Indian Banks Association

Sharp rise in gold loan defaults worries banks and NBFCs, increase by 30%

Commercial banks reported a 62 per cent increase in gold loan NPAs, which rose to Rs 2,445 crore in June 2024 from Rs 1,513 crore in March 2024

Banks post sixth year of profit growth in FY24, bad loans decline further

At the same time, banks resorted to borrowings at higher interest rates and increased deposit rates to bridge the credit-deposit growth gap in FY24

Banks to hire young graduates as apprentices in a month; pay Rs 5k stipend

Banks are mulling to hire graduates under 25 years of age as apprentices in a month, a top industry official said on Friday. Lenders will be paying a stipend of Rs 5,000 a month to such candidates who will get trained on a specialized skill set during the stint, industry lobby grouping Indian Banks Association's chief executive Sunil Mehta told PTI. The move follows a budget announcement by Finance Minister Nirmala Sitharaman, under which the government is targeting to provide internships at top-500 companies for up to 1 crore youth over the next five years. Explaining the banks' role in implementing the scheme, Mehta said, "There are a lot of areas where we don't need any skilled manpower for example marketing, recoveries. We can give them training in those areas and they can create employment for themselves." The candidates applying for apprentice should be a graduate between 21-25 years of age, should not be a taxpayer and must not possess a degree from top institutions like IIT

IBA likely to seek easing of proposed norms for retail deposits: Report

The RBI had sought feedback on the proposal until Aug 31, after which it would finalise them for implementation from April 2025

IBA to take up overseas banks' local data storage issue with RBI

"RBI had advised all system providers to ensure that the entire data relating to payment systems operated by them is stored in a system only in India," said a source familiar with the development

Continuous clearing of cheques to speed up payments, enhance efficiency

The cheques will be scanned, presented, and passed in a few hours and on a continuous basis during business hours

Archaic laws need to be reviewed keeping in mind recent changes: DFS Secy

Joshi explained the intention behind the Budget proposals for the financial sector

Indian bankers to get higher salary hikes than Singapore, Hong Kong

Salaries in India could rise by 10% in 2024, analyst Sarah Jane Mahmud wrote in a note Friday, citing survey data from consulting firm Aon

Banks form special panel to address corruption cases, guard executives

The committee will include representatives from three state-run banks and be led by former CBI Special Director DC Jain

Banks urge return to call option valuation for perpetual bonds: Report

They added that the recommendation was currently under review with the NFRA, a regulator that oversees auditing, which will submit its views to a panel of top regulators

Bank locker agreement renewal deadline on Dec 31: What you need to do

The Reserve Bank of India (RBI) has asked banks to sign an updated agreement with bank locker holders citing developments in banking and technology, consumer grievances, and feedback

Capital Small Finance Bank Q1 total business grows 15.58% to Rs 12,584 cr

Capital Small Finance Bank Limited on Monday said its total business grew by 15.58 per cent to Rs 12,584 crore for the quarter ended June 2023. The Jalandhar-headquartered bank's total business was Rs 10,888 crore during the first quarter of the last financial year, according to a statement. The bank said its deposits grew by 14.64 per cent to Rs 7,064 crore and advances went up by 16.81 per cent to Rs 5,519 crore. The net worth of the bank increased by 28.81 per cent to Rs 69 crore during the first quarter of the current fiscal. Sarvjit Singh Samra, managing director and chief executive officer of Capital Small Finance Bank said, "We are proud to report robust profits, which underscore the resilience of our business model and the effectiveness of our strategic initiatives. "As we continue to navigate an ever-evolving financial landscape, we remain focused on sustaining this positive momentum and creating long-term value for our stakeholders.

Indian Banks' Association constitutes sectoral committee in GIFT City

The Indian Banks' Association (IBA) has constituted a sectoral committee for member banks operating within the Gujarat International Finance Tec-City (GIFT City), the association said on Tuesday. The inaugural meeting of the committee took place in GIFT City on Tuesday. IBA has constituted the Sectoral Committee to address the unique regulatory landscape and challenges faced by banks operating within GIFT City. The committee will act as a bridge between the banking industry and regulators, ensuring that concerns and perspectives are effectively communicated and addressed, a release said. GIFT City currently accommodates 26 banks. Earlier, banks individually took up issues faced by them with the International Financial Services Centre Authority (IFSCA). The establishment of the Sectoral Committee is a pivotal step towards streamlining concerns common to all banks within GIFT City. Sunil Mehta, Chief Executive of IBA, said, the regulatory framework for banks within GIFT City differs

FinMin asks IBA to finalise wage revision of bankers of PSU banks by Dec 1

The government has asked the Indian Banks' Association (IBA) to initiate the process of negotiations for the 12th Bi-partite settlement in a time-bound manner and to finalise it by December 1, 2023, said a senior official. The wage revision for employees and officers of the public sector banks is due from November 1, 2022. The early wage revision would help improve working conditions and incentivise the banking sector employees, the official said. Further, the official said, the finance ministry has asked IBA to ensure that all future wage negotiations should be finalised before the beginning of the subsequent period so that the wage revision could be implemented from the due date itself. As a part of the settlement, the IBA is expected to engage in dialogues with the employees' Unions/ Associations and work out to arrive at a mutually agreeable wage settlement. The government has stressed the importance of fairness and equity in the revision, ensuring that the compensation struct

Restore transaction fee on RuPay cards: Banks request finance ministry

MDR is a fee charged to a merchant for the payment processing of debit and credit card transactions. It is also referred to as the transaction discount rate (TDR)

Russian firms investing rupee surplus in Indian govt debt: IBA chief

IBA chief Sunil Mehta is the first senior official to confirm that Russian funds in Indian banks were being invested into government securities as it gives them the advantage of easy liquidity

Demand for 5 days of work at banks hits speed bumps, likely to take time

Public sector banks will have to see that their business is not affected in case private banks decide to work on Saturdays

Bank of India plans to raise Rs 6,500 crore through various means in FY24

State-owned Bank of India plans to raise Rs 6,500 crore from various means including share sale to fund business growth in 2023-24. The proposal in this regard would come before the board in its meeting scheduled on April 18, Bank of India said in a regulatory filing. The board would be considering, at their meeting proposed on April 18, the proposal of raising capital for the FY 2023-24 aggregating up to Rs 6,500 crore, it said. The board would decide on the proposal of raising fund by issue of fresh equity capital in the form of qualified institutional placement or rights issue or preferential issue and/or Basel III compliant Additional Tier-1 (AT-1) bonds (domestic and foreign currency) up to an amount of Rs 4,500 crore, it said. Remaining Rs 2,000 crore is planned to be raised by issue of Basel III compliant Tier-2 bonds, it said.

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Indian Banks Association considers 5-day work week for bank employees

If the proposal gets IBA's nod, it will be sent to the finance ministry and subsequently to the Reserve Bank of India's (RBI) for approval