Joel Rebello

The Reserve Bank of India (RBI) cut the cash reserve ratio (CRR) by 50 basis points to inject ₹1.16 lakh crore into the banking system. This move aims to ease liquidity concerns, potentially boosting bank net interest margins by 3 to 5 basis points.

Indian banks are unlikely to raise deposit rates further due to slowing credit growth and a recent cash reserve ratio cut. The influx of liquidity ensures sufficient funds for lending, stabilizing deposit rates near their peak. Any rate reduction hinges on the central bank lowering the benchmark repo rate, potentially triggered by easing inflation.

Standard Chartered Bank has shortlisted three candidates to replace outgoing India and South Asia CEO Zarin Daruwala. Former JP Morgan India CEO PD Singh is reportedly the frontrunner, alongside HDFC Bank's Rahul Shukla and Standard Chartered's own Venugopal Ranganathan. The RBI is currently reviewing the nominations before a final decision is made.

Standard Chartered Bank has shortlisted three candidates to replace Zarin Daruwala as CEO for India and South Asia. Former JP Morgan India CEO PD Singh is reportedly the frontrunner, alongside HDFC Bank's Rahul Shukla and Standard Chartered's own Venugopal Ranganathan. The RBI is reviewing the nominations before a final decision is made, with Daruwala's term concluding in March.

Bajaj Finance, a leading Indian consumer financier, is implementing a five-year AI integration plan. This aims to boost customer engagement, revenue, and productivity while cutting costs. The company projects a significant increase in customer base and market share by 2029, leveraging AI for enhanced customer outreach and operational efficiency.

Synopsis Bajaj Finance, a leading Indian consumer financier, is implementing a five-year AI integration plan. This aims to boost customer engagement, revenue, and productivity while cutting costs. The company projects a significant increase in customer base and market share by 2029, leveraging AI for enhanced customer outreach and operational efficiency. ( Originally published on Dec 12, 2024 )

The Reserve Bank of India (RBI) lifted business restrictions on Edelweiss Group's NBFCs, ECL Finance and Edelweiss ARC. The RBI had imposed these restrictions in May due to alleged "evergreening of stressed assets" involving structured transactions and connected AIFs. The RBI expressed satisfaction with the remedial measures taken by both companies to address the concerns.

Shriram Finance, India's second-largest NBFC, secures a record $1.27 billion multi-tranche loan from global lenders including HSBC, MUFG, and SMBC. The loan, with maturities of three to five years, diversifies Shriram's funding sources amidst tighter RBI regulations and will support its lending business, including expansion into MSME financing.

Microfinance loan delinquencies are rising due to political events, weather disruptions, and excessive lending. Rural households prioritize food and secured loans over microfinance amidst job losses and high food inflation. Industry executives anticipate improvement next fiscal year as loan books are unwound and repayment capacity stabilizes.

National Asset Reconstruction Co Ltd (NARCL) has offered ₹12,000 crore for the debt-ridden Jaiprakash Associates Ltd (JAL), sparking a Swiss Challenge auction. A dozen entities, including Phoenix ARC, Acre ARC, Arcil ARC, CFM ARC, Capri Global, and Cerberus Capital, have shown interest. The auction requires all-cash bids, potentially exceeding NARCL's offer, which includes government-backed security receipts.