Ahead of Reserve Bank of India's (RBI) mid-quarter monetary policy review the State Bank of India (SBI), hiked its lending and deposit rates on September 19. The country's larges bank hiked its base rate, or the minimum lending rate, to 9.8 per cent from 9.7 per cent.
Tag: lending
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PNB’s total outstanding deposit stands at Rs 4 trillion
KR Kamath, Chairman and Managing Director of Punjab National Bank said the bank's total deposits stood close to Rs 4 lakh crore, while its total credit remained above Rs 3 lakh crore as at end June 2013. He said this while addressing bank officials of Dharamshala circle at the Managers' Meetings.
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Banks may lend Rs 60 bn more to Essar Steel
In order to prevent Essar Steel from approaching
the corporate debt restructuring (CDR) cell, lenders to the company provided an further loan of Rs 6,000 crore. The company borrowed this amount at an interest rate of 12.50 percent. The Ruia-group firm would use around Rs 2,000-2,500 crore of the Rs 6,000 crore to repay group com
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Srei Infra hikes base lending rate to 18%
Considering the rise in the cost of funds for the infrastructure sector, Srei Infrastructure Finance raised benchmark lending rate by 50 basis points. Thus, the new benchmark rate stands at 18 percent per annum effective from Sept. 1, 2013 compared to the earlier rate of 17.50 percent
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IRDA revises lending norms of insurance firms
The Insurance Regulatory and Development Authority (IRDA) decided to exclude lending by insurance firms to housing finance companies as exposure to the finance sector. In a statement, the insurance regulatory body said these loans would be henceforth treated as funding to the hous
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CDR cell refuses to take up Rs 70 bn loan recast plan of Electrosteel
Agency reports indicate that the CDR (corporate debt restructuring) cell refused to consider the CDR request of Electrosteel Steels for its Rs 7,000-crore loan. This is because the company did not adhere to the terms of the proposal, including fresh capital infusion and corporate guarantee that promoters are supposed to bring to the table. Therefore, the consortium of 27 banks dela
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World Bank willing to finance preparation of master plans
Multilateral lending agency World Bank expressed willingness to finance the preparation of preliminary master plans of Auraiya Investment Zone and Allahabad-Naini-Bara Investment Zone. Recently, a team of officials from the World Bank met top officials of the UP government to plan the initiative. It may be recalled that the Uttar Pradesh government agreed to become a stakeholder in the Amri
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Dena Bank wants govt to infuse Rs 20 bn capital
The tier-I capital of Dena Bank declined below 8 per cent by June 30 and this prompted the state-run bank to seek Rs 2,000 crore capital infusion from the central government, reports indicate. Ashwani Kumar, Chairman and Managing Director of Dena Bank expects the central government to provide this
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Bank of Maharashtra trims base rate by 25 bps
Some public sector banks are reducing their lending rates following the meeting of their chiefs with Finance Minister P Chidambaram. During a recent meeting with the chiefs of state-run banks,
Chidambaram has asked them to reduce lending rates to spur credit growth and thereby reverse investment cycle. Recently, Bank of Maharashtra reduced ‘base rate’ by 25 basis points from 10.25 percent to 10.00 percent on mon
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OBC reduces base rate by 0.25%
Following the meeting with Finance Minister P Chidambaram some of the public sector banks are reducing their base rates. The recent bank to join the club is Oriental Bank of Commerce (OBC), which trimmed its base rate by 25 basis points, or 0.25 percentage points, from 10.25 per cent to 10 per cent. The reduction in the interest rate woul