The Hindu Business Line : Thursday, October 29, 2009

MONEY & BANKING

CO-OPERATIVES: RBI pushing for acquisition of weak, sick urban co-ops
‘Amalgamation must ensure 100% protection to depositors’. Mumbai, Oct. 28 The Reserve Bank of India appears inclined to encourage takeover of weak/sick urban co-operative banks (UCBs) by domestic scheduled commercial banks ...

CREDIT MARKET: Banks told to lend more to farm, small sectors
Credit flow to employment generating areas. New Delhi, Oct. 28 At a meeting with the CEOs of north-based public sector banks, the Finance Minister, Mr Pranab Mukherjee, urged them to enhance credit flow to ...

FINANCIAL PERFORMANCE: Higher income pushes Bank of Baroda net up 60%
Credit growth seen stronger in second half. Mumbai, Oct. 28 Bank of Baroda’s net profit grew 60 per cent to Rs 634 crore for the quarter ended September 30, 2009, from Rs 395 crore in the same period last ...

CONSUMER FINANCE: Commercial real estate loans may cost more
Provisioning norms for advances raised to prevent NPAs. Mumbai, Oct. 28 Interest rates on loans to commercial real estate sector may move up with the Reserve Bank of India increasing the provisioning requirement for advances to this sector from ...

FINANCIAL PERFORMANCE: Andhra Bank profit rises to Rs 274 cr on all-round growth
Hyderabad, Oct. 28 Andhra Bank’s net profit increased 70 per cent to Rs 274 crore in the second quarter ended September 2009 compared with Rs 161.5 crore in the corresponding quarter of the ...

GOVT BONDS: Positive sentiments boost bonds
Bond prices rose by around 48 paise on Wednesday as positive sentiments prevailed in the market post the SLR hike in the second quarter review of the monetary policy. There are no downside risks as there is no auction scheduled this week, said ...

FOREX: Rupee at 3-week low
The rupee fell by 44 paise against the dollar as the greenback rallied against other major currencies overseas. Though the rupee had breached the 47-level in day trade on Tuesday, it closed well above the 47-mark on Wednesday. The domestic ...

FINANCIAL PERFORMANCE: Punjab & Sind Bank net rises in H1
State-run Punjab & Sind Bank reported a 36 per cent rise in net profit at Rs 235 crore for the first half ended September 2009 compared with Rs 172 crore in the same period last fiscal. The total income increased 24 per cent to Rs 2,057 ...

SHORT TERM INSTRUMENTS: Call rates end unchanged
The inter-bank call rate ended at 3.25-3.30 per cent, same as the previous day’s close. Under the liquidity adjustment facility conducted by the Reserve Bank of India, there were no bids in the one-day repo auction. In the reverse ...

CREDIT POLICY: Credit Policy awell-tuned stimuli
To promote financial inclusion RBI has allowed banks to appoint certain additional entities as ...

CREDIT POLICY: Towards growth management
Clearly, the costs from a policy reversal would add up in terms of a stronger currency appreciation, larger systemic liquidity and higher sterilisation costs - costs that the economy can ill-afford in the nascent stages before returning to its ...

FINANCIAL PERFORMANCE: National Housing Bank net up 39% at Rs 236 cr
Plans to raise Rs 12,000 cr to refinance home loans. National Housing Bank (NHB) announced on Wednesday a 39 per cent increase in its net profit at Rs 236 crore for the year ended June ...

SMALL SAVINGS: Lok Ayukta annuls service tax on chit fund customers
The Lok Ayukta has ruled that it is ‘unjust, unreasonable and oppressive’ on the part of cash management services to claim a service tax ...

GENERAL INSURANCE: London re-insurers eye Indian market
Hyderabad, Oct. 28 Re-insurers from London, as well as other parts of Europe, see significant potential in the re-insurance market in India and are keen on hanging out their shingles in ...

PEOPLE: Subir Gokarn appointed RBI Deputy Governor
New Delhi, Oct. 28 There is a saying in Urdu, “dayr say aaye, durust aaye,” which means they arrived late but ...

CREDIT POLICY: A pleasant surprise, say economists
Thiruvananthapuram, Oct. 28 While most of the Monetary Policy prescriptions were along expected lines, the upward revision in the Statutory Liquidity Ratio (SLR) seems to have caught leading economists off ...

INTEREST RATES: Scope for banks to cut lending rates: RBI
Mumbai, Oct. 28 There is scope for banks to reduce lending rates, given that the Monetary Policy is still largely in an accommodative stance, said the Reserve Bank of India, Governor, Dr ...

CREDIT POLICY: SLR hike unlikely to impact liquidity
Mr J. M. Garg, Chairman and Managing Director of Corporation Bank, told Business Line that the increase in the SLR by 100 basis points may not impact the liquidity in the system as most banks have more ...

FINANCIAL PERFORMANCE: Shriram Transport Finance net up
Shriram Transport Finance Company reported a 25 per cent rise in net profit to Rs 207.45 crore in the second quarter of this fiscal, against Rs 165.6 crore in the year ...

ASSET MANAGEMENT COMPANIES: Chola DBS loss rises on sale of asset management biz
Chennai, Oct. 28 Due to a provision of Rs 43 crore representing “likely loss” on the sale of Chola DBS Asset Management business, Cholamandalam DBS Finance reported a net loss of Rs 28 crore for the second quarter ending ...

CREDIT POLICY: RBI move to impact profitability, says Crisil
Mumbai, Oct. 28 The Reserve Bank of India’s stipulation that banks need to provide a minimum provisioning coverage of 70 per cent on their non-performing assets will lower profitability of banks in the short term, says rating ...

EXPORTS & IMPORTS: Readymades to get interest rate subvention
Mumbai: The Government of India has decided to include readymade garments along with textiles under the rupee export credit interest rates subvention scheme with effect from December 1, 2008, RBI said in a notification. ...

CREDIT POLICY: Money rates could crash
The half-yearly Monetary Policy created a lot of jitters in banks and corporates. Would the RBI reverse course on interest rates and liquidity, heralding the ‘exit’ of its rescue measures in the wake of the global financial ...

CREDIT RATING: Crisil upgrades Equitas Micro’s paper
The securitised paper of Equitas Micro Finance India has received a rating upgrade from Crisil. The transaction, which took place in March, involved securitisation of micro-loan portfolio of Rs 15.70 crore (principal outstanding). “The ...