Top Indian Banking Industry News & Updates - 05 March 2026,Thursday

🗎 RBI / MoF / Govt. Policies

RBI creates intervention space as rupee faces renewed strain
The Reserve Bank of India has carved out more flexibility to defend the rupee, as rising geopolitical tensions and a spike in energy prices pushed the currency to a record low on Wednesday.
Speed is not always a virtue in finance: RBI Dy Guv Swaminathan
Speed is not always a virtue in finance as it sometimes hides weakness, according to Swaminathan J, Deputy Governor, RBI.
RBI Deputy Governor gives 'career compass' to IIM Jammu students, asks them to respect customers, financials and governance
Jammu (Jammu and Kashmir): Reserve Bank of India (RBI) Deputy Governor Swaminathan J outlined a three-part "career compass" for management students at the Indian Institute of Management, Jammu, urging them to build leadership grounded in discipline, integrity and customer focus as India advances towards Viksit Bharat 2047.
India's current account deficit rises to $13.2 billion in Q3: RBI
India’s current account deficit (CAD) has increased to US$13.2 billion or 1.3 per cent of GDP in Q3 (October–December) in FY2025-26 from US$ 11.3 billion or 1.1 per cent of GDP in Q3 in FY2024-25, as per the data released by RBI.
AIBOA says IDBI Bank land parcels should revert back to government before divestment
All-India Bank Officers’ Association (AIBOA) has urged Finance Minister Nirmala Sitaraman to revisit proposed disinvestment of Government and LIC stake in IDBI Bank and shelve the same in ‘larger national interests.’
RBI's CMI norms set to impact private banks more due to higher exposure
 
📝  CD ratio at 82.5%, banks step up short-term borrowings
📝  RBI tightens rules on NBFC lending to defaulting borrowers; seeks board-approved policy
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🏦 PSB / Pvt Banks

Private banks lose share to NBFCs in consumer durable loans
The aggressive push by non-banking financial companies (NBFCs) into consumer durable financing has steadily eroded the market share of private sector banks.
Bank liquidity may come under stress as short-term deposit instruments mature
Mumbai: Liquidity buffers of banks are expected to come under stress in the March quarter as large volumes of short-term certificates of deposit (CDs) raised in recent months mature in March, analysts said.
Fino Payments Bank says transition to small finance bank on track, to meet 18-month deadline
Fino Payments Bank said in its regulatory filing that its planned conversion into a small finance bank is progressing within the central bank’s 18-month timeline. 
Axis Bank becomes preferred financier for Tesla in India
Axis Bank partners with Tesla to offer tailored fin solutions for customers
HDFC Bank increases locker rents by up to 184%, tightens access rules
 
SBI recruits 5,783 junior associates, crosses 18,000 hires in FY26
 
📝  Indian Overseas Bank gets ₹766 crore I-T demand notice
📝  Pvt lenders to log higher liquidity coverage ratios gains on wholesale deposits
📝  Banks seek clarity on study loans for GIFT City campus
📝  CCI clears Central Bank’s additional stake buy in Generali Central insurance ventures
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🏦 Co-operative Banks / RRBs

📝  RBI imposes fine on BDCC bank over non compliance of loan disbursal norms
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🏦 Foreign Banks / FIIs / I-Banks

‘India can weather short West Asia shock; IPO, M&A momentum intact’ Q&A with K Balasubramanian, India CEO, Citibank
K Balasubramanian, India CEO & banking head at Citibank, believes the economic fallout from the ongoing West Asia conflict will remain contained if the disruption is short-lived. India’s strong foreign exchange reserves and strategic crude reserves, he says, provide an important buffer against volatility.
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🏦 Development Banks

ADB to channel $1.2 bn into India’s clean transition in 2026
New Delhi: The Asian Development Bank (ADB) plans to extend $1.2 billion in loans to India in calendar year 2026, the same as last year, as part of its broader push to strengthen climate resilience, accelerate clean energy transition and bolster sustainable infrastructure development in the country, a senior official at the multilateral bank said.
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💳 ATMs / Credit Cards

Credit card interest rate rising? Here's what's likely causing the spike
New Delhi: Many credit card users assume their interest rate is fixed — until a sharp rise in their monthly bill proves otherwise. Behind this sudden increase is the Annual Percentage Rate (APR), a variable figure.
Online spends cross 62% as UPI, credit cards turn complementary: SBI Card MD Salila Pande
Digital payments are deepening across India. Because of this, credit cards are finding a new role in an ecosystem shaped by UPI, tokenisation (a security method that replaces card details with codes), and biometric checks. Rather than competing, UPI and credit cards now work together. UPI drives daily transactions, while cards offer rewards and financial flexibility.
Kotak raises debit card fee to Rs 300, changes cash rules: Check details
 
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🗎 NBFCs / FIs / MFI

Women claim 50% of business loan volumes, hold 43.5% of gold loans
The number of women borrowers in India grew at a compound annual growth rate (CAGR) of 14.2% between December 2020 and December 2025, reaching 8.9 crore, compared with 8.2% growth for men, highlighting the increasing financial participation of women across the country, according to a new report by CRIF High Mark.
When emergency expenses strike, a Gold loan can be your quick financial backup
New Delhi: Unexpected expenses rarely come with a warning. A medical emergency, urgent home repair, school admission fee, or sudden business requirement can disturb even a carefully planned household budget. In many Indian homes, especially across Tier 2 to Tier 4 cities and towns, families often look for solutions that are practical, accessible, and financially sensible. This is where a Gold Loan becomes a reliable option. Instead of selling jewellery or borrowing from informal sources, borrowers can pledge their gold and access funds while retaining ownership.
IIFL Finance hires EY for due diligence on potential Samasta stake sale
 
Motilal Oswal Home Finance secures $100 million from Asian Development Bank
 
📝  As safe-haven gold surges again, loan demand to also shoot up
📝  DEG, Citi co-finance $76 million to Shriram Finance for MSME, EV loans
📝  Loan repaid? Vehicle hypothecation to be removed automatically under new online system
📝  Shriram Finance secures USD 76 million co-financing for economic inclusion & rural development
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UPIs / Wallet / FinTech

Accel-backed fintech unicorn Moneyview files for Rs 3,000 crore IPO
Mumbai: Accel-backed unicorn fintech lender Moneyview has filed its draft documents for a public listing aiming to mop up Rs 3,000 crore through a mix of fresh issue and offer for sale.
PhonePe Vs Paytm Vs Groww: The new map of India’s $100 billion fintech ecosystem
India’s fintech boom has some very interesting aspects. The most important one being that there isn’t one super app. 
How Paytm and PhonePe are turning QR codes into credit engines
At first glance, the small speaker sitting next to a kirana store’s QR code looks like a simple payment alert device. But according to a report by Bank of America Global Research, the ‘soundbox’ has quietly become a critical monetisation layer in India’s fintech battle, and a gateway to small business lending.
Walmart-backed PhonePe targets up to $10.5 billion valuation in IPO
 
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🗠 Bourses

BSE to roll out monthly futures, options on Sensex Next 30
The capital market regulator SEBI has allowed BSE to launch derivative contracts on the “BSE Sensex Next 30 Index”.
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Crypto

Crypto consolidation continues as geopolitical risk dent investor sentiment
Bitcoin and other major cryptocurrencies traded cautiously as investors navigated ongoing geopolitical tensions in the Middle East. Despite heightened uncertainty, market activity remained measured, with flagship digital asset Bitcoin consolidating in the $67,000–$69,000 range and underlying demand showing resilient. Analysts attributed the stability to structural factors such as ETF inflows and increased long-term holding, signalling a consolidation phase rather than panic-driven selling.
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🗠 Mutual Funds / AMCs

Good time to start investing in equity markets: DSP Mutual Fund’s Rohit Singhania
The markets performed relatively well, given the volatility and uncertainty due to the India-Pakistan conflict, global tariffs and low corporate earnings, Rohit Singhania, co-head – equities, DSP Mutual Fund, told FE. He expressed hope for the markets going forward. 
SEBI’s overlap rule may trigger ₹76,000-cr MF portfolio rejig
Mutual fund houses may need to reshuffle portfolios worth about ₹76,000 crore as they move to comply with the Securities and Exchange Board of India’s new rules aimed at curbing excessive overlap between schemes.
AIF rule reset widens access for accredited investors, raises new risk questions
India’s alternative investment fund (AIF) framework has undergone sweeping changes over the past six months, with reforms in September 2025 and February 2026 reshaping how accredited investors participate in private markets.
India's mutual funds perfected the take-off. Life cycle funds fix the landing
India's mutual fund industry has spent the better part of the last 25 years persuading people to start investing. Monthly systematic investment plan (SIP) contributions now exceed ₹26,000 crore. Over 10 crore folios are active. By most measures, India is making meaningful progress on wealth creation.
Global equities, bonds sink as West Asia crisis stokes inflation fears
ICICI Prudential Value Fund, which was launched in August 2004, featured in the top 30th percentile of the value/contra funds category of the Crisil Mutual Fund Ranking (CMFR) for four consecutive quarters through December 2025. The fund had Rs 61,271 crore in assets under management (AUM) at the end of December 2025, up more than 120 per cent from Rs 27,515 crore at the end of December 2022. Sankaran Naren and Dharmesh Kakkad have managed the fund since January 2021, and Masoomi Jhurmarvala since November 2024.
Sebi's new rules push AMCs to innovate: Is this the golden age for passive funds in India?
Asset management companies (AMCs) may double down and innovate more on passive products following the revision of mutual fund categorization norms, offering investors a wider choice of investment options.
Technology mutual funds weather IT storm as diversification pays off
 
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🗎 Equities, Pvt. Equity / Hedge Funds

PE-VC funding picks up in Feb
Chennai : After a subdued start to the year, investments in India’s private equity and venture capital (PE-VC) segment rose 36.8% month-onmonth (MoM) in Feb 2026 to $2.6 billion, compared with $1.9 billion in the same month last year. The investment figures exclude deals in the real estate sector. The rebound follows a sharp decline in Jan, when PE-VC investments fell 62.5% MoM (Jan 2026 versus Jan 2025).
 
‘We are strongly bullish on AI-first businesses,’ Q&A with Ankita Vashishta, founder, Arise Ventures
Arise Ventures, an early-stage venture capital (VC) firm, has sharpened its focus on companies where artificial intelligence (AI) is not an add-on but integral to the product and business model. Founded in 2021, the firm has invested in more than 50 startups across three funds. It is currently deploying capital from its Rs 500-crore Fund III. The firm has so far invested 30–40% of the corpus, Ankita Vashishta, founder and managing partner of Arise Ventures, tells S Shanthi in an interview.

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🗎 Govt. Securities / Bonds

RBI allots Rs 44,330 cr in state bond auction; cutoff yields range between 6.91%-7.70%
New Delhi: The Reserve Bank of India (RBI) announced the results of the auction of State Government Securities (SGS) held on March 2, 2026, with total allotment amounting to Rs 44,330 crore against a notified amount of Rs 43,130 crore.
Sidbi withdraws ₹8,000 crore bond issue as yields rise beyond comfort
 
G-Sec yields steady despite crude surge amid West Asia tensions
 
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