SBI starts certification for officers who sanction loans

To face the challenge of high non-performing assets (NPAs), country’s largest lender State Bank of India (SBI) has started working on a multi-pronged strategy, including a certification programme for loan sanctioning officials. “In our bid to face the challenge of high-level NPAs the industry is currently faced with, we are working on a multi-pronged strategy,” bank’s chairman Arundhati Bhattacharya told …

Other income, retail loan growth boost private banks’ profit

Strong other income and robust growth in the retail (individual) book portfolio helped private sector banks report good earnings growth in the April-June quarter. Most banks met Street estimates and concerns on asset quality also stabilised, as the spikes in non-performing assets (NPAs) were along expected lines. Most lenders saw a rise in other income, which includes fees and commissions. …

IDBI Bank cuts base rate by 10 bps to 9.65 per cent

Public sector IDBI Bank has reduced its base rate or minimum lending rate to 9.65 per cent per annum from from 9.75 per cent per annum earlier The Benchmark Prime Lending Rate (BPLR) is also reduced from 14.25 per cent to 14.15 per cent, the bank said in a release.The revision in the rates shall be effective from August 1, …

ICICI Bank reduces MCLR by 0.05 per cent

MUMBAI: Country’s largest private sector lender ICICI BankBSE 0.04 % today announced a 0.05 per cent reduction in its marginal cost of funds based lending rate (MCLR). The overnight MCLR will be 8.90 per cent under the revised rate structure which is effective from today, sources said. The RBI introduced the MCLR from April 1 this year for faster transmission …

New Lending Rate system a boon for mid-sized banks

MUMBAI: The Marginal Cost of Funds based Lending Rate (MCLR) system could become a tool for expanding business especially for the mid-sized private sector banks as it gives them an opportunity to offer lower rates in short-term maturities, opening up a new market which was so far not within the reach of these lenders. The new MCLR regime, which was …

No Threat Of Systemic Risk From Housing Sector: RBI

Mumbai: A rise in home prices “moderated significantly” in 2015-16 and there is no threat of any systemic risk from the housing sector with the gross non-performing assets (NPAs) amongst retail loans being contained, the Reserve Bank of India (RBI) said on Tuesday. “With gross non-performing asset (GNPA) ratio around 1.3 per cent, the retail housing segment does not presently …