Current affairs for bank exam

Bank exams and current affairs 

Economic Times:

1) Banks, ARCs Spar Over Key Document, Indemnity Clause.DIFFERENCES MAY IMPACT DEALS.Lenders want ARCs to give an undertaking on having no ties with promoters of bankrupt cos, share upside.

2) Creditors’ Recovery via IBC Surges to 36% of Admitted Claims in FY23.AT 2-YEAR HIGH Increased sittings by tribunals with easing of Covid & better offers by bidders help.

3) ARCs are asking the RBI to review the recently prescribed norm that requires an independent advisory committee to examine all settlement of dues with borrowers.This includes retail, SME and MSME loans, which they say are small and many in number. The ARCs are also appealing for a rollback of the October 2022 circular that stipulates settlements can be made only after all possible steps to recover dues have been exhausted.

4) Sebi proposal to regulate all online platforms that offer fractional ownership of real estate assets is expected to institutionalise the segment and help attract more capital from both domestic and offshore investors.

Financial Express:  

1) Julius Baer’s Indian arm is planning to launch AIFs as part of its growth strategy.The move also aims to add “innovation and diversification” to the bank’s existing product offerings for HNIs and UHNIs.

2) As much as 35.6% of CPSEs' purchases of goods and services were from MSMEs in FY23 compared with 32.48% in FY22 and 29.21% in FY21, all well above the mandatory 25% annual procurement requirement from these small units.

3) Banks need to be given “stronger overview” on the lending practices followed by non-bank lenders who borrow from them.Non-bank finance companies and microfinance institutions should follow the same risk underwriting and credit monitoring principles as followed by the larger banks from whom they borrow money,SBI

4) NHAI debt servicing cost will cross Rs 50,000 crore in FY28, the ministry of road transport and highways said in an estimate which it also shared with a Parliamentary standing committee.

Business Line:

1) Urban co-op banks want RBI to permit them to undertake one-time settlement of bad loans.Seek level playing field with commercial banks on recovery front.

2) April CPI data gives confidence monetary policy on right track: RBI chief.‘High-frequency indicators reflect that urban demand continues to be strong’.

3) India needs to improve its judicial processes with respect to bankruptcy and insolvency in order to ensure that lenders can recover their dues and continue to lend with confidence,Uday Kotak.

4) Kotak vs Watsa: The battle for acquiring IDBI Bank intensifies.Both willing to offer attractive control premium but want to retain Kotak Mahindra Bank and CSB Bank, separately.

Business Standard:

1) Vedanta's record dividend to parent strains company's balance sheet.The company paid a record equity dividend of Rs 37,758 crore (approx. $4.4 billion) in FY23.

2) Go First has access to around Rs 300 crore of funds and expects to start operations as soon as possible.IRP has already invited claims from creditors which will be received by May 23. A business plan too is being prepared.

3) RBI, green finance and the blue planet.The central bank's report seeks to nudge banks and financial institutions to catalyse risk mitigation from climate change.

4) Foreign investors have shown strong buying interest in Indian equities in May and invested more than Rs 23,152 crore in the first fortnight.

live Mint:

1) India will, for the first time, compute the value of the freebies provided by the government in the overall consumption.Data to help assess impact of freebies on household consumption, poverty lines; finance min had flagged need for calculation.

2) A power ministry-constituted panel has suggested a roadmap outlining the interventions for the near, medium, and long term for the development of the electricity market.

3) State Bank of India’s ERD expects one more pause by the Reserve Bank of India’s MPC in view of the recent CPI and Core CPI numbers.The MPC will hold its bi-monthly deliberations on June 6-8, 2023.

4) Adani Enterprises Ltd has revived its capex plan after a four-month pause, with a planned initial investment of $1.5 billion to kickstart its new business