One thing is for sure: It smacks of the regulator's lack of confidence in the bank's board, points out Tamal Bandyopadhyay.
The government securities market provided annualised returns of 8.18 per cent in the last 10 years, according to a new gilt index launched by ratings agency Crisil.
Some of the top indebted companies likely to face financial headwinds in the coming quarters include NTPC, PowerGrid, Tata Steel, Adani Power, JSW Steel, UPL, and Steel Authority of India. Together these 201 companies owed Rs 14.9 trillion to their lenders at the end of September 30, 2019, up 4.1 per cent year-on-year (YoY) during the first half of FY20.
The biggest challenge is crude oil's sustained rally - it is nearing $80 a barrel - stoking inflationary pressures and consequent price hikes in the sector.
It boils down to whether greater government spending makes up for lower private consumption or whether, through higher interest rates or inflation, it hurts it.
The general nervousness because of the IL&FS default will prevail in the system for now.
Rating agency Crisil said on Friday that Asian spot LNG prices are expected to go up in the short term due to power generation disruptions in Japan.
Khara will replace SBI Chairman Rajnish Kumar, whose three-year term comes to an end on October 7.
The closely-held company, which runs 22 Lifestyle departmental stores, 11 Home Centre furniture and household accessory stores and six value format Splash stores, had totted up losses of Rs 46.5 crore (Rs 465 million) in the first nine months of 2008-09, up sharply from Rs 18.9 crore (Rs 189 million) in the whole of 2007-08.
Punjab National Bank has the largest share.
Electricity generation has outperformed the industrial production index for five months in a row this financial year, even as the broader economy is struggling to grow.
Consumer durable companies are stepping up investments in production and distribution to cash in on the demand the industry is witnessing. According to a recent report by research agency Crisil, the Rs 25,000-crore consumer durable industry is slated to grow at a rate of 17-18 per cent over the next five years, to touch Rs 60,000 crore.
However, the Indian economy is expected to bounce back in 2021, the World Bank said.
Global rating agency Moody's on Thursday placed India on a possible upgrade on foreign currency debt and painted a rosy picture for the economy, projecting a seven per cent growth.
Asian financial institutions have remained relatively unaffected by the global financial crisis, with their write-downs constituting just six per cent of the worldwide credit losses, estimated to be $300 billion so far, a latest report said.According to rating agency Crisil, most Asian financial institutions and global institutions with dominant exposure in Asia have remained relatively unscathed as they were shielded by their asset mix.
New norms are in place to strengthen regulations for this set of lenders which has been playing a critical role in Asia's third largest economy, notes Tamal Bandyopadhyay.
The Sebi's 'recent directive to reduce the time between the closure of an IPO and its listing to 12 days from 22 will lead to interest savings of approximately Rs 800 crore annually for the retail and high net worth individual investors,' the study said.
Nearly a decade ago, the first fully electric vehicle (EV) caught fire on the road in the US. It was a model from Tesla, the world's most admired EV maker. A metal fragment punctured the underbelly of the vehicle, penetrating its battery pack, leading to a fire. Indian lawmakers and automakers have had nine years to study the incident (in fact, three Tesla Model Ss caught fire in two months in 2013) but seem to have learnt little.
Santosh Patkar of Devgadh Taluka Sindhudurg district of Maharashtra is a worried man these days. Devgadh, which is known as the home to world famous Alphonso variety of mangoes, has seen an unusual drop in yields which is affecting farmers' income. Being one of the primary agricultural produce from the area, Santosh is not untouched by this somewhat rare phenomenon. He said in his own mango garden, yields have come down by a third from most trees.
Brent crude oil price surged 4 per cent on Friday, following tension between Iran and the US. Airlines, however, have been unable to pass on the price increase to customers due to the soft demand.
The Larsen & Toubro-Grasim deal is expected to aid the recovery in cement prices and limit the share of the multinational companies, according to CRIS INFAC, a research subsidiary of the rating agency CRISIL Ltd.
LIC identifies the problems well, but what the markets will watch is how nimble it is with the solutions.
SpiceJet COO says ATF price cut is need of the hour.
Experts said the new framework has ensured that the focus has moved to creditor protection from debtor protection.
The Indian banking sector that has remained almost immune to the global economic slowdown is in for a tough time as non-performing assets of banks are expected to more than double to 5 per cent of total advances in the next two years, says an analyst.
India largely exports block frozen shrimp to Vietnam for reprocessing and forward shipment to its customer countries like China, EU, Japan and USA.
The pre-owned vehicles arm of the Mahindra Group plans to add 30 outlets in a few days taking the total number to 1,000.
A relatively slow performance by the industrial sector and a high base effect may slow down gross domestic product (GDP) growth in the second quarter (July-September) of fiscal 2007-08 to below 9 per cent, feel analysts.
Most of the NBFCs do not take public deposits but that does not mean they cannot create systemic risks. The banking system has at least Rs 57,000 crore exposure to IL&FS. Haven't the banks invested public money in IL&FS papers, asks Tamal Bandyopadhyay.
St Jude India ChildCare Centres is a unique organisation which runs residential homes for families of children who need to undergo long-term cancer treatment. Its 37 centres close to India's premier cancer hospitals give children a fighting chance against the disease.
Rogue lending under political influence was rife in the Congress-led regime and is not happening in the Modi regime, certainly not on that scale. But if PSBs cannot lend as indiscriminately as they did last time in the name of 'credit expansion', how well will these banks do, asks Debashis Basu.
The RBI governor's assurance should give investors enough confidence to start believing in the NBFC sector again, say bankers.
The country's current account deficit is likely to decline to 1.1-1.2 per cent of the gross domestic product in the third quarter, say rating agencies.
The duo bought additional shares in pharmaceutical companies Lupin and Jubilant Life Sciences, along with Agro Tech Foods and NCC during Q2FY21
India has a history of jugaad, and retrofitting vehicles is one such manifestation of the legendary Indian skill. Not so long ago autorickshaws and small Marutis used to strap on subsidised LPG cylinders and power themselves to a cheap ride. There were the odd explosions, lives were lost, but the jugaad continued. Then compressed natural gas (CNG) was introduced in Delhi following a court order. Initially, customised CNG kits were fitted to conventional (internal combustion engine or ICE) autos cheaply, enabling commuting at less than half of what you would cough up for diesel. The industry is better organised now with Suzuki and Hyundai designing CNG-fired vehicles, and Mahindra and TVS manufacturing liquefied petroleum gas (LPG)-powered three wheelers.
The industry's operating margins will narrow by 0.30- 0.80 per cent largely on an increase in local hires which the industry has been forced into due to the policy framework in its markets.
