BANKING - 2018 JULY

July 1

Govt Notifies Phase 4 of Electoral Bond Scheme 2018
Government of India has notified the Electoral Bond Scheme 2018 vide Gazette Notification No. 20 dated 02nd January 2018.
As per provisions of the Scheme, Electoral Bonds may be purchased by a person, who is a citizen of India or incorporated or established in India.
A person being an individual can buy Electoral Bonds, either singly or jointly with other individuals. Only the Political Parties registered under Section 29A of the Representation of the People Act, 1951 (43 of 1951) and which secured not less than one per cent of the votes polled in the last General Election to the House of the People or the Legislative Assembly of the State, shall be eligible to receive the Electoral Bonds.
The Electoral Bonds shall be encashed by an eligible Political Party only through a Bank account with the Authorized Bank.

July 2

IRDAI gives nod to LIC to buy stake in IDBI Bank
Life Insurance Corporation of India is all set to become a knight in shining armour for the ailing IDBI Bank.
In a first-of-its-kind transaction, the Insurance Regulatory and Development Authority of India (IRDAI) has approved a proposal allowing the former to acquire a majority stake in the bank.
The approval, which allows for a one-time exemption to LIC to step up its stake in IDBI Bank, was taken at the meeting of the IRDAI board.
Under the proposal, the public sector life insurance behemoth can raise its stake in the public sector bank to 51 per cent, injecting ₹10,000-13,000 crore in the debt-ridden lender.
The acquisition, however, will be seen only as an investment and LIC will gradually lower its stake in the lender.

SBI, other banks using AI big time to improve efficiency, cut costs
Indian banks, including state-owned SBI and Bank of Baroda, have started deploying artificial intelligence (AI) in a big way to improve efficiency, detect human behavior and reduce operational costs.
State Bank of India, the India's largest lender, has SBI Intelligent Assistant (SIA) a smart chat assistant, evolved from the cutting edge technology of artificial intelligence, that efficiently resolves queries of NRI customers, similar to that of a bank representative.
It provides instant solutions on everyday banking queries in the chat box on the SBI portal.
The bank is also in the process of instituting an 'Innovation Centre' that will explore how emerging technologies such as AI and Robotic Process Automation (RPA) can help in making internal banking processes more efficient.

July 3

IIFL is India's No. 1 banker for equity issuances for private sector companies in FY18.
As per Prime Database Investment Bankers League table for FY 2017-18, IIFL is India's top investment bank for equity issuances by private sector companies.
IIFL Holdings Ltd. (IIFL) is a category I Merchant Banker and a part of leading diversified financial services group. IIFL is a publicly listed company and is engaged in Investment Banking, Securities dealing, Wealth & Asset Management and Loans & Mortgages.
IIFL Group, promoted by first generation professionals has marquee private equity investors such as Fairfax, General Atlantic and CDC.
IIFL has been among the top investment bankers in India over the past few years in terms of capital raise. IIFL assisted, on an aggregate basis, in raising about Rs. 48,000 crores of capital in the year 2017-18.

Allahabad Bank, PNB raise MCLR by up to 10 bps
Allahabad Bank and Punjab National Bank have raised their marginal cost of funds-based lending rate (MCLR) by up to 10 basis points. While Kolkata-headquartered Allahabad Bank has decided on an across-the-board 10 basis points increase in MCLR, Delhi-headquartered PNB has upped the MCLR by 5-10 basis points (10 basis points on tenors up to six months and 5 basis points on one-year and above tenor) with effect from July 1, 2018. One basis point equals one-hundredth of a percentage point.

Bank
MCLR Before
MCLR Now
Allahabad Bank 8.35% 8.45%
Punjab National Bank 8.40% 8.45%

July 4

Cabinet approves extension of Scheme of Recapitalization of Regional Rural Banks upto 2019-20
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has approved the extension of the scheme of recapitalization of Regional Rural Banks (RRBs) for the next three years i.e. upto 2019-20.
This will enable the RRBs to maintain the minimum prescribed Capital to Risk Weighted Assets Ratio (CRAR) of 9 per cent.
A strong capital structure and minimum required level of CRAR will ensure financial stability of RRBs which will enable them to play a greater role in financial inclusion and meeting the credit requirements of rural areas.
There are 56 RRBs functioning in the country. As on 31st March, 2017 (Prov.), the total credit given by RRBs is Rs. 2,28,599 crore.

July 5

Bank of China gets RBI licence to launch operations in India
The RBI has issued licence to Bank of China to launch operations in India.
Prime Minister Narendra Modi had made a commitment to Chinese President Xi Jinping to allow Bank of China to set up branches in India when they met on the sidelines of the SCO summit in Chinese city of Qingdao.
The RBI has issued licence to Bank of China to set up its first branch in India. It was a commitment made by the Prime Minister to the President of China.
Bank of China is one of the very few state-owned commercial banks in China.
India and China have been focusing on expanding their economic ties notwithstanding differences on several sticky issues including on the boundary dispute.

Bank of Baroda raises MCLR by 0.05% for various tenors
State-run Bank of Baroda has increased its marginal cost-based lending rates (MCLR) by 0.05 per cent for various tenors of loans with effect. The bank has revised the marginal cost of funds-based lending rate from July 7.
The loan tenor for overnight, one month, three months, six months and one year will each be levied a 0.05 per cent higher interest rate at 8 per cent, 8.5 per cent, 8.15 per cent, 8.35 per cent and 8.50 per cent, respectively.
Lenders review MCLRs every month and depending upon the prevailing market conditions, it is increased/ decreased. The rise in MCLR will make retail loans such as auto, home and personal loans costlier for the customers.

SBI Card launches artificial intelligence powered virtual assistant electronic live assistant
SBI Card, the country's second largest credit card issuer, announced the launch of 'ELA' (Electronic Live Assistant), a virtual assistant for customer support and services.
Driven by Artificial Intelligence and Machine Learning, ELA is designed to enhance customer experience by providing relevant and instant responses to customer queries.
Customers can communicate with ELA in conversational language, enabling easy interface along with prompt query resolution.
The virtual assistant is currently hosted on the SBI Card website and will soon be integrated on the mobile app as well.

Indian Bank revises FCNR (Banking) term deposit rates
Public sector Indian Bank revised the interest rates on Foreign Currency Non-Resident (banking) term deposits with immediate effect.
The interest rates, (in USD) for FCNR (banking) deposits has been revised to 3.59 per cent for deposits of one year and above, but less than two years, from the existing 3.51 per cent.
For deposits of two years and above but less than three years, the rates have been fixed at 3.77 per cent as against the earlier 3.70 per cent.
Interest rates on deposits for three years and above, but less than four years, has been revised to 3.89 per cent as against 3.82 per cent.
For deposits of four years and above but less than five years, the rates will now be 3.92 per cent compared to 3.84 per cent earlier.
For deposits of upto only five years, the interest rates have been revised to 3.93 per cent as against 3.86 per cent.

Yes Bank gets SEBI nod to launch MF business
Yes Bank has received approval from capital markets regulator SEBI to start mutual fund business.
This approval is subsequent to the Reserve Bank of India’s (RBI) approval granted to Yes Bank to sponsor a mutual fund followed by SEBI’s in-principle approval received subsequently.
Yes Asset Management (India) Limited (YAMIL) will leverage YES BANK’s Knowledge Banking expertise and relationship capital across retail, corporate and institutional investors to effectively channelise their assets in equity and debt capital markets.
This strategic initiative will further complement Yes Bank’s retail liabilities and wealth management strategy, and also allow YAMIL to build on the bank’s distribution network to provide customers a seamless investment and banking experience.

ICICI Bank aims to grow home loan book to Rs. 2 trillion by 2020
ICICI Bank mortgage loan portfolio crossed the Rs. 1.5 trillion milestone, making it the largest private player in the segment, and the lender is targetting to grow it to Rs. 2 trillion by FY20.
At Rs. 1.5 trillion, the mortgage loan-book is half of the bank’s overall retail loan portfolio of around Rs. 3 trillion which constitute 52 per cent of its total assets of USD 172.5 billion.
It has also enabled an online repository of 30,000 approved projects across 40 cities to achive its target of 2 trillion.
The bank will add 50 per cent more loan processing centres from the present 1,050 to many new locations in tier II and III towns as well as micro-markets of the major metros.
This happened on the backdrop of PM Awas Yojana.

July 6

HDFC Bank most valuable bank in the emerging market outside China
HDFC Bank has gone past Russia's Sberbank to become the most valuable bank in the emerging market outside China. HDFC Bank’s current market capitalisation is $78.4 billion against Sberbank's $74.4 billion.
Chinese banks are leading the pecking order in the emerging market, with Industrial & Commercial Bank of China topping the list with a market cap of $273.4 billion, followed by China Construction Bank ($225.1 billion).
Globally, America's JPMorgan Chase is the most valuable with a market cap of $353 billion, followed by Bank of America at $282 billion.
There are four lenders from India that now rank among the world's 500 most valuable companies.
HDFC Bank is followed by its housing finance cousin Housing Development Finance Corporation (HDFC), Kotak Mahindra Bank and State Bank of India.

July 7

Bank credit grows at 12.84%, deposits at 7.59%
Bank credit grew by 12.84 per cent to Rs. 86, 16,408 crore in the fortnight ended June 22.
In the year-ago fortnight, bank loans stood at Rs. 76,35,689 crore.
The growth in advances was slightly higher than the growth registered in the previous fortnight ended June 8.It had risen by 12.67 per cent to Rs. 85,98,703 crore.
During the fortnight ended June 22, bank deposits had risen by 7.59 per cent to ₹Rs. 113,53,525 crore, compared with Rs. 105,51,910 crore in the period ended June 23, 2017, the RBI data showed.
The growth in deposits was slower than the period ended June 8, when it had increased by 8.35 per cent to Rs. 114,04,303 crore.

July 8

United Bank of India to raise equity capital of Rs. 1,500 crore
Public-sector United Bank of India will raise up to Rs. 1,500 crore by issuing equity shares in one or more tranches.
The bank’s shareholders, at its annual general meeting approved the proposal to create, offer and allot equity shares not exceeding Rs. 1,500 crore in one or more tranches.
This capital raise will be in addition to the capital support granted by the government.

July 9

RBI cancels licence of Alwar Urban Co-operative Bank
Licence of Alwar Urban Co-operative Bank in Alwar, Rajasthan has been cancelled by RBI as it is not in a position to pay its depositors in full as and when their claims accrue, among other reasons.
The present financial position of the bank leaves no scope for its revival, adding that the cancellation of the licence is effective from the close of business on July 5.
The Registrar of Co-operative Societies, Rajasthan has also been requested to issue an order for winding up the bank and appoint a liquidator for the bank.

July 10

ADB approves USD 503 million lining project of the Son canal in Bihar
The Asian Development Bank (ADB) has approved USD 503 million lining project of the Son canal in Shahabad-Bhojpur region of Bihar which would benefit the agriculture sector immensely in the region.
Power and New & Renewable Energy R.K. Singh held a meeting with the officials from the ADB and the finance ministry to review the progress of lining project of the Son canal.
R.K. Singh asked the ADB and the finance ministry officials to fix a timeframe for the completion of the project.

July 11

HDFC securities enable MF transactions through Facebook messenger
HDFC securities announced launch of Mutual Funds transactional capabilities on Facebook Messenger through their virtual assistant, Arya.
A subsidiary of HDFC Bank, HDFC securities rolled out a theme called "The Pace of Innovation" which is structured to innovate and provide intuitive and relevant digital solutions to customers and this effort, is in line with the vision.
This particular feature, apart from mutual fund investments, facilitates a quick overview of total portfolio holding, getting the latest stock quotes and opening an account.

Punjab National Bank, Carlyle Group to sell 51% stake in PNB Housing Finance
Punjab National Bank (PNB) and Carlyle Group plan to sell at least 51 per cent stake in the mortgage lender PNB Housing Finance.
PNB owns 32.79 per cent stake and Carlyle Group, through its investment vehicle Quality Investment Holdings, owns 32.36 per cent of the paid-up equity share capital of PNB Housing Finance.
Punjab National Bank and Carlyle Group intend to jointly initiate a strategic stake sale process to offer minimum 51 per cent stake in PNB Housing Finance.
In May this year, Quality Investment Holdings had sold 4.8 per cent stake in PNB Housing Finance for Rs. 1,024 crore through an open market transaction.
PNB Housing Finance, a subsidiary of PNB, claims to be the fifth largest housing finance company with assets under management of Rs. 62,252 crore as on March 31, 2018.
The company had registered a 58 per cent jump in its net profit at Rs. 829.41 crore in fiscal ended March 2018. Total income during the year stood at Rs. 5,516.96 crore.
It had disbursed Rs. 33,195 crore loans during 2017-18, an increase of 61 per cent over the preceding fiscal year.

July 12

Indian Army signs MoU with SBI on salary package
The Indian Army signed a Memorandum of Understanding (MoU) with the State Bank of India on defence salary package.
The first MoU between SBI and the Indian Army was signed in 2011 and was renewed on 23 February, 2015. According to Indian Army, the revised MoU is tailor-made to suit the requirements of serving soldiers, pensioners and their families.
A number of additional facilities have been incorporated in the revised MoU which include free personal accident death cover, free permanent total disablement cover and other accidental benefits to the deceased soldier and family.
This MoU will benefit a large number of serving and retired Army personnel who are having their accounts with SBI.
The MoU will be valid till 3 January, 2019 and continuation thereafter will be subject to review/renewal.
The signing-in ceremony was chaired by Adjutant General Lt Gen Ashwani Kumar and was attended by top officials of SBI headed by Shri P.K. Gupta, Managing Director (Retail and Development Banking), SBI.

July 13

LPG Subsidy fiasco: Airtel Bank gets RBI, UIDAI nod to resume taking new customers
Airtel Payments Bank has received requisite approvals from the Reserve Bank to begin taking new customers.
Also, Aadhaar-issuing authority UIDAI has allowed it to use the 12-digit unique identification number-based e-KYC.
The development comes nearly seven months after Airtel along with Airtel Payments Bank came under fire for allegedly opening payments bank accounts of its mobile subscribers without their consent, and LPG subsidy worth worth crores was deposited into these accounts.
RBI thereafter had directed Airtel Payments Bank not to on-board new customers while Aadhaar-issuing body UIDAI had suspended the e-KYC licence of both Airtel and the payments bank.
The company had denied any wrong doing and streamlined its processes to comply with the regulations.

July 14

SBI and Nabard tie-up for credit in Telangana
State Bank of India and National Bank for Agriculture and Rural Development have joined hands to provide collateral-free credit through Joint Liability Groups in Telangana.
The two signed an MoU, along with seven NGOs from Nizamabad, Medak and Warangal districts, for the promotion and credit linkage of 2,000 JLGs during the current year.
The agreement was signed by Swaminathan J, CGM, SBI, and P. Radhakrishnan, CGM, Nabard.

July 15

Reserve Bank makes it compulsory to incorporate purchaser’s name on the face of payment instrumentalities to prevent money laundering
In order to address the concerns arising out of the anonymity and to prevent money laundering, the Reserve Bank has made it compulsory to incorporate the purchaser’s name on the face of demand draft, pay order, banker’s cheques and other instruments.
The RBI issued a notification in Mumbai to this effect to the banks. This directive will come into effect from 15th of September this year.

July 16

SBI to organise outreach programme for farmers
Country's largest lender State Bank of India (SBI) will organise a nation-wide Kisan Mela as an outreach programme for farmers and to impart financial literacy.
SBI expects to cover 10 lakh farmers through nearly 14,000 rural and semi-urban branches across the country in this Kisan Mela.
Kisan Mela is a one-of-its-kind initiative by SBI to connect with farmer customers, resolve their grievances and educate them about their rights and various banks initiatives.
SBI, which has close to 1.50 crore farmer customers, had recently organised Kisan Mela which attracted nearly 6 lakh farmers across various locations in the country.
As part of Kisan Mela, bank also offers farmers with Kisan Credit Card (KCC) an enhancement of 10 per cent to their credit limit on renewing the account.

LIC nod for raising stake in IDBI Bank
Life Insurance Corporation of India’s (LIC’s) board has approved acquiring up to 51% stake in IDBI Bank.
The additional stake buy would be through a preferential shares issue that will enable injection of funds to IDBI Bank.
LIC will now approach SEBI (Securities and Exchange Board of India). IRDAI has already approved LIC for the stake purchase.
If necessary LIC will make an open offer. LIC owned nearly 8% of IDBI Bank as of end-June 2018. The federal government owned 86%.
As LIC acquires stake in IDBI bank, the debt-ridden IDBI bank will receive a capital support of Rs 100-130 billion. The gross non-performing assets of IDBI Bank was Rs 556 billion at the end of the March quarter.
Also, through this acquisition, LIC will get nearly 2,000 branches through which it can sell its products. IDBI bank will also get huge funds of LIC.
IDBI bank would get accounts of nearly 22 crore policyholders and related flow of fund.

July 17

YES Bank to unveil 7th edition of 'Transformation Series challenge'
Yes bank announced that it would unveil the 7th edition of 'Transformation Series Challenge'.
It has partnered with 12 global leaders like Microsoft, Cisco, IBM and Adobe for the collaboration.
The theme is 'Tech for Urban Development'.
It will focus on Collaborative Innovation – Collaboration as a Service (CaaS) for harnessing innovative solution from young professionals for issues of national importance.
CaaS is an extension of the bank’s ART (alliances and relationships driven by technology) philosophy.
A cash prize of Rs. 5 lakh will be awarded to the winning team, followed by Rs. 3 lakh and Rs. 2 lakh to the runners-up. Finalists will also get an opportunity for pre-placement interviews with the bank.

July 18

PSU banks jump as FinMin okays capital infusion of Rs 11,336 crore
Shares of state-run lenders jumped on reports of capital infusion infusion into 5 PSU banks. Nifty PSU bank index gained as much as 1.5 per cent.
The Finance Ministry had given its nod for capital infusion of Rs 11,336 crore in five weak public sector banks to help them tide over any situation of breach of regulatory capital requirements.
The five banks that are to get capital support under this round are Punjab National Bank (Rs 2,816 crore); Indian Overseas Bank (Rs 2,157 crore); Andhra Bank (Rs 2,019 crore); Corporation Bank (Rs 2,555 crore) and Allahabad Bank (Rs 1,790 crore).

An All-Women Branch Inaugurated At Jammu And Kashmir Bank
As a step towards women empowerment, the state's first all-women branch of Jammu and Kashmir Bank was inaugurated.
First Lady Usha Vohra e-inaugurated the first 'All-Women Branch of Jammu and Kashmir Bank' at a function organised at the Sher-i-Kashmir International Convention Centre (SKICC).
Ms Vohra also launched special services and products designed exclusively for women clients of the bank, which included Pink Gold Saving Scheme, Pink Platinum Saving Scheme, Special Loan Facility for Women Entrepreneurs, Pink Gold Debit Card and Pink Platinum Credit Card.
The 13 women staffers of the newly inaugurated branch were presented badges of distinction and responsibility by the First Lady.

July 19

RBI To Issue New Design Rs. 100 Denomination Banknote
The Reserve Bank of India will shortly issue Rs. 100 denomination banknotes in the Mahatma Gandhi (New) Series, bearing the signature of Dr. Urjit R. Patel, Governor, Reserve Bank of India.
The new denomination has Motif of “RANI KI VAV” on the reverse, depicting the country’s cultural heritage. The base colour of the note is Lavender. The dimension of the banknote will be 66 mm × 142 mm. All the banknotes in the denomination of Rs. 100 issued by the Reserve Bank in the earlier series will continue to be legal tender.

Jana Small Finance Bank begins operations
Jana Small Finance Bank, erstwhile MFI - Janalakshmi Financial Services, officially launched its commercial banking operations.
The bank, which received the small finance bank licence in March this year, took time to upgrade its systems for a formal commercial launch. The bank, after the roll out, will be utilising its 157 branches spread over 19 States, in addition to 402 micro-finance branches.
The transition from a micro-finance company to a bank is set to enable more than 45 lakh existing loan customers under MFI to come into the banking ecosystem by the end of 2018.

July 20

Parliament approved merger of subsidiary banks with SBI; 3 previous bills repealed
The Rajya Sabha passed the State Banks (Repeal and Amendment) Bill.
The legislation, which was passed in the Lok Sabha during last year’s Monsoon Session, will remove provisions in the State Bank of India Act pertaining to its erstwhile associate banks: State Bank of Bikaner and Jaipur, State Bank of Mysore, State Bank of Patiala, State Bank of Travancore and the State Bank of Hyderabad.
The Bill will repeal the SBI (Subsidiary Banks) Act, 1959, and the State Bank of Hyderabad Act, 1956.

July 21

DigiLocker launched by Karnataka Bank
Karnataka Bank has launched the DigiLocker facility by integrating it with the bank’s MoneyClick Internet Banking channel.
The introduction of this facility empowers the bank’s customers to access the DigiLocker account through their MoneyClick Internet Banking account through a ‘single sign on’ functionality.
This enables seamless and hassle-free login to DigiLocker, a secure cloud-based platform for storage, sharing and verification of digital documents and certificates. DigiLocker is an initiative to store digital documents by the National E-Governance Division under the Union Ministry of Electronics and Information Technology.

NTPC signs Rs 1,500 crore term loan with HDFC Bank
NTPC has signed a term loan agreement for Rs 1,500 crore with HDFC Bank.
The loan facility is extended at an interest rate linked to 3-months MCLR of the bank. This loan has a door to door tenure of 15 years and will be utilised to part finance the capital expenditure of NTPC.

July 22

Federal Bank gets RBI nod to enter Bahrain, Kuwait, Spore
South-based private sector lender Federal Bank has received the regulatory nod to open offices in Bahrain, Kuwait and Singapore, but is awaiting local clearances before it starts operations.
The Kochi-headquartered bank, which leads diaspora remittances, already has representative offices in Abu Dhabi and Dubai, and its desire to expand comes even as a majority of its larger peers are downsizing their overseas presence following the Rs 13,500 crore Nirav Modi scam and poor asset quality back home due to toxic loans.

July 23

Rajya Sabha passes the State Banks Repeal & Amendment Bill, 2017
The Rajya Sabha has passed the State Banks (Repeal and Amendment) Bill, 2017.
The House adopted the amendment moved by the government regarding the bill.
The Bill seeks to repeal the State Bank of India (Subsidiary Banks) Act, 1959, the State Bank of Hyderabad Act, 1956 and further to amend the State Bank of India Act, 1955.
Under it, the five associates banks that were merged are State Bank of Bikaner and Jaipur, State Bank of Hyderabad, State Bank of Mysore, State Bank of Patiala and State Bank of Travancore.
The mergers of these banks have already been effective from 1st April, 2017.

July 24

Bank of Baroda sets up ‘war room lawyer team’ for bad loan recovery
Bank of Baroda has set up a dedicated team of lawyers to speed up recovery of bad loans that get embroiled in litigation.
The state-owned bank has 380 high-value bad loan accounts with a total outstanding of about Rs 15,000 crore. In these, the bank is either the sole lender or the consortium leader.
The Legal War Room will monitor the progress of recovery actions made by those specialised branches, over and above the identied 380 accounts.

July 25

Banks sign inter-creditor agreement on resolving NPAs
Indian banks and financial institutions (FIs) entered into an inter-creditor agreement (ICA) to expedite the resolution of banks' non-performing assets (NPAs), or bad loans, and ensure smooth credit flow.
The agreement, as suggested by a committee headed by state-run Punjab National Bank (PNB) Chairman Sunil Mehta, is a "huge step forward" towards resolving the stressed assets issue and has been worked out under the Insolvency and Bankruptcy Code (IBC).

July 26

Oxigen announces a strategic partnership with Fincare Small Finance Bank
In an event graced by Brand Ambassador Grand Master Viswanathan Anand, Fincare Small Finance Bank celebrated its first anniversary and announced its entry into Mumbai.
At the same event Oxigen and Fincare Small Finance Bank signed an agreement to roll out the Branchless Banking services, using Oxigen's flagship Point of Sale device called the Oxigen Micro ATM Super PoS.
Oxigen has been marching forward on its financial inclusion agenda to offer Branchless banking services to India's rural unbanked/underbanked segments. As per Oxigen's expansion plans, it had decided to engage and tie up with all segments of Bank profiles, which included Traditional Banks, New Age Banks, Digital Banks and Small Finance Banks.

July 27

SoftBank partners Paytm to launch payments service in Japan
SoftBank Group Corp will launch a digital payments service in Japan, and has partnered Paytm for the service.
The service PayPay will be launched by SoftBank’s joint venture PayPay Corporation (with Yahoo Japan) in fall this year.
PayPay Corporation will team up with India’s largest digital payments company Paytm, a SoftBank Vision Fund portfolio company, to utilise Paytm’s technology and expertise in mobile payments.
In Japan, cash is still the mainstream payment methodology, with the current cashless payment ratio remaining at 20 per cent, the Japanese government is taking measures to raise the cashless payment ratio to 40 per cent by 2025.
To aid these efforts, SoftBank and Yahoo Japan established PayPay Corporation in June this year and will launch its user-oriented payments platform in fall of 2018.

July 29

ICICI Bank reports loss for the first time ever
ICICI Bank Ltd, India’s largest private sector lender by assets, reported a net loss of Rs. 120 crore on a stand-alone basis for the June quarter, on account of rising bad loans and treasury losses.
The bank had reported a profit of Rs. 2,049 crore in the year-ago period. This is the first time that the bank has reported losses from its India operations.

July 30

Paytm to roll new retail model for instant deliveries
Digital payments company Paytm is now on an expansion spree to build a ‘New Retail’ model to equip shopkeepers with technology, logistics and marketing capabilities.
Under this model, which the consumers will soon be able to discover, will enable customers to place orders and get instant deliveries.
The company has already partnered with a large network of local shops, restaurants, pharmacies and groceries for accepting Payments and will soon extend ‘New Retail’ services to them.

July 31

SBI raises retail fixed deposit rates by 5-10 bps with effect from 30th July 2018
State Bank of India raised its interest rates on fixed deposits by 5-10 basis points on deposits of below Rs 1 crore.
This will be effective from 30th July 2018.
These changes will apply to senior citizens as well.
Interest rates on recurring deposits of SBI are the same as that on FDs.


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