The ratio of non performing assets (NPAs) in education loans is going up thus worrying banks a lot. Banks have asked for help from the government in the form of a credit guarantee fund as safety. They have asked for a fund of minimum of Rs 2500 crore.
Foreign bank, Deutsche Bank has planned to reach 30% increase in its Indian operations. Till now, the bank was concentrating on deposits and mortgage lending as the main areas of focus. Now it plans to venture into small and medium enterprises (SME) and personal banking sectors.
The top judicial organization of India, Supreme Court (SC) has prevented itself from offering any type of guidelines to public sector banks on recovery steps to be undertaken for non performing assets (NPAs) amounting to Rs 1 lakh crore from defaulters.
The eagerly awaited government jobs are seeing a sea change. It means the end of comfortable working hours, adequate retirement fund and other perks as public sector companies are now switching over to contractual system of recruitment.
Till date the government has not received any claim from banks for refund associated with the interest subsidy scheme on education loans. There are fears that the new scheme may have failed to achieve the target as was anticipated from it.
CitiBank has opened a modern branch at Pune. The branch has been opened by Shirish Apte, CEO, Citi Asia-Pacific along with Pramit Jhaveri, Citi Country Officer, India and N. Rajashekaran, Country Business Manager, Global Consumer Group, Citi India.
IDFC, the infrastructure finance company has stated that it does no plan to venure into the banking division. The company made this announcement after the discussion paper on new banking license has been circulated by the Government.
Swiss bank, Credit Suisse has obtained license to start branches in India. The bank’s first branch would be opened in Mumbai.
The Reserve Bank of India has sent a directive to all commercial banks asking them to keep a nonstop watch on the usage of customers’ lockers and take necessary measures to retain the security of these safe deposit vaults.
Car loans from HDFC Bank and Kotak Mahindra Prime are expected to go up due to the hike in prime lending rates (PLR) by the banks.