Issue: 1278
· Infosys CEO Salil Parekh to
step down; board appoints Ashiss Kumar Dash as CEO-designate.
· Infosys Q1 profit slips 8.6%
QoQ to Rs.7,769 crore.
· India, UAE plan DigiLocker
integration for seamless degree verification.
· Centre red-flags 2.91 cr
ration card beneficiaries, including 34 lakh already dead.
· Prime Minister announces
fast-track courts for paper leak cases to safeguard the future of youth.
· HSBC leads in FCNR (B)
deposit mobilisation with over $5 billion.
Oil tops $100 again after
Houthi attack on Saudi tankers worsens oil supply disruption: Oil prices climbed above $100 on Thursday,
reaching their highest level in nearly two months, after Yemen's Houthis said
they had attacked two Saudi oil tankers in the Red Sea, adding to concerns over
global supply disruptions from a near-halt in trade through the Strait of Hormuz. Brent futures rose $6.64,
or 7%, to $100.71 a barrel at 10:52 a.m. ET (1452 GMT), exceeding $100 for the
first time since late May. The global crude oil benchmark has risen nearly 40%
this month and was in technically overbought territory for a ninth day in a
row, the first time since September 2023. U.S. West Texas Intermediate crude
rose $5.18, or 6%, to $92.01, trading above $90 for the first time since June
11. Both contracts were up for the fifth straight day.
(Moneycontrol)
Less than third of rural
households report rise in income on year, NABARD survey: Only 27.7% of rural households
reported an increase in their income compared to previous year, according to
the latest survey by NABARD. This is the lowest proportion of the population stating
that their income has increased since NABARD launched the bi-monthly the survey
titled ‘Rural Economic Conditions and Sentiments’ since September, 2024. Over
52% of responded households stated that their incomes remained unchanged while
19.8% reported decline in income. “Reflecting moderation in consumption, the
proportion of respondents reporting an elevation in consumption expenditure
declined to 74.1%, marking only the second instance since the commencement of
the survey that this proportion has fallen below 75%,” the 12th round of survey
stated.
(Financial Express)
Govt plans Rs.20,000 crore
bond buyback through RBI auction on Tuesday: The government has offered to
repurchase Rs.20,000 crore worth of government securities through a buyback
auction to be conducted by the Reserve Bank of India (RBI) on Tuesday. The
buyback will cover the 7.33 per cent GS 2026 maturing on October 30, the 5.74
per cent GS 2026 maturing on November 15, the 8.15 per cent GS 2026 maturing on
November 24, and the 8.24 per cent GS 2027 maturing on February 15. The
government has not notified individual buyback amounts for the four securities,
with the aggregate amount capped at Rs.20,000 crore. The auction will be
conducted using the multiple-price method.
(Business Standard)
IMF warns AI could amplify
financial risks, calls for stronger oversight by central banks: As artificial intelligence
rapidly transforms global finance, the International Monetary Fund (IMF) has
cautioned that central banks and financial regulators must strengthen oversight
to prevent AI-driven risks from triggering future financial instability. In a
blog released on Thursday, IMF Financial Counsellor and Director of the
Monetary and Capital Markets Department Tobias Adrian said AI is no longer
merely improving efficiency in financial markets but is becoming deeply
embedded in trading, lending, market infrastructure and financial supervision.
(Business Today)
RBI’s data governance draft
may trigger fresh compliance spending by banks: Even as banks continue to ramp
up spending on digital transformation, cybersecurity and artificial
intelligence, the Reserve Bank of India’s proposed data governance framework is
expected to trigger another round of investments, requiring lenders to
strengthen governance structures, modernise data architecture and build
specialised data management capabilities. The RBI came out with the draft norms
on July 15 in order to support regulated entities in strengthening their data
governance framework and promote sound practices relating to data management
across the data lifecycle. The central bank has invited comments on the same by
August 17.
(Financial Express)
Fintechs tell NPCI its
'default app' plan could kill competition: Seven Indian fintech firms
have written to NPCI regarding its UPI Meta protocol. They argue the proposed
framework risks locking customers into a single default payment app. This
change could adversely impact competition and innovation within the digital
payments ecosystem. The companies request broader consultation before NPCI
proceeds with the framework. They believe the current UPI checkout flow does
not require such a significant alteration.
(Economic Times)
Three US law firms probe
HDFC Bank over alleged Maharashtra deposit payments: HDFC Bank is facing fresh
scrutiny in the United States, with three separate US law firms announcing
investigations into whether the lender violated federal securities laws. This
widens the fallout from allegations that the lender disguised Rs 45 crore in
payments to the Maharashtra State Road Development Corporation (MSRDC) as
marketing spend.
(Economic Times)
Punjab & Sind Bank
hopes to surpass Rs 1,000 crore recovery target in FY27: Punjab & Sind Bank
anticipates exceeding its recovery target for the current fiscal year. The bank
is actively reducing non-performing assets through various recovery mechanisms.
An international banking unit will become operational at GIFT City by November.
This new unit aims to expand foreign currency mobilization and business. The
bank recently reported a significant rise in net profit for the June quarter.
(Economic Times)
Primus, HDFC Capital to set
up Rs 2,000 crore senior living platform: Primus Senior Living and HDFC
Capital have partnered to create a Rs.2,000 crore platform, the largest
institutional investment platform in India's senior living sector. The platform
will accelerate the development of institutional-grade senior living
communities across key Indian cities and help establish senior living as a
mainstream asset class.
(Economic Times)
E-commerce FDI relaxation
draws scrutiny as GTRI, CAIT flag risks of export inventory misuse: India's proposed relaxation allowing foreign-funded
e-commerce companies to own inventory for exports has drawn concerns from
policy experts and industry bodies, with the Global Trade Research Initiative
(GTRI) and the Confederation of All India Traders (CAIT) calling for stronger
safeguards to prevent export-bound inventory from being diverted into the
domestic market. The Department for Promotion of Industry and
Internal Trade (DPIIT) on July 23 issued Press Note 3 of 2026, proposing to
allow foreign-invested e-commerce companies to operate an inventory-based model
exclusively for exports of goods manufactured or produced in India.
(Moneycontrol)
India eases FDI rules for
e-commerce firms to boost exports of locally made goods: The government on Thursday relaxed foreign
direct investment (FDI) rules for the e-commerce sector, allowing
foreign-funded e-commerce entities to operate inventory-based models
exclusively for exports of goods manufactured or produced in India, in a move
aimed at expanding overseas market access for Indian sellers. “In order to
facilitate greater exports through easier and increased access of global
markets by Indian sellers, the extant FDI policy has been reviewed and it is
decided that the restrictions on inventory-based model of e-commerce shall not
apply in case of exports of domestically manufactured and/or produced
goods/products,”
(Business Line)
Odisha seeks to
become India's next diamond hub with dedicated policy: Riding on a surge of investments in the
lab-grown diamond (LGD) sector, the Odisha government is preparing to unveil a
dedicated gems and jewellery policy and develop a dedicated park for upcoming
units in the segment. Odisha will be only the second state after Maharashtra to
formulate a sector-specific policy aimed at developing an integrated ecosystem
for diamond and jewellery manufacturing. While Gujarat is the primary market
leader in India’s gems and jewellery sector, driving over 80 per cent of
diamond processing and 72 per cent of the world’s processed diamonds, Tamil
Nadu supports the sector through export frameworks.
(Business Standard)
SEBI proposes revamp of
online dispute resolution framework, faster grievance redressal: The Securities and Exchange
Board of India (SEBI) on Thursday proposed a major overhaul of the online
dispute resolution (ODR) framework for the securities market, shifting key
responsibilities from ODR institutions to market infrastructure institutions
(MIIs) such as stock exchanges, depositories and clearing corporations, while
seeking to shorten grievance resolution timelines. The regulator said the
proposed changes are aimed at addressing delays in arbitration, appointment of
arbitrators, enforceability of awards and operational issues under the existing
framework.
(Business Line)
FSSAI needs to expedite
nutrition-labelling rules: Parliamentary panel: A parliamentary panel on Thursday asked food
regulator FSSAI to finalise 'Front-of-Pack Nutrition Labelling' regulations in
a time-bound manner to ensure that consumers get to know nutritional information
in a simple manner. A Standing Committee on Consumer Affairs, Food and Public
Distribution has presented a report on 'Regulation of Packaged Commodities with
Specific Reference to Sugar Content in Baby Products and other Food Products'
in Parliament. The panel was dismayed to note that the draft Front-of-Pack
Nutrition Labelling (FOPNL) regulations were notified on September 13, 2022,
and that more than 14,000 stakeholder comments have been received, which are
presently under examination and wider consultation.
(Business Standard)
Sebi eases security
transmission rules, fast-track for low-value claims: Markets regulator Sebi on Thursday
revised the security transmission framework by introducing a new fast-track
mechanism for low-value claims and standardising documentation requirements to
make the process efficient and investor-friendly. The framework introduces
Quick Transmission Processing (QTP) and revises the monetary thresholds under
the simplified documentation route. Under the new norms, the markets watchdog
said QTP will apply to claims involving securities worth up to Rs 10,000 held
in physical mode and Rs 30,000 for demat holdings. It also revised the
threshold for transmission through simplified documentation to Rs 10 lakh for
physical securities and Rs 30 lakh for demat holdings.
(Business Standard)
ALFA IN INVESTING
Ø Alpha (?) is an investing term that measures an
investment strategy's ability to outperform the market, often called its
"edge." It represents the excess or abnormal return of an investment
compared to a benchmark index, adjusted for risk.
Ø
A
positive alpha indicates the investment beat the benchmark, while a negative
alpha means it underperformed. Alpha is often discussed alongside beta (?),
which measures the market's overall volatility or systematic risk. Together,
they help investors assess both the performance and risk of active portfolio
management.
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 : 96.5431
INR
/ 1 GBP : 129.1795
INR
/ 1 EUR : 110.3153
INR
/100 JPY: 59.2000
EQUITY INDEX
Sensex:
76391.39 (-363.66)
NIFTY:
23869.60 (-126.65)
Bnk NIFTY: 56592.00 (-534.80)
Historical events: July 24 marks
monumental milestones in Indian and world history. In India, it is a landmark
date for democracy: Pratibha Patil was sworn in as the nation's first female
president in 2007, and Giani Zail Singh took office as the seventh president in
1982. On the global stage, 1923 saw the signing of the Treaty of Lausanne
establishing modern borders for Turkey, while 1567 witnessed Mary, Queen of
Scots, being forced to abdicate.
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