Page 5 - Banking Finance April 2025
P. 5

BANK UPDATE

                                                                               wide.  The  additions  include  17
                                                                               branches under its Hyderabad Field
                                                                               General Manager Office (FGMO), fol-
                                                                               lowed by 14 under Chennai, 13 under
                                                                               Pune, 12 under New Delhi, and 11 un-
                                                                               der Bhopal FGMOs.
                                                                               Chandigarh and Lucknow FGMOs each
                                  Ò»©­                                         saw 10 new branches. BoI Managing

                                                                               Director and CEO Rajneesh Karnatak
                                                                               stated that the expansion aims to im-
                                                                               prove accessibility and customer ser-
                                                                               vice, aligning with the bank's vision to
                                                                               foster financial inclusion and contribute
                                                                               to economic growth. As of December
           SBI Reduces Lending Rates Following RBI's Repo Cut                  2024,  the  bank  operates  5,202
           State Bank of India (SBI), the country's largest public sector bank, has low-  branches across India.
           ered its home loan interest rate by 25 basis points to 8.25%, effective Feb-
           ruary 15, 2025. The bank also reduced its External Benchmark Based Lend-  Federal Bank Introduces
           ing Rate (EBLR) by 25 basis points to 8.90%. This move follows the Reserve
           Bank of India's (RBI) recent decision to cut the policy repo rate by 25 basis  Long-Term  Annuity  De-
           points to 6.25% on February 7, 2025, signaling an easing in the monetary  posit Scheme
           policy stance.                                                      Federal Bank has launched a new term
           As of December 2024, SBI's home loan portfolio stood at Rs. 7.92 trillion,  deposit product, Annuity Deposits, of-
           up 14.26% year-on-year, comprising 22.94% of its domestic loan book. How-  fering resident customers a structured
           ever, the rate cut may further compress its Net Interest Margin (NIM),  income over periods ranging from 5 to
           which slipped to 3.01% in Q3FY25 from 3.22% a year earlier.         20 years. The scheme requires a mini-
                                                                               mum deposit of Rs. 15 lakh and permits
                                                                               investments up to Rs. 2 crore. The in-
         PD Singh Appointed as In-          leadership roles at HSBC across its cor-  terest rates vary by tenure: 7.10% for
                                            porate and commercial banking seg-
         dia CEO of Standard Char-          ments. With over 165 years of continu-  five-year deposits, 6.6% for tenures
         tered Bank                         ous presence in India, Standard Char-  between 5 and 10 years, and 6.25%
                                                                               for durations exceeding 10 years.
         Standard Chartered has named PD    tered operates 100 branches across the  The bank aims to attract high-value
         Singh as its new Chief Executive Officer  country, and Singh's appointment is  depositors seeking stable long-term
         for India, effective April 1, 2025. He  expected to further bolster the bank's  returns.  This  product  adds  to  the
         succeeds Zarin Daruwala, who is set to  strategic growth in the region.
                                                                               bank's diversified portfolio of invest-
         retire  on  March  31  after  a  distin-                              ment options designed to cater to dif-
         guished tenure. Singh brings nearly 30  Bank of India Strengthens     ferent financial planning needs of cus-
         years of experience in banking and fi-                                tomers.
         nancial services. He previously served  Network  with  111  New
         as CEO of JP Morgan Chase Bank in In-  Branches                       Personal  Loan  Growth
         dia, where he was instrumental in ex-
                                            Bank  of India (BoI), a public sector
         panding the corporate banking busi-  bank, has expanded its branch network  Slows Amid Weak Vehicle
         ness.                              by opening 111 new branches across and Credit Card Demand
         Before that, Singh held various senior  urban and semi-urban locations nation-  Growth in personal loans declined to


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