Top Indian Banking Industry News & Updates - 07 April 2025,Monday

🗎 RBI / MoF / Govt. Policies

RBI set to hold first monetary policy review of 2025-26 starting Monday
The RBI typically conducts six bimonthly meetings in a financial year, where it deliberates interest rates, money supply, inflation outlook, and various macroeconomic indicators. The other five meetings are scheduled for June 4-6, August 5-7, September 29-October 1, December 3-5, and February 4-6.
RBI likely to go for 25 bps rate cut
RBI may again cut rate by 25 bps on Wednesday: Experts 
The Financial Express
📝  RBI, keep your powder dry: Why MPC should preferably ‘do nothing’ this time
📝  RBI to cut rates again? All eyes on central bank as it will commence FY26's first MPC meet
📝  Women own 39.2% of bank accounts in India: Govt report
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🏦 PSB / Pvt Banks

📝  SBI closes Amrit Kalash FD offering 7.60%: Know SBI special fixed deposit earning 7.75%
📝  Borrowers now seek 'substitutes' as lenders tighten unsecured loans
📝  IndusInd crisis highlights audit policy bumps: Experts
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🏦 Co-operative Banks / RRBs

Finance Ministry to implement ‘One State-One RRB’ soon to achieve better efficiency
The finance ministry will soon implement the ‘One State-One RRB’ plan to achieve operational efficiency and cost rationalisation and consolidation of 43 regional rural banks (RRBs) to 28. Most of the work related to the issue of consolidation have been completed and the fourth round would happen soon, according to sources.As per the roadmap prepared by the finance ministry, 15 RRBs operating in various states would be merged.
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🏠 Housing Finance

State-run banks can do more for affordable housing: IMGC MD & CEO

The Indian Mortgage Guarantee Company (IMGC) — the only of its  kind in the country — has guaranteed over ₹8,700 crore in FY25, up 40 per cent over FY24. The total guarantees written by the company are at about at ₹35,000 crore. IMGC aims to ramp up its portfolio five-fold to ₹1 trillion over the next few years. MAHESH MISRA, managing director (MD) and chief executive officer (CEO) of IMGC, spoke with Raghu Mohan over the phone on issues facing the home loan sector.

Edited excerpts:
Why do Banks reject home loan applications despite high income?
 
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💳 ATMs / Credit Cards

NPAs with kisan credit cards decline across banking channels
Non-performing assets (NPAs) among Kisan credit card (KCC) accounts across various banking sectors havs seen a consistent decline over the last few years, indicating a deepening of the credit culture and increased credit discipline in the agriculture sector, according to an official note.
Credit card defaults up 28% last year, touched Rs 6,742 crore

Mumbai: Credit card usage has gone up significantly in the last three years, driven by increased consumer spending and the growing popularity of digital payments. However, non-performing assets (NPAs), or the amount defaulted by customers, in the credit card segment have also risen by 28.42 per cent to Rs 6,742 crore during the 12-month period ended December 2024, according to the latest Reserve Bank of India data.  
Credit card spending hits 7-month low, average spend per card down to Rs 15,295: Report
 
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🔍 Rating / Research

Securitisation volumes see a slump sequentially in Q4FY25, says ICRA
 
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🗎 NBFCs / FIs / MFI

Tata Capital’s $2 Billion IPO takes step forward with confidential pre-filing
Tata Capital, the financial services arm of the Tata Group, has filed draft papers with the Securities and Exchange Board of India (SEBI) for a $2 billion initial public offering (IPO) through a confidential pre-filing route.
Tata Capital files for IPO, eyes Rs 15,000 crore listing
 
📝  Credit Saison India raises $300 million in bid to expand lending business
📝  Lenders look to use poll panel data to identify mule accounts
📝  Ministry of Finance studying global pension funds to manage UPS corpus
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UPIs / Wallet / FinTech

Expecting Paytm to turn profitable in Q4: CEO Vijay Shekhar Sharma
New Delhi: One97 Communications, which owns Paytm brand, expects to be profitable in the last quarter of FY25 as per the commitment made during the company's earning call, a top official of the company said on Friday.
The UPI of 2016 and today are completely different: NPCI MD & CEO Asbe
Unified Payments Interface (UPI) has grown exponentially over the past few years, with newer use cases being rolled out on the real-time payments system. Dilip Asbe, managing director and chief executive officer (CEO), National Payments Corporation of India (NPCI), in an interview with Ajinkya Kawale, speaks about the next phase of growth for the retail payments body, its annual surplus allocation, future considerations for subsidiaries, comments on a 30 per cent market cap, and opportunities to fund inorganic growth, and more.

Edited excerpts:
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🗠 Bourses

📝  India performing better than other countries post-US tariffs: NSE CEO
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Crypto

What is a Bitcoin wallet and how do you create one?
In the previous article we explored the idea of Bitcoin as virtual money—a digital monetary asset that functions much like a gold in today’s economy. With daily trading volumes often exceeding $50 billion, Bitcoin has clearly captured the market’s attention. Like any tradable commodity, it has buyers, sellers, and a fluctuating price—indicating that people assign real value to it.
Bitcoin price today: Token slumps to $78,000 levels, crypto markets face sharp sell-off amid Donald Trump’s tariffs hit
Bitcoin price today: The impact of United States President Donald Trump's global tariffs war finally hit cryptocurrencies on April 7, with the markets seeing a sharp sell-off at Asia open, Bloomberg reported.
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🗠 Mutual Funds / AMCs

Exclusive | ‘Prefer banks, metals present big opportunity, tech to disappoint ’: Anand Shah, ICICI Prudential
The markets are poised at an interesting juncture. The US stock markets were pounded for two days back to back as concerns about recession gained momentum after the new tariffs were unveiled. Indian markets, though resilient initially, gave in to the global fears as investors weighed the indirect impact of global slowdown. The big worry now is where should investors park their money? Anand Shah, CIO – PMS and AIF Investments, ICICI Prudential AMC says a mix of equity, debt, and some gold is advisable. 
‘Domestic-focused businesses can shield portfolio from uncertainty’: Kotak Mahindra Asset Management Company Ltd
Source Credit: Ram Sahgal, mint (Delhi Print Edition)

Mumbai:  India's domestic-focused businesses will feel relatively less pain of the US reciprocal tariffs and it would pay to stay invested in businesses oriented toward local markets, according to a top fund manager of Kotak Mahindra Asset Management Company Ltd.
 
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🗎 Equities, Pvt. Equity / Hedge Funds

FPIs pulled out Rs 10,355 crore from equities in last four trading sessions on US tariffs

New Delhi: Foreign investors withdrew Rs 10,355 crore from the country’s equity markets in the last four trading sessions this month due to sweeping tariffs imposed by the US on most nations, including India. The outflow occurred after a net investment of Rs 30,927 crore in the six trading sessions from March 21 to March 28. This infusion helped reduce the overall outflow for March to Rs 3,973 crore, according to data from the depositories. In February, foreign portfolios (FPIs) pulled out Rs 34,574 crore, while the outflow was higher at Rs 78,027 crore in January. This shift in investor sentiment highlighted the volatility and evolving dynamics in global financial markets.
FY26: A market-share grab year for broking, says Centrum Broking's ED & CEO
 
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🗎 Govt. Securities / Bonds

📝  Reversal in bond yields and dollar index expected to limit further gains in rupee
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