News for Central Bank of India (CENTRALBK.BO)

AIBOA demands halt to disinvestment, merger of Nainital Bank, adequate recruitment, and 5-day week in banking industry.

The two banks which recently added to the list are Tamilnad Mercantile Bank (included on March 5, 2025) and IDFC First Bank which got added on Nov 27, 2024. Another bank which added to the list is Dhanlaxmi Bank on June 26, 2024.

Net NPAs increased to Rs 36,260 crore in the December quarter from Rs 34,843 crore in September and Rs 33,116 crore in December 2023, observes Tamal Bandyopadhyay.

State-run banks will present a strategic road map for capital-raising and expansion plans for FY 2025-26 to 2027-28 next month. The government plans to assess these projections to determine the timing and extent of its stake reductions in the banks, focusing on enhancing strategic capabilities like GenAI systems.

Local merchant banks are likely to compete fiercely for arranging future government stake sales in public sector banks and listed financial institutions, despite low fees. This competition creates future opportunities. Foreign banks may also participate, though limited fees and stretched staff may deter them. Private and public sector banks, alongside brokerage-led institutions, are expected to pursue these mandates.

In February 2025, six banks adjusted senior citizen fixed deposit rates, offering up to 9.1% amid a 0.25% RBI repo rate cut. This move affects deposits under Rs 3 crore, impacting post-retirement finances.

The Nifty PSU Bank index, which consists of 12 state-owned bank stocks, dropped 1%, led by SBI, BoB, PNB, BoI, and Canara Bank.

India is seeking bids for merchant bankers and legal advisers to manage the sale of the government's minority shares in public sector banks such as Central Bank of India, Indian Overseas Bank, UCO Bank, and Punjab and Sind Bank. This move aims to comply with market regulations requiring at least 25% public shareholding.

Govt seeks merchant bankers, legal firms to cut stake in public sector banks, financial institutions

PSU bank stocks have fallen up to 34% in a year, facing deposit market share loss, weak margins, and competition from private banks. Despite strong earnings, analysts favor large private banks over PSU lenders.

At least three of the five public sector banks with more than 75% government ownership are expected to raise capital through qualified institutional placements in 2025-26

Seniors should invest this much in FD to avoid new TDS: See calculations

With banks expected to lower FD rates in response to cheaper borrowing costs, returns on deposits could shrink in the coming months.

Public sector banks (PSBs) have achieved their highest-ever net profit of Rs 1.29 lakh crore in the April-December period of the current fiscal year, reflecting a 31.3% increase. This growth is accompanied by improved asset quality, strong credit growth, and sufficient capital buffers.

The RBI's repo rate impacts the interest rates banks charge for loans and the rates they set for investments like fixed deposits. It acts as a guide for banks on the interest rates they should offer.

The Union Budget 2025 proposes raising the TDS threshold, offering additional financial relief to small taxpayers and senior citizens, who depend on fixed deposit plans for assured profits. Here are banks offering the best rates for senior citizens on 1-year FDs

The Reserve Bank of India (RBI) has approved Tata Communications' plan to sell Tata Communications Payment Solutions (TCPSL) to Transaction Solutions International (TSI), for Rs 330 crore. Findi aims to expand the financial services sector, particularly in underbanked areas, through this acquisition.

Investors are hopeful that the Union Budget 2025 will deliver measures to revive consumption and economic growth. Key expectations include income tax relief, avoiding new taxes on investors, boosting capex, and setting clear divestment goals. The Budget's impact on the stock market remains crucial.

The appellate tribunal also asked the liquidator to submit the minutes of the Committee of Creditors (CoC) meeting that led to the decision to liquidate the airline, and scheduled the next hearing for 10 February.