India’s banking community would like to sing the 1929 Leo Reisman song Happy days are here again, best remembered as the campaign song for Franklin Roosevelt’s successful 1932 presidential campaign. The banks just closed all formalities for a Rs.35,000 crore project loan for Tata Steel Ltd, India’s largest steel maker, and around Rs.
Mumbai: On the evening of 12 September, the Lucknow-headquartered Sahara group released a statement saying the capital market regulator had refused to accept documentation related to investors in securities sold by two group companies. The statement seemed to imply that Sahara was struggling valiantly to cope with an order by the country’s highest court and the regulator was being cussedly officious. But there’s more to this story.
State Bank Of India(SBI), the nation’s largest lender, last week cut its minimum lending rate, or base rate, by a quarter percentage point to 9.75%. This is possibly the first instance of SBI lowering its base rate since its introduction in July 2010.
As a probashi Bangali, I have been watching West Bengal chief minister Mamata Banerjee on television. It’s unavoidable. The lady’s been ceaselessly in the news— latterly because of the decision to withdraw the support of her Trinamool Congress party from the United Progressive Alliance government at the Centre.
Reserve Bank of India (RBI) governor D. Subbarao seems to be a believer in majjhima patipada, or the middle path of Buddhist philosophy—moderation. So there was no rate cut in the mid-quarter policy of the central bank on Monday; instead there was a cut in banks’ cash reserve ratio (CRR), or the portion of deposits that commercial banks need to keep with the central bank.
The Wholesale Price inflation rate in August rose to 7.55% on higher food and energy prices against a 32-month low of 6.87%.
In April, Aditi Chaudhuri, a probationary officer (PO) at India’s largest lender by assets, State Bank of India (SBI), was on cloud nine when she learnt that her first posting would be at Faridabad in Haryana. It would be just a 40-minute drive from her Chittaranjan Park home in Delhi. But her father played spoilsport.
Too many sectors and companies are in stress and that’s not good news for the banking system, says Tamal Bandyopadhyay. Anil Ambani is looking to sell the stake Reliance Communications Ltd (R-Com) has in Reliance Infrastructure Ltd and list R-Com’s undersea cable unit. The chairman of India’s second largest mobile carrier by subscribers has said the entire proceeds would be used to repay debt.