Nbfc Crisis

Japan's Mizuho Bank acquires 15% in Credit Saison India for Rs 1,200 cr

Digital non-banking finance company Credit Saison (CS) India on Tuesday said Japan's Mizuho Bank has acquired 15 per cent stake in it for Rs 1,200 crore. This is Credit Saison's first investment from an external investor, a statement from CS India said. This strategic investment will enable CS India to continue its journey towards becoming a well-diversified, resilient lending franchise with a focus on growth and profitability, the statement added. CS India received its (Non-banking Finance Company) NBFC licence in September 2019 from the RBI and focussed initial operations in wholesale lending and tech-integrated partnerships with other NBFCs and fintechs. Later, it expanded into retail lending through partnerships. Currently, it has 1.2 million active loans worth over Rs 10,000 crore, Presha Paragash, chief executive of CS India said. Mizuho Bank is the retail and corporate banking unit of Mizuho Financial Group while CS India is the domestic arm of Saison International, one of

Brookfield-backed Indostar Capital sells stressed SME loans worth Rs 292 cr

NBFC says in filing it is making efforts to sell nearly 50% of its stressed assets

Bank credit to NBFCs grows 22% in Oct, exposure to sector at Rs 14.8 trn

The RBI norms on an increase in risk weights exclude bank loans to housing finance companies or bank loans backed by priority sector loans (PSL)

Hong Kong-based Ares SSG Funds completes acquisition of Altico Capital

This is the first resolution of a stressed NBFC outside India's insolvency and bankruptcy process

Must commend RBI for defusing NBFC crisis: Former governor Subbarao

The banks don't provide for their bad debts adequately, and take four to five years to provide for them, which creates problems.

Out of the woods? Analysts turn bullish on NBFCs on improved liquidity

Recent steps by the government and the RBI to keep systemic liquidity and rates benign along with direct liquidity to NBFCs facing constraints, in the wake of Covid-19, have helped, analysts say

Declining long-term market funding for NBFCs a concern, says RBI

It has the potential to heighten the liquidity risks the sector is already facing after the IL&FS debacle, FSR said

After IL&FS crisis, Covid-19 makes NBFCs struggle despite RBI actions

While bank credit to NBFCs has seen a rise of 30 per cent year on year, credit has mostly flown into larger NBFCs with good parentage and ones with better ALM positions.

NBFC yields yet to show contraction in spreads after govt measures

Experts believe spreads will contract as the credit lines start getting utilised, and banks regain confidence about NBFC papers for the long term

NBFCs' foreign lenders face repayment risks as US dollar becomes stronger

Covid has caused disruption in the domestic and global markets, enhancing the risk of default from the rise in cost of repayments due to upheavals in the currency markets

Sidbi to provide liquidity support to NBFCs, MFIs with 90-day term loans

NBFCs and MFIs have been hit on two fronts, with collections dipping due to the covid-19 lockdown, and the three-month moratorium extended to their borrowers

RBI actions will act as lifelines for NBFCs; await steps on bond buying

In his bid to fight the coronavirus (Covid-19) induced slowdown, the governor has made it clear that he doesn't want banks to park money with the RBI.

Covid-19 woes: NBFC sector staring at another bout of liquidity challenge

Most banks are yet to decide on giving moratorium to shadow lenders

Why are the markets punishing Bajaj Finance, Bajaj Finserv?

Recently, foreign brokerage Bernstein had downgraded Bajaj Finance to 'underperform' and had cut the target price to Rs 1,740 from Rs 4,820.

NBFCs to use RBI's liquidity boost to focus on refinancing debt obligations

On Friday, the Reserve Bank of India (RBI) came up with policy measures to ensure there is enough liquidity in the system

Budget 2020: Govt may introduce programme to buy NBFCs' stressed assets

The government is likely to unveil, in the Union Budget 2020, a Troubled Assets Relief Programme (TARP) similar to what the US initiated during the financial crisis in 2008

Top Headlines: India's economic growth to 'weaken', SC Maha verdict Tuesday

From DBS Bank on India's economic growth to Sena-NCP-Congress staking claim in Maharashtra, Business Standard brings you the top headlines of the day

NBFCs to see better loan growth in FY21: Tata Capital CEO Rajiv Sabharwal

Foreign money is coming into the market and because of stability in rupee the hedging cost is also lower

Expecting better liquidity, NBFCs hope to come out of dark tunnel in 2020

The crippled non-banking financial companies are hoping for better days in the New Year as they expect liquidity condition to improve on the back of various measures announced by the government and the Reserve Bank. Asset quality pressures, liquidity squeeze, asset-liability mismatches, higher borrowing costs, rising defaults levels and rating downgrades made 2019 a tumultuous year for NBFCs or the shadow banks. Having badly lost a year and more since the industry major IL&FS went belly up in September 2018, NBFCs expect that the fiscal and monetary measures will help them come out of the deep tunnel, and to regain their lost importance in the financial system as they have been the key financial intermediaries delivering the last mile credit to the needy all these while. "The outlook is positive as the government and the RBI have already announced a lot of measures to help the NBFC sector," says Shriram Transport Finance Managing Director Umesh Revankar. To alleviate the stress in

The 2020 Budget speech

The finance minister will present her first full Budget on February 1. This is the speech I wish to hear