Topic
Banking
Finance NABARD and NaBFID sign MoU to fund rural infrastructure projects
India's NABARD and NaBFID have signed an MoU to jointly finance rural infrastructure projects, combining NABARD's rural expertise with NaBFID's infrastructure financing capabilities. The pact covers joint financing, advisory services, debt syndication and capacity building, targeting areas such as cold-chain, irrigation and rural roads.
Finance Joint Home Loans: When Co-Borrowing Improves Eligibility, Liquidity and Tax Benefits
Santosh Agarwal, CEO of Paisabazaar, explains when joint home loans make sense for Indian households: combined incomes can raise borrowing eligibility and preserve liquidity, but co-borrowers share credit-score risk and tax benefits depend on ownership structure. Higher eligibility does not automatically mean higher affordability, so households should treat extra borrowing capacity as an option, not a target.
Finance Bank Holiday Today: RBI Closes Branches in 19 Cities for Id-E-Milad on August 26
Bank branches in 19 Indian cities are closed on Wednesday, August 26, for Id-E-Milad, Milad-un-Nabi and Thiruvonam, according to the RBI's holiday calendar. Digital services such as ATMs, UPI, internet banking and mobile banking remain available, but physical branch services like document submission and verification are suspended in the affected centres.
Finance EAC-PM Report Seeks Bank Mergers to Create Global-Scale Lenders
A report by the PM Economic Advisory Council recommends consolidating Indian banks into a few large institutions of equal size to build globally competitive lenders. The study shows mean technical efficiency of scheduled commercial banks recovered to 88.3% in FY26 from 78% in FY20, with public sector banks leading the turnaround.
Finance Federal Bank Shares Fall 3% on Merger Talks with Jana Small Finance Bank
Federal Bank shares closed 3% lower after reports of merger talks with Jana Small Finance Bank, which fell 2%. Both lenders told stock exchanges they evaluate business opportunities in the ordinary course, without confirming or denying the discussions. RBI had returned Jana's universal banking licence application in June 2025.
Finance BMO's Trucking Loan Sale Ends Rare Public Credit Data as Diesel Prices Spike
BMO's sale of its transportation finance unit to Stonepeak will almost certainly end quarterly disclosure of truck loan credit metrics, a rare transparency window tracked by FreightWaves. Meanwhile, the DOE EIA's weekly retail diesel price hit approximately $5.643 per gallon, the highest since Middle East military action began, adding cost pressure to carriers.
Finance Likely BMO swan song shows trucking credit strengthening
BMO's likely final quarterly report for its trucking lending unit showed credit conditions strengthening, with provisions for credit losses falling to $15 million and gross impaired loans dropping to $440 million. The bank, which is selling the transportation unit to Stonepeak, also saw loan originations nearly halt as the deal approaches closing.
Finance Monzo down as users unable to make card payments or transfers
Monzo users were left unable to make card payments or transfers after a technical problem with the digital bank, according to BBC News. The bank activated its Monzo Stand-in backup service, but some customers reported it was not working as expected. Monzo said it was rolling out a fix to restore full service.
Finance Yandra Haragopal, former NABCONS MD, appointed Managing Director of NABFINS
The Hindu BusinessLine reported that Yandra Haragopal has been appointed Managing Director of NABFINS, a NABARD arm based in Bengaluru. Haragopal previously served as MD of NABCON/NABCONS for over two and a half years. NABFINS provides affordable financial services and cash-flow-based credit to low-income groups.
Finance FM Sitharaman directs 12 state-run banks to launch Banking for Youth campaign for GenZ
Finance Minister Nirmala Sitharaman directed 12 state-run banks to launch a month-long 'Banking for Youth' campaign from Oct 2 for those above 16, adopting a lifecycle approach to build lifelong ties with GenZ customers. The move comes as PSBs have lost ground to nimble private lenders among younger Indians.
Finance Creditors Recover Just 1% of Claims on Personal Guarantees, IBBI Data Shows
Creditors have recovered just Rs 235 crore — around 1% of admitted claims — from personal guarantees invoked under the IBC, according to IBBI data. Resolution professionals were appointed in only 41% of the 5,186 applications filed since December 2019, and just 64 cases have approved repayment plans.
Finance Regional Rural Banks expand credit delivery 10.3%, Ministry of Finance reports
According to News on AIR, the Ministry of Finance reported that Regional Rural Banks' gross loans outstanding rose 10.3% in 2025-26 to over Rs 5.78 thousand crore. Almost all RRBs achieved the overall Priority Sector Lending target, and credit to weaker sections reached Rs 3.49 lakh crore.
Finance Banks Closed in Tripura on August 19: Branch Holiday Tests Treasury Planning
Banks in Tripura will remain closed on August 19 for Maharaja Bir Bikram Kishore Manikya Bahadur's birthday, according to Business Today. While digital banking continues, branch-dependent transactions such as cheque processing, demand draft issuance, and large cash handling require advance planning. State-specific holiday calendars also affect multiple states later in August.
Finance High-Level Committee on Banking Reforms to Be Announced Soon, Says FM Sitharaman
Finance Minister Nirmala Sitharaman said the government will 'soon' announce the high-level committee on banking reforms, which was unveiled in the Budget 2026-27. Speaking at a conclave of 12 public sector banks and financial institutions in New Delhi, she lauded improved asset quality and said the committee will receive inputs from the two-day deliberations. A senior finance ministry official indicated the panel could be announced by the end of this month.
Finance India Bank Holidays in August 2026: State-Wise Closures This Week
Banks across multiple Indian states will remain closed on August 19, 25, 26 and 28, 2026 for regional festivals and observances, according to Business-Today. Branch-based services such as cheque processing, demand drafts and large cash transactions will be unavailable, while internet banking, mobile banking, ATMs and UPI remain operational. The RBI also mandates closure on the second and fourth Saturdays of every month.
Business JP Morgan targets bigger M&A role as RBI opens domestic acquisition financing
JP Morgan is positioning for a larger M&A financing role in India after RBI allowed domestic lenders to fund acquisitions. The bank says it can now offer onshore and offshore capabilities, including INR-denominated funding, ECB dollar financing, FPI structures, and GIFT City mechanisms, at a time when Indian corporates are returning to bank financing and expanding overseas.
Finance Bank Switching Incentives Hit £220 as Loyalty Costs UK Savers £12bn
More than five UK banks are offering up to £220 to switch current accounts. Hargreaves Lansdown research finds nearly two-thirds of savers have stayed over a decade, costing £12bn in missed interest annually. Experts say compare service, fees, and savings rates, not just bonuses.
Finance RBI bars lenders from locking phones over missed EMIs under new recovery rules
The Reserve Bank of India has released final norms on loan recovery that prohibit lenders from disabling borrowers' mobile phones, tablets or laptops as a recovery tool, except for devices financed through loans. The new framework, effective January 1, 2027, sets a graduated restriction timeline, compensation for delayed unlocking, and certification requirements for device-locking software.
Finance RBI to Close FCNR(B) Scheme on Aug 31 After $52.3 Billion Raised
The RBI will close its special FCNR(B) deposit scheme on Aug 31 after banks raised $52.3 billion in deposits by Aug 13. Total inflows under the USD-INR swap facility, including OFCBs and ECBs, reached $56.9 billion. SBI mobilised roughly $7.3 billion under the programme.
Finance FTC Strikes Deals to Ignore Unlawful Credit Discrimination Claims
The FTC reached agreements with two auto dealers and a former general manager to abandon court-ordered fair lending obligations, dropping future disparate-impact enforcement. Arizona AG Kris Mayes condemned the move, while experts warn about implications for AI-driven lending.
Finance RBI draft rules bar loan spread tinkering, standardise rate setting across banks and NBFCs
Draft RBI rules seek to standardise interest-rate setting across banks, NBFCs and cooperatives, requiring lenders to hold loan spreads steady for at least three years and capping benchmark reset frequency at three months for major lenders. Internal benchmarks like MCLR will follow a stricter methodology, and smaller lenders get exemptions from key requirements.
Finance RBI Governor Malhotra says AI can do for lending what UPI did for payments
RBI Governor Sanjay Malhotra said AI could do to lending what UPI did to payments, urging banks not to sit on the sidelines. He cited India's digital infrastructure and alternative data to expand credit access, while demanding explainability and human accountability in AI decisions.
Finance Next wave of AI-led banking must help rural India, says Setty
At FIBAC 2026, SBI chairman CS Setty said the next wave of AI-led banking must extend credit to rural India, small businesses and farmers. Setty cited digital records, satellite imagery and data-driven risk assessment as tools to improve credit access, while stressing stronger cyber defences, governance and human oversight. The key challenge, he said, is moving AI applications from pilots to wider use.
Finance RBI Governor Urges Banks to Adopt AI with Focus on Accountability and Customer Trust
The RBI Governor urged Indian banks to adopt AI with a focus on innovation, accountability and customer trust, flagging risks such as black-box models, algorithmic bias and cyber vulnerabilities. He prescribed AI inventories, board-approved governance policies, stress testing and human oversight. The central bank will follow a principles-based, proportionate approach.
Finance RBI Governor Malhotra tells banks to build human oversight, says blaming AI 'unacceptable'
Reserve Bank of India Governor Sanjay Malhotra told banks that AI must augment human judgement, not replace it, and that lenders, not algorithms, own the responsibility for decisions. He demanded meaningful human oversight, complete inventories of AI models, and board-approved governance policies. Malhotra also flagged cyber security, model bias and 'herding' as key risks for the banking system.
Finance India Approves Rs 10, Rs 20 Polymer Banknote Field Trials After RBI Proposal
The Indian government has approved the RBI's proposal to field-trial one billion each of Rs 10 and Rs 20 polymer banknotes. The central bank targets circulation from the next financial year, while polymer and paper notes will circulate together as legal tender. Finance Minister Nirmala Sitharaman also reported retail inflation at 3.9% in Q1 2026-27, below the RBI's 4% target.
Finance Nvidia secures $500bn from top banks to build AI data centres and factories
Nvidia has partnered with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR to raise $500bn (£370bn) for AI infrastructure, marking the first time compute is treated as a separate asset class. The financing will fund data centres and chip factories for Nvidia and its partners. The move comes as major tech companies have collectively spent over $1tn on AI projects in three years.
Finance NABARD names winners of National Climate Stack Innovation Challenge
NABARD, with support from the Gates Foundation and Dalberg Advisors, announced the winners of the National Climate Stack Innovation Challenge to advance DiCRA as Digital Public Infrastructure. SatSure Analytics took first prize, EXPERIQS second and VARSAPRADAYA third, selected from over 150 applications. The winning tools target rural credit assessment, insurance and financial-sector portfolio analysis.
Finance As Demand Shoots Up, Banks Strengthen Gold Loan Muscle
Indian banks are strengthening gold loan capabilities by adding appraisers and digitising processing as demand surges. The segment grew 105% year-on-year in May to about Rs 5.2 lakh crore, according to RBI data, while CRIF estimates the total market at Rs 18.6 lakh crore. Banks are cutting disbursal times to around 15 minutes to challenge NBFC dominance.
Finance NBFC Gold Loans Surge 69.3% Year-on-Year Despite Tighter RBI Rules
NBFC loans against gold jewellery jumped 69.3% year-on-year to Rs 3.41 lakh crore at end-June 2026 despite tighter RBI rules. Retail credit grew 20.3%, while industry credit slowed to 6.7%, and agriculture accelerated to 17.9%. The RBI's 2025 gold-collateral directions followed September 2024 supervisory concerns.
Finance RBI removes priority sector burden for fresh FCNR(B) and NRE deposits
RBI has exempted advances against fresh FCNR(B) and NRE term deposits from priority sector lending calculations, effective immediately. The move completes a three-part policy push to boost foreign currency inflows and ease compliance burdens, with banks having raised over $36 billion in FCNR(B) deposits.
Finance RBI Eases Device-Lock Norms for EMI-Financed Gadgets, Relaxes Recovery Agent Disclosure
The Reserve Bank of India has relaxed proposed rules on locking EMI-financed mobile phones, tablets, and laptops, allowing graded restrictions after 30 days past due instead of the earlier 90-day threshold. The central bank also dropped demands for public disclosure of individual recovery agents and deferred implementation to Jan 1, 2027, while keeping borrower safeguards such as a Rs 250-per-hour compensation for delayed device unlocks.
Finance RBI retains Tata Sons in upper-layer NBFC list, adds four PSU financiers
The RBI's revised FY27 upper-layer NBFC list adds four public sector infrastructure financiers — REC, PFC, IRFC and HUDCO — while retaining Tata Sons without prejudice to its de-registration application. The total number of entities subject to NBFC-UL regulations has increased to 19 from 15.
Finance RBI bars NBFCs from offering revolving credit facilities
RBI has proposed draft directions barring NBFCs from offering revolving credit products and requiring all credit facilities to be structured as term loans. The framework removes demand and call loan provisions, withdraws the board-approved policy requirement, and defines term loans as non-replenishable fund-based facilities. Credit-card NBFCs explicitly authorised by RBI remain exempt.
E-Commerce & Marketplaces Lok Sabha passes bill to let banks levy merchant charges on UPI transactions
The Lok Sabha approved a Bill amending the Payment and Settlement Systems Act, 2007, empowering the government to allow banks and payment service providers to levy Merchant Discount Rate on UPI transactions. The Times of India reported a likely 0.25%–0.4% fee on business payments above Rs 2,000 — a threshold covering only about 5% of transactions but nearly 65% of UPI's processed value.
Finance RBI proposes uniform interest rate norms for banks, NBFCs
The RBI has proposed harmonising interest rate frameworks across banks and NBFCs, aiming to standardise loan pricing and improve monetary transmission. NBFCs would move from internal prime lending rates to recognised external benchmarks or formal internal benchmarks, with standardised reset timelines for floating rate loans. The norms will impact all non-bank lenders, including housing finance companies and microfinance providers.
Finance New HDFC Chairman Kumar Asserts Governance Intact, Zero Tolerance for Unethical Practices
HDFC Bank chairman Rajiv Kumar assured stakeholders that governance remains uncompromised with zero tolerance for unethical practices, following predecessor Atanu Chakraborty's resignation over 'values and ethics'. Kumar said control functions will stay fully empowered and outlined plans to improve net interest margin and CASA ratio within two to three years after the HDFC merger.
Finance Tata Sons Continues in RBI Upper Layer NBFC List, Governor Indicates
RBI Governor Sanjay Malhotra indicated that Tata Sons continues to be classified as an upper layer NBFC under the central bank's revised principle-based criteria, with the updated list expected soon. The classification triggers compulsory listing norms, which Tata Sons has sought to avoid by de-registering, while the Shapoorji Pallonji group, its largest shareholder, has pushed for a listing.
Finance RBI: NRI Deposit Liquidity Surge Is Temporary, Set to Ease After Q2 Peak
RBI Governor Sanjay Malhotra said inflows of over $36 billion from the special FCNR(B) deposit scheme will have a temporary and limited impact on liquidity, with surplus conditions expected to ease after peaking around the second quarter. The central bank has no target for dollar mobilisation and no proposal to advance or extend the scheme.
Finance RBI Keeps Repo at 5.25%, Fixed Deposits Re-emerge as Safe Haven as Gold, Equities Slide
RBI kept the repo rate unchanged at 5.25% in Wednesday's monetary policy review. Fixed deposits are back in focus as Indian equities slide from peaks and gold falls; public and private banks offer 6.4%-7.0% on one-to-three-year FDs. Experts recommend laddering and locking in higher rates from Small Finance Banks.
E-Commerce & Marketplaces RBI Governor Says 'Someone Has to Pay' on UPI MDR Above Rs 2,000
India is expected to allow a Merchant Discount Rate of 0.25% to 0.4% on UPI transactions above Rs 2,000 made to businesses. RBI Governor Sanjay Malhotra said the costs have to be paid by someone, while P2P payments are likely to remain exempt.
Finance ED Seizes Rs 35,166 Crore in Bank Fraud Cases as 54 Accused Flee India
The Enforcement Directorate has attached assets worth Rs 35,166.28 crore in 32 bank fraud cases involving 54 accused who left India, minister of state for finance Pankaj Chaudhary told the Rajya Sabha. Separately, RBI sold $97.13 billion between February and May 2026, while unclaimed deposits in the DEA Fund stood at Rs 62,683.19 crore as of June 30, 2026.
Finance Consider capping rates on affordable loans: LICHF chief
LIC Housing Finance MD & CEO Tribhuwan Adhikari has called on the RBI and National Housing Bank to cap spreads on affordable housing loans, saying some lenders charge 15-16%. The company posted 10% net profit growth in Q1FY27 and expects a Rs 3.5 lakh crore loan book by FY27.
Finance August 2026 Bank Holidays in India: Full State-Wise Closure Calendar
Banks across India will remain closed on multiple dates in August 2026 due to regional festivals and RBI-mandated weekend closures. Branch services such as cheque processing and demand draft issuance will be unavailable, though digital banking will continue uninterrupted. The state-wise holiday calendar varies, requiring treasury teams to plan ahead.
Finance RBI Expected to Hold Rates on Aug 5 as Economists Flag Inflation, Rupee Stability
The RBI is expected to hold interest rates at its August 5 MPC meeting, according to a Business-Today report. SBI's chief economist sees CPI inflation averaging around 5% in FY27, while Goldman Sachs expects the rupee to stabilise, reducing the need for a hawkish policy shift.
Finance Mortgage Rule Change Lets First-Time Buyers Borrow Up to Six or Seven Times Salary
UK mortgage lending rules have been relaxed, allowing first-time buyers to borrow up to six or seven times their annual income. The change reverses a 2014 regulatory cap that limited high loan-to-income mortgages, but brokers warn borrowers need a cash buffer. Average UK house prices stand at nearly £300,000.
Finance RBI overhauls bulk deposit rules: differential rates, daily disclosures from October 1, 2026
The RBI has overhauled bulk deposit rules, allowing banks to price deposits using liquidity risk under the LCR framework and mandating daily public disclosure of rates. The changes amend the Interest Rate on Deposits Directions, 2025, and take effect from October 1, 2026.
Finance Capital One cites anti-money-laundering review in closure of over 300 Trump Organization accounts
Capital One told a federal court it closed more than 300 Trump Organization accounts after an internal anti-money-laundering review, not for political reasons. The bank is seeking dismissal of a lawsuit filed by the Trump Organization and Eric Trump alleging discriminatory 'debanking'. The filing is the first time a bank formally cited AML concerns for the account closures, as the Trump administration escalates scrutiny of debanking.
Finance Moody's Assigns First-Time Baa2 Rating to RBL Bank, One Notch Above India's Sovereign
Moody's assigned a first-time Baa2 long-term issuer and deposit rating to RBL Bank, one notch above India's Baa3 sovereign rating, with a stable outlook. The rating follows Emirates NBD's acquisition of a 60% controlling stake in the bank for Rs 26,000 crore, supported by a two-notch uplift over the bank's standalone credit profile.
Finance Gold loans jump 93.8% y-o-y, fuel bank credit growth in Q1FY27
According to Business Today, gold loans expanded 93.8% year-on-year at end-June 2026, accounting for 13.1% of incremental non-food credit. Overall bank credit rose 18.6% to Rs 219.3 lakh crore, led by industry (19.2%) and services (21.4%) growth.
Finance India Permits 2 Billion Rs 10, Rs 20 Polymer Notes for Field Trials
India has permitted the Reserve Bank of India to print 2 billion polymer notes — one billion each of Rs 10 and Rs 20 — for field trials, reviving a decades-old plan. The RBI has floated a global tender for polymer substrate sheets through BRBNMPL. Experts say polymer notes last two to three times longer than paper, lowering lifetime cost despite higher upfront unit cost, and paper currency will remain legal tender.
Finance Formal retail credit access doubles over past decade
India's formal retail credit penetration doubled to 74% in March 2026 from 35% in March 2017, with credit-active consumers rising from 11% to 28%, according to TransUnion CIBIL. Consumption-led lending drove the expansion, with personal loans, credit cards and durable loans becoming the main entry points.
Finance Banks Collected Rs 7,100 Crore as Minimum Balance Penalty in FY26, Private Banks Account for 70%
Indian banks collected nearly Rs 7,100 crore in penalties from customers for failing to maintain minimum average balance in FY26, up from Rs 6,800 crore in FY25. Private banks accounted for 70% of the charges, with HDFC Bank alone collecting Rs 1,800 crore. Meanwhile, 10 of 12 public sector banks have discontinued such penal charges, leading to a decline in their collections.
Finance Gold loans surge over 50% in FY26 on larger ticket sizes, shift from unsecured credit
Gold loans in India surged over 50% in FY26, driven by larger loan sizes for existing borrowers and a shift from unsecured credit products. According to Icra, rising gold prices enabled higher collateral valuation. NBFCs increased their market share to 22%, while Canara Bank's non-agri gold loan book crossed Rs 1 lakh crore. The number of borrowers grew only 3.1%, indicating growth came from existing clients.
Finance RBI Orders Winding Up of Paytm Payments Bank, Appoints Liquidator
The Reserve Bank of India has ordered the winding up of Paytm Payments Bank Limited and appointed Girikumar Nair, former Chief General Manager of SBI, as the Official Liquidator. The move follows the Delhi High Court's approval under the Banking Regulation Act and Companies Act, after the RBI earlier cancelled the bank's licence citing serious regulatory violations.
Finance India Public Sector Banks' Bad Debt at Lowest Levels in Decades, Government Says
Union Minister of State for Finance Pankaj Chaudhary informed Rajya Sabha that public sector banks' bad debt has fallen to the lowest levels in several decades. Gross NPAs declined from 7.3% to 1.9% in five years, while cumulative profits reached nearly Rs 2 lakh crore in FY2025-26, nearly three times the FY2021-22 level. The government also highlighted the continued credit growth and the role of the Emergency Credit Line Guarantee Scheme (ECLGS) in supporting businesses.
Finance HDFC Board Imposes Rs 1 Lakh Fine on MD, CFO Over Extra Payout to Maharashtra PSU
HDFC Bank's board imposed a Rs 1 lakh penalty each on MD & CEO Sashidhar Jagdishan, CFO Srinivasan Vaidyanathan, and group head Arvind Vohra for 'business overreach' in deposit deals with Maharashtra State Road Development Corporation. The board found no mala fide intent but issued warning letters, in an action seen as unprecedented and aligned with RBI's push for stronger board oversight.
Finance Bank of Baroda Confirms Compromised Email Led to Data Leak; Core Systems Secure
Bank of Baroda reported a data leak from a cyberattack that compromised one employee's email account, exposing customer data. The bank assured that core banking systems remain secure and initiated a forensic investigation. Srikanth Lakshmanan of Cashless Consumer verified the leaked dataset included Aadhaar-linked details and internal documents.
Finance India Approves 2 Billion Polymer Banknotes of Rs 10 and Rs 20 for Field Trials
The Indian government has permitted the Reserve Bank of India to print 2 billion polymer banknotes – 1 billion each of Rs 10 and Rs 20 denominations – for field trials. Minister of State for Finance Pankaj Chaudhary informed Parliament that the notes will be tested before regular issue, and polymer will coexist with paper currency. The move follows RBI's tender for sourcing materials and aims to leverage the longer lifespan of polymer notes highlighted by international studies.
Finance HDFC Bank Board Imposes Rs 1 Lakh Penalty Each on MD, CFO, Group Head in MSRDC Case
HDFC Bank's board imposed a Rs 1 lakh penalty each on its MD & CEO Sashidhar Jagdishan, CFO Srinivasan Vaidyanathan, and Group Head (Retail Assets) Arvind Vohra for divergence from RBI directions in the MSRDC matter. The bank also issued warning letters to other employees involved in mobilising large deposits between 2017 and 2021.