Sources have revealed that finally the Punjab National Bank (PNB) after buying 30% MetLife India shares would be entitled with a new name of PNB MetLife India.
They further claimed that after the deal, PNB would be recognized as the single largest shareholder in the private insurance company because MetLife India has paid-up assets of Rs 1,997 crore.
On Tuesday, the Reserve Bank of India (RBI) raised its repo rate which has now become matter of concern for corporates. They have claimed that the new move of the bank will terribly affect the industry and will also slow down the country's growth.
The RBI has raised its repo rate by 50 basis points, which has increased the benchmark rates by 325 basis points in 11 moves in the past 16 months.
The State-owned Bank of India (BoI) announced that their net profit at Rs 517.5 core, for the first quarter was turned down by 28%.
Meanwhile, during the quarter end in the month of June, BoI's gross non-performing property (NPAs) also recorded a downfall of 2.69% and throughout the month of March, the bank staff had expected to gain the gross NPA by at least 2%.
The Chennai-based Public sector Indian Bank, Allahabad Bank has revised the Benchmark Prime Lending Rate (BPLR) by 0.25% with effect from July 15, 2011. Earlier, the BPLR rate of Allahabad Bank was 14.25% and now it is
14.50% per annum.
The base rate of the bank has been revised by 0.25% from the existing rate of 10% to 10.25% per annum with immediate effect.
India’s largest bank, State Bank of India (SBI), has confirmed that it will adopt a new proposal for its rights issue but of a smaller amount than Rs 20,000 crore, which was proposed earlier. The decision has been taken keeping in mind the government constraints.
A plan to raise 2.9 billion rupees has been called off by Dhanlaxmi Bank. It was meant to sell 19.6% of its stake to a group of investors after one of them has backed out. The US based Customers Bancorp Inc. was planning to purchase a 4.9% stake in the bank through share issues. Later, they had to withdraw from the deal because of “certain regulatory reasons”.
State Bank of India (SBI), also known as India’s largest lender has lot of self commitments to abide by. They are working endlessly to raise the $5 billion debt by December through foreign debt named as medium term notes (MTN). SBI Chairman, Pratip Chaudhary, in Delhi told that they had planned to raise $ 5 billion through off offshore loans by December.
MTN acts as a bond which has a maturity period ranging between 5-10 years and is continuously offered by different brokers as compared to other bonds which are issued at once.
As per information provided by two bank officials of Standard Chartered Bank, regional chief executive officer, India and South Asia Neeraj Swaroop of Standard Chartered Bank will soon acquire a position of regional chief executive, South-East Asia, and will soon be transferred to Singapore.
The same information is confirmed by an official of Reserve Bank of India (RBI) stating that Jaspal Singh Bindra, group executive director and chief executive officer (CEO) of Asia, expresses at a latest meeting with the central bank that Neeraj Swaroop will acquire a new assignment outside India.
The Reserve Bank, in its efforts to check price rise has raised short term borrowing and lending rates by 25 basis points. This is now for the 10th time since March 2010 and this move might also result in making auto and home loans more expensive.
Short term lending has been raised by 7.5 per cent while the rate of borrowing has been hiked by 6.5 per cent. The marginal standing facility known in short as the MSF has increased by 8.5%, thus going up by 25 basis points.