RBI’s gold purchase highest in almost two years
The Reserve Bank of India (RBI) bought 8.7 tonne of gold in January, making it the largest purchase by the central bank since July 2022. The RBI’s gold holding has climbed to 812.3 tonne in January, from 803.58 tonne in December 2023, according to the World Gold Council data. The central bank is adding gold to diversify its forex reserves and hedge against foreign currency risks, experts say.

Govt, ADB ink USD 23 million loan pact to strengthen fintech ecosystem in India
The government and the Asian Development Bank (ADB) on Thursday signed a USD 23 million loan agreement to enhance access to quality fintech education, research, and innovation at the Gujarat International Finance Tec-City.

RBI may move some NBFCs to top layer this year
Mumbai: Nearly two years after introducing a revised regulatory framework for non-banking finance companies (NBFCs), the Reserve Bank of India is set to review the categorisation of NBFCs in 2024. Sources aware of the matter say the review has become imminent given how NBFCs have exploded in terms of growth, their business models and operations have changed significantly from the time of initiating scale-based regulations.

Many ARCs within striking distance of RBI’s revised NOF norm, say experts
Mumbai: Most of the asset reconstruction companies (ARCs), barring two or three, will be able to meet the minimum net owned fund (NOF) norm of ₹200 crore by the March-end 2024 deadline, say industry experts. Many ARCs are within striking distance of the minimum NOF target of ₹200 crore, having reached ₹175-180 crore by December-end 2023 due to improvement in recovery rate from security receipts (SRs)

DFS Secy says 5 PSU banks to reduce govt shareholding to meet MPS norms
Five public sector lenders, including Bank of Maharashtra, IOB and UCO Bank are planning to reduce government stake to less than 75 per cent to comply with Sebi’s minimum public shareholding (MPS) norms, Financial Services Secretary Vivek Joshi has said.

Govt, RBI in talks to ease Fema guidelines for boosting e-commerce exports
Source Credit: Asit Ranjan Mishra, Business Standard

New Delhi: The commerce ministry is in discussions with the Reserve Bank of India (RBI) to facilitate e-commerce exports by liberalising the Foreign Exchange Management Act (FEMA) guidelines, Santosh Kumar Sarangi, Director General of Foreign Trade (DGFT) said on Thursday.

RBI holds overnight VRRR auction to suck out banking system liquidity
Source Credit: Anjali Kumari, Business Standard

Mumbai: The Reserve Bank of India (RBI) on Thursday conducted an overnight variable rate reverse repo (VRRR) auction as banking system liquidity improved owing to government spending.

Non-callable vs normal FDs. How are they different? Features, benefits and limitations
In 2015, the Reserve Bank of India (RBI) introduced a new concept of fixed deposits called ‘non-callable fixed deposits’. They were different from the earlier ones (callable/normal FDs) as they offered a higher interest rate and had a predetermined lock-in period. Soon after the announcement, Axis Bank— one of the leading private sector banks in the country—launched the first non-callable fixed deposit scheme for its customers. So, what are non-callable fixed deposits and how are they different from callable fixed deposits?

PNB offers Rakshak Plus Scheme for Defence Pensioners
All defence service pensioners, regardless of age, whose pensions are credited to their PNB account through SPARSH/CPPC, are eligible for the benefits of personal accidental insurance under the PNB Rakshak Plus Scheme. This coverage also encompasses pensioners of Central & State Police. Key features of the scheme include personal accidental insurance with a death cover of Rs 50 lakh, personal accident permanent total disability also at Rs 50 lakh, personal accident permanent partial disability with coverage up to Rs 50 lakh, and air accidental insurance offering a death cover of Rs 1 crore. Additionally, the scheme offers many other facilities. For further information, customers can contact the bank via the toll-free numbers 1800 1800/1800 2021 or visit the nearest PNB branch. Customers can also access information by logging into the mobile banking app PNB ONE or visiting https://www.pnbindia.in/.

5 PSU banks to reduce govt shareholding to meet MPS norms
Bank of Maharashtra, UCO Bank, among 5 PSUs to reduce govt shareholding amid MPS norms
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Proxy advisors InGovern, SES favour ICICI Bank, ICICI Securities deal
 

SCB’s share in ownership of govt securities declined significantly in the last 10 years: BoB report
 

RBI reconstitutes Abhyudaya Coop Bank's Committee of Advisors
RBI reconstitutes Committee of Advisors for Abhyudaya Cooperative Bank
The Hindu Business Line

Axis Atlas credit card fiasco: How to avoid your rewards from being blocked

What really happened?

Obtain secured credit card, repay regularly to repair credit history
Personal loans given by fintech players in the under Rs 1 lakh category have grown at a compounded annual rate of 75 per cent between financial year (FY) 2017-18 and FY 2022-23. After this rapid growth, there are signs of stress in fintechs’ loan portfolios, especially in the under Rs 50,000 ticket size, according to a white paper released by Experian in collaboration with the Digital Lenders’ Association of India (DLAI).
 

Fitch places IIFL Finance on ‘Watch Negative’ citing risks to profitability, franchise
Mumbai: Fitch Ratings has placed IIFL Finance’s ‘B+’ rating on ‘Watch Negative’ citing downward risks to the franchise and profitability due to regualtory restrictions. On March 4, RBI barred IIFL Finance from new gold-backed lending and related off-balance-sheet funding transactions. It also cited a number of instances of non-compliance within IIFL Finance’s gold loan business.

InCred posts 55% YoY growth in loan book to reach Rs 8000 cr in Dec’23; business loan AUM up 80% YoY in FY24
InCred Financial Services Limited (InCred Finance), a diversified NBFC in India that recently achieved Unicorn status, has been posting healthy growth across its verticals of consumer loans, education loans and business loans with a 55 per cent growth in its loan book that reached Rs 8,000 crore in December 2023. 

Manba Finance files draft papers with SEBI for an IPO
Manba Finance Ltd, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to for an Initial Public Offering (IPO).

Paytm Payments Bank deadline ends on March 15! What happens to FASTag, UPI, other services- Here is list and how NPCI nod helps customers
Paytm Payments Bank Shut Down on March 15: The Paytm Payments Bank will shut down with effect from March 15 as per the Reserve Bank of India directive.But what happens to all the financial services financial services such as deposits, credit transactions, and FASTag recharges effective from Friday (March 15). Here is a detailed check-

Paytm gets nod to continue UPI via State Bank of India, three others
Four banks State Bank of India (SBI), Axis Bank, HDFC Bank, and YES Bank will act as payment service providers (PSPs) to Paytm.

Paytm gets NPCI approval to become a third-party UPI app ahead of RBI’s deadline
Ahead of the RBI’s March 15 deadline, the National Payments Corporation of India on Thursday gave nod to Paytm’s parent compnay One97 Communications Ltd (OCL) to become a third party UPI app. The Third-Party

Paytm parent One97 Communications plans partnership with 4 banks for UPI

The transition is expected to be seamless and gradual, with the "@paytm" handle being retained. However, instead of linking to Paytm Payments Bank (PPBL), these handles will redirect to one of the four banks for settlement.

Paytm Payments Bank plans to cut about 20% of staff as business halt looms

Paytm Payments Bank has decided to lay-off staff in certain divisions, including operations, the sources with direct knowledge of the matter said.

With Paytm Bank set to wind down, uncertainty clouds One97’s future
 

Ethereum Dencun upgrade gets launched on the blockchain’s mainnet
On March 13, 2024, the Dencun upgrade was finally deployed on the Ethereum mainnet. From what it’s understood, the Dencun development will result in transaction charges’ minimisation related to layer-2 networks, along with improvements in Ethereum’s aggregate growth potential.

The fallacy of crypto as an alternative to fiat currency
The world’s first cryptocurrency, Bitcoin, scaled a fresh peak on Monday. It reached $72,234 per token, crossing its pandemic peak of nearly $69,000. Bitcoin may be ‘here to stay,’ but that still does not justify its adoption as a currency.

India's crypto woes persist despite Bitcoin surge
New Delhi : Indian cryptocurrency exchanges are only reaping partial benefits from the recent sharp rise in Bitcoin prices. While trading volumes have risen smartly, they are well below their peaks of a couple of years ago. At the same time, heavy taxation and negative sentiment from regulators have forced India's crypto companies to cut costs including jobs, and plan expansion into other lines of business.

India’s Mutual Fund Industry: Dream run continues, Equity inflows surge in February
The mutual fund industry in India has been witnessing unprecedented growth, with inflows in the equity category surging significantly in February. According to data released by the Association of Mutual Funds in India (AMFI), the month witnessed inflows amounting to ₹26,866 crore, reflecting a spike of 23.3 percent. Small-cap funds led the way with a net inflow of ₹2,922.4 crore, followed by mid-cap funds with ₹1,808.2 crore, and large-cap funds with ₹921.14 crore in net inflows. Equity funds have seen positive inflows for the 36th consecutive month since March 2021.

Insurance NFOs: Why you must not confuse this with mutual funds
The huge interest in mutual funds among retail investors over the past several years, specifically the SIP (systematic investment plan) mode, which allows small sums to be parked periodically in schemes, has spawned a new rival. As asset management companies roll out new fund offers (NFOs) periodically, life insurance companies, too, have been on a launching spree. These insurers have been coming out with their own ‘NFOs’ in recent months, perhaps hoping to gain from the positivity around mutual funds.

Quant, Birla MF declare stress-test report
Quant Mutual Fund disclosed its stress-test report late on Thursday evening. According to the test, it will require three days to liquidate 25% of its portfolio in the Quant Mid-cap Fund and 11 days to liquidate 25% of its portfolio in small-cap Fund. In case it has to liquidate 50% of the portfolio, it will require six days and 11 days, respectively, for the mid-cap and small-cap funds. Its asset under management at the end of February in the mid-cap and small-cap funds were Rs 5,443 crore and Rs 17,232 crore, respectively. Sebi has asked all fund houses to declare the results of the stress test on March 15. 

Equity MFs see robust inflows in February; 64% outperform benchmarks, Midcap funds best on alpha generation
Equity mutual funds (MFs) saw robust inflows in February 2024 with a record 64 per cent outperforming their respective benchmarks, according to a study based on an analysis of 277 open-ended equity diversified funds conducted by domestic brokerage Prabhudas Lilladher’s wealth management arm.

Union AMC appoints Madhu Nair as CEO
A Harvard Business School alumnus, Nair comes with over 25 years of diverse experience across various market segments. He was instrumental in building up asset management companies such as HSBC, Invesco and Kotak, during his career span of two and a half decades.

Nippon Mutual Fund releases small, midcap fund stress-test report
Source Credit: Abhishek Kumar, Business Standard

Mumbai: Nippon India Mutual Fund (MF) released its first stress test report of smallcap and midcap schemes on Thursday.

Active funds weather market storm better than the benchmark indices
Actively managed midcap and smallcap schemes that have struggled to beat the benchmark indices in the past year have managed to outperform the indices during the downturn phase. 
 

Avaana Capital receives $120 million Capital’s Climate and Sustainability Fund from GCF
Avana Capital, India’s climate-tech venture capital fund company has received its approval of investment from the Green Climate Fund (GCF). It has received investment having a total value of $120 million and substantial $24.5 million from the world’s largest climate fund.

'Investors should take 3-5 year view when investing in small, midcaps'

What's your broad call on the markets right now?

JM Financial PE invests ₹45 cr in Energy Beverages
 

BOJ preparing to end negative interest rate policy at March meeting, Jiji reports
The Bank of Japan has started to make arrangements to end its negative interest rate policy at the March 18-19 meeting, Jiji news agency reported on Thursday.