Issue: 1154
India's Q3 GDP grows 7.8%
under new series; manufacturing, consumption anchor expansion: India’s economic momentum
moderated slightly but remained resilient in the December quarter, with
stronger manufacturing activity and steady consumption helping the economy grow
7.8 percent year-on-year in Q3FY26, according to GDP data released by the
government on February 27. The latest numbers mark a
slowdown from the 8.4 percent expansion recorded in the previous quarter, but
underline continued strength in domestic demand even amid global uncertainty
and uneven sectoral performance. The National Statistics Office (NSO), which
simultaneously released a new GDP series with 2022-23 as the base year, said
the economy’s performance in FY26 continues to be supported by industrial
activity and services-led consumption trends.
(Moneycontrol)
US nearly doubles FDI into
India as overall inflows climb 18% to $47.87 billion in April-December: Foreign direct investment (FDI) in India rose
18 per cent to USD 47.87 billion during April-December 2025-26, while the
inflow from the US almost doubled to USD 7.80 billion during the first nine
months of this fiscal, according to government data released on Friday. Foreign
Direct Investment during April-December FY24 stood at USD 40.67 billion. During
the October-December quarter of 2025-26, the FDI inflow in equity increased by
about 17 per cent year-on-year to USD 12.69 billion. However, it dipped by over
23 per cent when compared to the June-September quarter of 2025-26, when the
inflows stood at USD 16.55 billion. Total FDI, which includes equity inflows,
reinvested earnings and other capital, increased by 17.4 per cent to USD 73.31
billion during the first nine months of this fiscal year as against USD 62.48
billion in the same period of 2024-25.
(Moneycontrol)
GDP growth estimates for
FY27 revised upward to 7-7.4%: With the change in the base year and
methodology for calculating GDP, Chief Economic Advisor V Anantha Nageswaran on
Friday revised upward the growth estimates for fiscal year 2026-27 by 20 basis
points. At the same time, the fiscal deficit projection for the current fiscal
year has been increased by 10 basis points. The new base year for GDP
calculation has now been revised to 2022-23 from 2011-12. The Statistics
Ministry has also revised the real GDP growth rate for fiscal years 2023-24,
2024-25 and 2025-26. In a media briefing, the Chief Economic Advisor said, “Economic
Survey’s projection for FY27 has been revised upward to 7-7.4 per cent under
the new series.” Earlier, it was 6.8-7.2 per cent.
(Business Line)
Fino Payments
Bank MD & CEO Rishi Gupta arrested under GST acts; CFO takes interim charge: Fino
Payments Bank on Friday said its Managing Director and Chief Executive
Officer(CEO) Rishi Gupta has been arrested under provisions of the CGST and
SGST Acts. The bank clarified that the investigation
relates to certain business partners of the bank. Following Gupta’s arrest,
Chief Financial Officer Ketan Merchant has been appointed as the Head of the
Organisation.
(Moneycontrol)
Bank lending to NBFCs
climbs to record high: Bank lending to non-banking
financial companies (NBFCs) touched an all-time high of Rs 19.05 lakh crore in
January, up 18% on-year, data released by the Reserve Bank of India on Friday
showed. While credit to housing finance companies rose 8.5% on-year to Rs 3.53
lakh crore, for public financial institutions, it grew 39% to Rs 3.05 lakh
crore. Overall, bank credit to the services sector grew 15.5% on-year compared
with 12.3% in the corresponding fortnight of the previous year. Besides the
growth in NBFCs, the segment was supported by higher growth in trade and
commercial real estate.
(Financial Express)
PSBs lead in green deposit
mobilisation: Banks
are stepping up their focus on green deposits, with public sector lenders
accounting for the bulk of collections so far. However, growth remains at a
nascent stage, and total amounts mobilised are still small compared to the
overall deposit base of the banking system. Green deposits are a type of fixed
deposit that allows investors to invest money in sustainable and eco-friendly
initiatives. State Bank of India reported
collections of Rs 172.26 crore, up from Rs 75.44 crore a year ago, marking a
year-on-year growth of 128.3%. Bank of Baroda saw its green deposits rise to Rs
1,707 crore from Rs 1,038.51 crore in December 2024, a 64.4% increase. Among
smaller lenders, Bank of Maharashtra recorded a quarter-on-quarter rise of
16.8%, reaching Rs 63 crore, while UCO Bank nearly doubled its green deposits
Q-o-Q to Rs 190 crore. Central Bank of India reported green deposits of Rs
406.23 crore as of December 31, up sharply from Rs 70 crore a year ago.
(Financial Express)
Jio expands finance app to
sell third-party products, to advise users as well:
Jio Financial Services on Friday announced an
expansion of its app to work like a marketplace which will also sell third
party products. The artificial
intelligence, machine learning and neural networks-powered new JioFinance app
will also eventually build a 'financial score' for users and advise them on a
range of aspects to manage finances, top officials have said. The app has been running for over a year now and has
over 20 million users. From Friday, the company will be getting into the
'public closed user group' with the new features for a wider set of people.
(Economic Times)
Gold loans surge 128% in
January; non-food credit growth rises to 14%: Gold loans more
than doubled year-on-year (128%) in January, up from the 91% recorded in the
same month of 2025, latest central bank data published Friday showed. Loans to
the renewable energy sectors, classified under the mandatory lending for banks
by the Reserve Bank of India (RBI), were the second fastest growing sector
climbing 62% in the first month of the New Year.
(Economic Times)
PM nudges private sector to
shore up investment in infra: Prime Minister Narendra Modi said this year’s
Union Budget lays a long-term roadmap for Viksit Bharat, anchored in
technology, reforms and finance, stressing that budgets must be seen as
instruments of nation-building rather than short-term economic documents. Addressing
the post-budget webinar on “Technology Reforms and Finance for Viksit Bharat,”
he underlined that policy outcomes should be judged by measurable improvements
such as stronger infrastructure, easier credit flow, better ease of doing
business, transparent governance, and improved quality of life. “Over the last 11 years,
the provision has grown from approximately Rs 2 lakh crore to over Rs 12 lakh
crore in the current budget. This investment serves as a clear signal for the
private sector to increase participation in infrastructure and innovation,”
Modi said.
(Financial Express)
Bihar microfinance bill may
spoil the sector's recovery: Bihar government's move to regulate
microfinance institutions may hobble the recovery of the sector, which had
shown signs recovery from stress after long years. Bihar's new microfinance
law could disrupt the sector's recovery. The bill limits borrowers to two
lenders, a change from the industry norm. This move may lead to increased loan
defaults, mirroring past issues in Karnataka. Experts anticipate a cautious
approach from lenders. Microfinance bodies are launching outreach programs to
ensure borrowers remain engaged and repay loans on time.
(Economic Times)
Russia remains India's top
crude oil supplier despite Trump pressure: Russia remained India’s top
crude oil supplier in February, accounting for 21 per cent of the country’s
total oil imports, despite pressure from the United States to curb oil
purchases from Moscow. India’s crude oil imports from Russia held steady at 1.1
million barrels per day (bpd) until February 27, according to fresh data
sourced from maritime intelligence firm Kpler. In February, state-run Indian
Oil Corporation (IOCL) bought the highest volume of Russian crude at 403,000
bpd, followed by Russia-backed Nayara Energy at 369,000 bpd, Bharat Petroleum
(BPCL) at 177,000 bpd and Mukesh Ambani-led Reliance Industries (RIL) at 161,000
bpd, data showed.
(Business Standard)
Unsuccessful bidders cannot
raise objections on the decisions of lenders: SC: The Supreme Court on Friday said that the
unsuccessful bidders cannot be allowed to raise objections on the commercial
wisdom of the lenders in the Insolvency and Bankruptcy Code (IBC) matters. The
court said that appeals by unsuccessful bidders under the guise of “procedural
impropriety” leads to value erosion, and against the design of IBC. “The
appeals before us typify the growing strategic use of the judicial system by
unsuccessful resolution applicants, who seek to reopen almost every commercial
decision under the guise of procedural impropriety. Such an approach
incentivises delay, rent-seeking, and strategic obstruction and is
fundamentally inconsistent with the economic logic and statutory design of the
IBC,” the judgment said.
(Financial Express)
CGA launches Government
Bank Dashboard and Government Bank Manual to Strengthen Compliance, Reduce
Risk, and Enhance Accountability: The Controller General of
Accounts (CGA), Ms. T.C.A. Kalyani, launched two major initiatives aimed at
strengthening the governance and efficiency of banks handling government
transactions i.e. the Government Bank Dashboard and the Government Bank Manual Today
in New Delhi. The Government Bank Manual provides a comprehensive and
standardized framework for banks for handling government business . It clearly
defines operational procedures, reporting obligations, reconciliation
timelines, and compliance requirements. Its objective is straightforward:
reduce ambiguity, mitigate operational risk, and strengthen accountability
across all stakeholders. The Government Bank Dashboard
introduces real-time, data-driven monitoring of critical banking functions wrt
government business. It tracks key performance indicators such as remittance
timelines, scroll compliance, reconciliation status, transaction success rates,
and adherence to service-level standards. This represents a significant shift
from reactive, post-facto corrections to proactive oversight and performance
management.
(PiB)
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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 : 90.9542
INR
/ 1 GBP : 122.5408
INR
/ 1 EUR : 107.3654
INR
/100 JPY: 58.3400
EQUITY INDEX
Sensex: 81287.19 (-961.42)
NIFTY: 25178.65 (-317.90)
Bnk NIFTY: 60529.00 (-658.70)
National Science Day: February 28 is
celebrated as National Science Day to commemorate the discovery of the Raman
Effect by C. V. Raman in 1928 — a breakthrough that transformed our
understanding of light and matter, and earned India its first Nobel Prize in
Science.
Historical events: February 28th
marks National Science Day in India to commemorate Sir C.V. Raman’s 1928
discovery of the "Raman Effect" for which he won the 1930 Nobel Prize
in Physics. Other major events include the 1922 independence of Egypt, the 1986
assassination of Swedish PM Olof Palme, and the 2013 resignation of Pope
Benedict XVI.
****Have a nice Day****
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