basis: Srei's chief

In a bid to address the liquidity issue, the government has taken some steps through the "partial guarantee scheme" for interim funding.

NCLT reserves its order on Wadhawan’s plea to be part of CoC of DHFL

Dheeraj Wadhawan, one of the directors and promoter of DHFL has approached the tribunal with the arguments that they be allowed to be part of the CoC meetings as the former board member of the company. The troubled home financier has been in a liquidity crisis for over a year. The RBI superseded its board on November 20 and placed it under an administrator.

CreditAccess Grameen-Madura Micro Finance merger to be completed by FY21

MD & CEO Udaya Kumar says their microloans have grown at about 48-49% in the last four-five years on a CAGR basis, though going forward, the growth percentage could be slightly lesser. Excerpts:

Govt overdraft from RBI hints at worries on finances

Govt appears to be relying on the RBI to meet payment obligations in the event of cash-flow mismatches.

Inflation seen peaking, opens room for RBI rate cuts

​ Data showed retail inflation surged to 7.6 per cent last month from a year earlier.

Forex kitty rises $3 billion to record $476 billion

Foreign currency assets rose by $2.763 bn to $441.949 bn in the reporting week.

RBI caps easy norms on CRR for five years

The first such exemption will begin in the fortnight ending February 14.

RBI board recommends aligning accounting year with fiscal year from 2020-21

The Central Board of Directors of the RBI at its 582nd meeting reviewed the current economic situation, global and domestic challenges and various areas of operations of the Reserve Bank. The board recommended aligning the financial year of RBI, currently July-June, with the government's fiscal year (April-March) from the year 2020-21. It approved forwarding a proposal to the government for its consideration, the RBI said in the statement.

Credit growth momentum picking up; Budget proposals not to stoke inflation: RBI chief Shaktikanta Das

Das ruled out any possible spike in inflation due to the proposals as the govt was maintaining "fiscal prudence".

Transmission of rate cuts improving; expected to improve further: RBI Governor Shaktikanta Das

Addressing the media after the customary post-budget meeting between the Finance Minister and the RBI, Governor Shaktikanta Das talked about the improving transmission of the rate cuts they had announced last year, the AGR ruling by the Supreme Court and growth projections.

As yields soften, India Inc rushes in to issue papers

The excess supply of funds has pulled rates on 4-year & 3-year sovereign bonds down 28-37 bps.

So, how RBI really fared in its ‘whatever it takes’ moment

We expect the spread of sovereign curve over repo to compress even more as we go along.

RBI has a NUE plan for digital payment players

The NUE should also maintain a minimum net-worth of Rs 300 crore always.

Beleaguered Indian diamond traders seek help from government, RBI

Gems and jewellery houses on Tuesday reached out to ministries of commerce and finance as well as the central bank, asking for leeway and time for credit facilities availed by exporters of polished diamonds and importers of rough stones.

Forex reserve surges by $3.09 billion to record $476.09 billion

In the previous week, the foreign exchange reserve had increased by $1.701 billion to $473 billion.

Maharashtra loses top slot as attractive investment destination to Andhra in FY’19: RBI study

The deciding factors for a project getting sanctioned in a particular state are the location of a project are accessibility of raw materials, availability of skilled labour, adequate infrastructure, market size, and growth prospects, the RBI study notes implying the states having an edge over the rest in terms of their attractiveness as an investment destination.

Indian banks' loans rise over 7% in two weeks to January 31: RBI

Outstanding loans rose 989.26 billion rupees ($13.86 billion) to 101.03 trillion rupees in the fortnight to Jan. 31. Non-food credit rose 1.02 trillion rupees to 100.24 trillion rupees, while food credit fell 32.02 billion rupees to 788.99 billion rupees.

Rupee ranks among top 5 EM currencies

The Mexican peso has taken the top slot, gaining 1.2 per cent against the greenback.

RBI overhauls liquidity management framework

RBI has considered feedback from a dedicated working group on liquidity management.

Govt to seek NPA relief for companies hit by coronavirus

The move follows a petition from some industry representatives to finance minister Nirmala Sitharaman to not just relax the norms but also ensure access to funds to tide over payment issues that may arise due to problems in accessing inputs and critical raw material.

RBI to conduct LTROs on February 17 and 24

On Thursday, RBI introduced LTROs as one more tool after the “Operation Twist”.

Maharashtra CM discussed GST compensation, PMC bank issue with PM: Aaditya Thackeray

Aaditya described Uddhav Thackeray's first visit to the national capital after becoming chief minister in November last year, as "smooth" and "cordial". Aaditya, who also holds Protocol department, said the meeting with Congress president Sonia Gandhi was a "political one."

RBI move to ease liquidity may affect payout to government

Some market participants peg this a little higher as variable reverse repos offer a few basis points extra.

Will RBI keep rates cuts on hold?

After the budget, the next trigger for the bond market is the monetary policy review, due today, on 6th February.

View: The market may start asking if the next interest rate move depends on the state of GoI’s finances

What matters more when deciding rates — growth-inflation dynamics or govt finances? As of now, it's a blur.

CPI inflation spikes and IIP shrinks: RBI rate cuts off the table for a long time

Food inflation may subside in the coming months, but core inflation is a cause for concern.

Top debt fund managers react to RBI policy

RBI kept the policy rates unchanged in the bi-monthly MPC meet today. Debt mutual fund managers say the move is in line with the market expectations.

RBI keeps rates unchanged amid inflation worries

The central bank raised its inflation projection, saying that outlook on prices remains uncertain. The Monetary Policy Committee (MPC) maintained the accommodative stance.

RBI to keep focus on inflation: Decision guide

RBI will likely keep its policy stance accommodative, indicating it may ease later this year.

RBI monetary policy: Factors to watch out for

The Monetary Policy Committee (MPC) of the RBI, which is meeting for the first time this year post Budget, is likely to maintain status quo in rates. Even as there are expectations of a moderation in inflation from the elevated level of 7.35% in December 2019, the MPC is likely to maintain the policy repo rate at 5.15% in the upcoming monetary policy meeting to be announced on February 6.RBI monetary policy: Factors to watch out for

Cooperative banks to come under RBI watch

RBI will have the right to supersede the management of a cooperative bank in case of governance failure.

Rivals slam PhonePe’s ATM business

Sources close to PhonePe added it is not considering stopping its ATM service, which was highlighted as “revolutionary” by Walmart’s international CEO and president Judith McKenna.

RBI's enhanced role to deter malpractices, add credibility to financial system: President Kovind

"Regulatory oversight of the RBI has also brought greater stability of banking operations," the president said in his address at the golden jubilee celebration of the National Institute of Bank Management (NIBM) here.

What changed for D-Street while you were sleeping

Net-net, foreign portfolio investors (FPIs) were buyers of domestic stocks to the tune of Rs 1,495.25 crore on Friday, data available with NSE suggested.

Central Bank of India plans to exit housing finance subsidiary

The bank holds 64.40 per cent in the unlisted housing finance company, while the remaining stake is held by Housing & Urban Development Corporation (HUDCO), Unit Trust of India (UTI) and National Housing Bank (NHB). The bank is facing operational curbs under the Reserve Bank's (RBI) prompt corrective action (PCA) framework.

Mega bank consolidation: Meeting April 1 deadline appears challenging

Last year, the government announced consolidation of ten PSBs into four mega state-owned lenders.

Rs 1.94 lakh crore bid for Rs 25,000 crore long-term repos

The pro-rata allotment set by the RBI was at 12.86 per cent.

RBI Policy Push: Bond yields dip 25 bps on shorter maturities

The Reserve Bank of India on Thursday said it would conduct long-term repo operations, whereby it would inject money into the banking system at the policy repurchase rate for one and three years.

LIC looks to offload IDBI stake ahead of RBI timeline

Loss making IDBI Bank has been picked as the first public sector lender in which the government will divest its stake, finance minister Nirmala Sitharaman announced in her budget speech last week.

RBI asks PNB to harmonise provisions for bad loans with OBC & UBI

In late August finance minister Nirmala Sitharaman announced the amalgamation of 10 public sector banks into four big banks. As part of this plan PNB is supposed to acquire OBC and UBI which would create the country’s second largest bank – both in terms of business and branch network.

Bank funding for large projects may gain momentum

Going ahead, planned or envisaged capex from all sources based on the pipeline projects sanctioned in all preceding years point to a noticeable improvement in 2019-20. The investment cycle appears to be poised to gain momentum in the short to medium term, but its sustainability needs to be watched closely, RBI said.

5.7% growth forecast for FY21 looks reasonable: B Prasanna, ICICI Bank

“There could be a downside risk for want of a data. Once the data comes in, and once we figure out that the value chains are getting impacted, we will revise our call. One should also realise that there are lot of industries which could possibly try to spin the story around in a positive manner,” Prasanna said.

Indian consumers’ mood is worsening, slack building, says RBI survey

The current situation index fell to 83.7 in January, the lowest since March 2015, according to RBI.

Inflation no constraint, RBI has a long repo for growth

The market called the long-term repo proposal of Rs 1 lakh crore a “masterstroke".

RBI holds rates, but takes bold steps to push credit

Even though the cost of borrowing from the central bank did not change, bond investors cheered by pushing down yields, especially at the shorter end of the tenor.

RBI Monetary Policy: Key things to know

The Reserve Bank of India (RBI) in December had kept interest rates unchanged after five consecutive cuts.

MSME restructuring extension signify RBI's shift in stance on asset quality, transparency: Fitch

"The Reserve Bank of India's (RBI) announcement of forbearance towards stressed sectors signifies a gradual shift away from the regulator's earlier effort to enhance the quality and transparency of asset classification in Indian banking system," Fitch Ratings said. Last week the RBI allowed restructuring of the borrower account of MSME by one more year till March 31, 2021.

Rupee gains 7 paise as RBI maintains accommodative stance, holds rates

The domestic unit had settled at 71.25 against the American currency on Wednesday.

1 2 3 4 5 6 7 8 9 10

Other useful Links

Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service