Issue: 1193
· RBI allowed NBFCs to open
branches without prior approval in most cases, easing expansion norms.
· Indian banks likely to report
steady profit growth (8–12% for private banks) supported by strong credit
demand, though treasury income is under pressure.
· Credit growth (~16%) is
outpacing deposit growth (~13.4%), raising concerns over funding costs and margin
pressure.
· Global investment banking
fees rose 27% YoY, with strong M&A and deal activity expected to continue
in 2026.
· IMF stated India remains a
strong growth engine, with no immediate risk of sharp slowdown, though the
financial sector needs monitoring.
· IMF warned that the Iran
conflict may push global debt to ~100% of GDP by 2029, increasing fiscal risks.
· World Bank launched a “Water
Forward” initiative to improve water security for 1 billion people by 2030.
· Developing nations launched a
global Borrowers’ Platform to strengthen debt management and coordination amid
rising debt stress.
· LIC Launches ‘MyLIC’ and
‘Super Sales Saathi’ Mobile Applications to Enhance Customer Experience and
Digital Accessibility.
· Ficci appoints Anant Swarup
as Secretary General.
India to outpace global
growth despite uncertainty, says IMF chief Georgieva: IMF Managing Director
Kristalina Georgieva said India is likely to remain a key driver of global
growth despite rising uncertainty in the international economic environment.
She noted that India’s expansion is projected to outpace the global average by
a wide margin, underpinned by solid economic fundamentals. Georgieva said there
are no signs of a sharp slowdown in India’s growth path, even as the global
economy faces headwinds from geopolitical tensions and supply disruptions. She
attributed India’s resilience to factors such as macroeconomic stability and
robust domestic demand, which continue to support momentum.
(Moneycontrol)
Wholesale inflation rises
to 3-month high of 3.9% in March: Driven by escalating costs for
fuel and power, India’s wholesale inflation climbed to a three-month peak of
3.9 per cent in March, according to data released by the Ministry of Commerce
and Industry on Wednesday. The Wholesale Price Index (WPI) data reflect a
tightening squeeze on energy inputs, a trend that market analysts warn may not
have peaked yet. Economists expect the upward trajectory to persist in the near
term, potentially spilling over into retail inflation (CPI) as manufacturers
and transporters pass higher operational costs on to consumers in the coming
months.
(Business Line)
India slips to
sixth-largest economy in 2025, now seen becoming third-biggest by 2031: India slipped to become the
world’s sixth-largest economy in 2025, dropping one rank from the previous
year, according to the latest International Monetary Fund data, even as the
country continued to post one of the fastest growth rates among major
economies. The Indian economy is
estimated at $3.92 trillion in 2025, placing it behind the UK ($4 trillion) and
Japan ($4.44 trillion). US tops the list with a GDP of $30.8 trillion, followed
by China at $19.6 trillion and Germany at $4.7 trillion. India ($3.5 trillion)
had ranked fifth in 2024, ahead of the UK at $3.4 trillion. The
drop in ranking comes despite India logging around 9 percent nominal growth in
rupee terms during the year. However, a stronger dollar and downward revisions
to GDP under the new series reduced the pace of India’s rise in
dollar-denominated GDP terms.
(Moneycontrol)
India's unemployment rate
rises to 5.1% in March, led by urban centres: The unemployment rate (UR) for
individuals aged 15 and older rose slightly to 5.1 per cent in March from 4.9
per cent in February this year, mainly due to high joblessness in urban areas,
according to government data released on Wednesday. The Periodic Labour Force
Survey (PLFS), conducted by the National Statistics Office (NSO) under the
Ministry of Statistics and Programme Implementation (MoSPI), is the primary
source of data on activity participation, employment and unemployment
conditions of the population. The PLFS survey methodology has been modified
from January 2025 to provide monthly and quarterly estimates of labour force
indicators for the country.
(Business Standard)
Mutual funds pump Rs 55,413
crore into financial stocks amid March selloff: Mutual funds bought financial
stocks worth nearly Rs 55,413 crore in March, accounting for 49 percent of
their total secondary market inflows during the month, even as Indian markets
witnessed a sharp correction amid rising tensions in the US-Iran-Israel
conflict. Overall, mutual funds were
active buyers in the secondary market, purchasing stocks worth nearly Rs 1.13
lakh crore in March. Despite the buying, total mutual fund assets fell to Rs
46.6 lakh crore from Rs 51.29 lakh crore in February. However, mutual funds’
share in total market capitalisation improved to 11.3 percent from 11.1 percent
a month earlier.
(Moneycontrol)
Deposit & credit growth
in FY26 at two-year highs: The banking system ended FY26
on a strong note, with both credit and deposit growth touching two-year highs. The
deposit growth came in at 13.47%, the fastest pace since May 2024, as
households and institutions moved money into safer avenues after a turbulent
spell in financial markets. A sharp correction in equities, volatility in gold
and silver, and losses in several mutual fund categories pushed investors
towards the relative stability of bank deposits and bonds. This flight to
safety lifted system liquidity and pushed absolute deposits to an all-time
high, rising to Rs 262 lakh crore as on March 31, 2026.
Credit
growth, too, accelerated to 16.08% (Rs 213 lakh crore), its strongest since
June 2024, driven by a decisive shift in borrowing patterns.
(Financial Express)
RBI gives operational
flexibility to NBFCs for branch expansion: The Reserve Bank of India has
eased rules for non-banking financial companies. NBFCs can now open branches
without prior approval in most situations. This change aims to simplify
business operations. Deposit-taking NBFCs have specific conditions based on
their net owned funds and credit ratings for opening branches or appointing
agents. Further, a deposit-taking NBFC
having NOF of up to Rs 50 crore or a credit rating below AA may open a branch
or appoint agents within the state where its registered office is situated. If
NOF of such an NBFC is more than Rs 50 crore and credit rating is AA or above,
then it may open a branch or appoint agents anywhere in India.
(Economic Times)
Muthoot Finance
seeks shareholder nod for entry into insurance distribution biz: Muthoot Finance is gearing up for a
pivotal growth phase as it seeks shareholder approval to venture into the
insurance distribution arena. This bold step encompasses a wide range of
offerings, including life, general, and health insurance products, marking the
company's ambition to become a comprehensive corporate agent in India's
insurance landscape.
(Economic Times)
India’s exports in FY26
grow 4% to $860 billion; trade deficit widens by $25 billion: India’s merchandise exports grew by over 4 per
cent in the 2025-26 fiscal year, though the overall trade deficit widened by
more than 26 per cent for the full year, according to data released by the
Commerce Ministry on Wednesday. Despite the annual expansion of the gap, the trade
deficit narrowed in March as both exports and imports saw a synchronised dip
during the final month of the fiscal year. Commerce Secretary Rajesh Agrawal said India’s
exports are doing well despite challenges. The country’s merchandise exports
during April-March 2025-26 went up 1 per cent to $441.78 billion from $437.7
billion. Imports also increased to $774.98 billion during the period from
$721.2 billion in 2024-25. Services exports are estimated at $418.31 billion in
2025-26, showing a growth of around 8 per cent.
(Business Line)
Govt eyes ECLGS-like credit
support for MSMEs amid global headwinds: The government is exploring an ECLGS-like
credit guarantee mechanism to support micro, small and medium enterprises
(MSMEs), even as the sector continues to show resilience amid global
disruptions. “We are in constant touch with the Department of Financial
Services regarding ECLGS kind of a mechanism. So, at an appropriate stage I
will be in a position to share further details on this,” Additional secretary
in the MSME ministry Rajneesh said.
(Financial Express)
Satin Creditcare’s SGAL secures SEBI nod for Rs 200 crore
women-focused AIF: Satin Growth Alternatives Ltd (SGAL), a subsidiary
of microfinance major Satin Creditcare Network Ltd (SCNL), has received
regulatory approval from the Securities and Exchange Board of India (SEBI) to
launch a new fund focused on women-led businesses and sustainable development. Its debut Rs 200 crore
Alternative Investment Fund (AIF) is structured as a Category II fund, which
typically invests in private equity, debt, or a combination and is not
permitted to undertake leverage except for day-to-day operational requirements.
(Economic Times)
Govt notifies SEZ for Tata Semiconductor Manufacturing at
Dholera:
The
government on Wednesday said it has notified a special economic zone to be set
up by Tata Semiconductor Manufacturing Pvt Ltd for electronic hardware and
software, including IT/ITeS, at Dholera in Gujarat. The company has proposed an
investment of Rs 91,000 crore to set up India's first chip fabrication unit. The
proposal was approved by the board of approval, the highest body for SEZ
related issues. It is chaired by the commerce secretary.
(Business Standard)
SEBI makes it easier for
firms to cut IPO size after Iran war hits sentiment: SEBI, will allow companies ?to
cut the size of IPOs by as ?much as 50% without filing
additional onerous paperwork as the Iran war has made it hard to follow through
with initial plans, according to an email seen ?by Reuters. Current rules
stipulate that initial public offering documents need to be refiled if the
planned fund-raising amount increases or decreases ?by 20% or more. Firms will
now only have to ?submit ?their revised offer size to
SEBI for approval and these reviews will be fast-tracked, the regulator said in
an email sent to the Association of Investment Bankers of India.
(Business Line)
DoT and SEBI
Sign MoU to Strengthen Fight Against Telecom-Linked Financial Frauds: In a significant move to reinforce the
security of India’s financial ecosystem, the Department of Telecommunications
(DoT) and the Securities and Exchange Board of India (SEBI) entered into a
strategic partnership by signing an MoU to enhance cooperation in tackling the
misuse of telecom resources in securities market frauds and investment-related
scams. At the heart of the agreement is a
structured data-sharing mechanism aimed at early detection and disruption of
fraudulent activities. DoT will share the Financial Fraud Risk Indicator (FRI)
with SEBI to help identify mobile numbers linked to suspicious patterns through
multi-dimensional analysis. The Mobile Number Revocation List (MNRL) will also
be shared automatically, enabling SEBI-regulated entities, including brokers
and asset management companies, to ensure that investor accounts are associated
only with active and valid mobile connections.
(PiB)
Govt plans
mobile PLI 2.0 with $5 billion outlay to boost exports: The government is likely to roll out
production-linked incentives to boost mobile phone exports from the country by
May with an outlay of over $ 5 billion, about Rs 46,000 crore, sources aware of
the development said. The Scheme for Large Scale Electronics Manufacturing
(LSEM) was launched in 2020 with the aim to boost domestic manufacturing of
mobile phones in the country with an outlay of Rs 40,995 crore, or about $ 5.7
billion based on exchange rate at that time. LSEM was commonly known as
production-linked incentive scheme (PLI) for mobile phones. "The PLI 2.0
for mobile phones is in the works with a focus on boosting exports. It should
be in place by May. The outlay is expected to be over $ 5 billion," a
source on condition of anonymity told PTI.
(Business Standard)
WATER FORWARD INITIATIVE BY WORLD BANK
§ Launched on April 15, 2026, the World Bank’s Water
Forward initiative is a global partnership aimed at strengthening water
security for 1 billion people by 2030, in response to growing water scarcity
and climate shocks.
§ The platform works to unlock financing and foster
policy reforms to improve water reliability and drive job creation in
developing countries.
§ Initial efforts are focusing on water-stressed
regions in Africa, the Middle East, and South Asia.
§ The initiative involves collaboration with other
development lenders, including the European Investment Bank, Asian Development
Bank, Inter-American Development Bank, and the New Development Bank.
RBI KEY RATES
Repo
Rate: 5.25%
SDF:
5.00%
MSF
/Bank Rate: 5.50%
CRR:
3.00%
SLR:
18.00%
FOREX RATES (RBI REF. RATE)
INR
/ 1 USD : 93.3885
INR
/ 1 GBP : 126.6877
INR
/ 1 EUR : 110.1156
INR
/100 JPY: 58.7600
EQUITY INDEX
Sensex:
78111.24 (+1263.67)
NIFTY:
24231.30 (+388.65)
Bnk NIFTY: 56301.95 (+696.90)
World Voice Day: April 16 is
primarily celebrated globally as World Voice Day, an annual event dedicated to
recognizing the importance of the human voice and promoting vocal health. It is
also marked as National Orchid Day, and in India, it is observed as Indian
Railway Day, commemorating the first passenger train journey on April 16, 1853.
Historical
events: April 16 marks
major milestones in history, most notably the 1853 inauguration of India's
first passenger train between Bombay and Thane. Globally, it commemorates the
birth of Charlie Chaplin (1889), Vladimir Lenin's 1917 return to Russia, and
the 1912 flight of the first woman across the English Channel, Harriet Quimby.
****Have a nice Day****
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