Page 6 - Banking Finance August 2024

BANK UPDATE

During the probe, police found that the Goverdhan S. Rawat, deputy manag- Similarly, a dividend cheque of Rs
transactions were made to mainly ing director, Nabard told, that with 1,838.15 crore was handed over by
three persons. "On examination of fund infusion and profitability, the capi- Canara Bank MD and CEO K
those persons, they disclosed that one tal adequacy has improved substan- Satyanarayana Raju.
person, namely Gulenur Hussain, then tially and asset quality is robust. Indian Bank paid a dividend cheque of
branch manager of SBI's Barbari Now, they will intensify efforts on sus- Rs 1,193.45 crore for 2023-24. Bank of
branch, currently posted at the Dispur taining efficiency and productivity for India too paid a dividend of Rs 935.44
SCAB (Specialised Currency Administra- which boards of banks will prepare a crore and the cheque was presented
tion Branch) as a deputy manager, five-year road map for standing on by its MD and CEO Rajneesh
made the transactions through their own feet. Karnataka.
internet banking.
The consolidated capital adequacy of In addition, Mumbai-based financial in-
RRBs was 10.16 per cent as on March stitution EXIM Bank presented a divi-
Indian banks rise up the 31, 2021, before beginning of the dend cheque of Rs 252 crore for 2023-

global rankings recapitalisation process in FY22. It 24.
steadily increased to 12.7 per cent in
One year after the mega merger of FY22, 13.4 per cent in FY23 and finally Global banks are biggest
the erstwhile HDFC twins, Indian banks
have cemented their spot further on to 14.2 per cent in FY24, Nabard data bulls in India's bond mar-
the global stage. Each of the three showed. ket
Indian names-HDFC Bank, ICICI Bank
and State Bank of India in the top 20 Federal Bank launches Foreign banks have emerged as the
largest investors in India's trillion dol-
globally by market capitalization has RuPay Wave credit card lar sovereign bond market recently,
improved their rank in the past year. Federal Bank, in collaboration with attracted by the nation's economic
The top 100 has five Indian names, National Payments Corporation of In- prospects and a stable currency.
whose share in the combined market dia (NPCI), has launched RuPay Wave They've bought more than 500 billion
value of this elite set is also rising ev- Credit Card to offer customers UPI- rupees ($6 billion) of debt since June 1,
ery year. powered transactions on RuPay net- according to data from the Clearing
work.
Meanwhile, the banking index contin- Corp of India. That far exceeds about
ues to trail the benchmark Nifty, but This offering will seamlessly integrate 200 billion rupees of net inflows into
industry experts are optimistic about the benefits and features of RuPay index-eligible bonds in the period, and
the future of Indian banks, with private credit cards with the experience of UPI suggests global banks that typically buy
banks flexing their financial muscle. payments, ushering in a new era of as clients' custodians have also been
simplicity and efficiency in digital trans- snapping them up for their own ac-
Rural Banks shift focus to actions. Federal Banks has leveraged counts.
the robust UPI infrastructure devel-
product diversification oped by NPCI. The scale of purchases by these custo-

After consolidating capital adequacy, dian banks, such as Deutsche Bank AG
and HSBC Holdings Plc, reflects their
improving profitability and asset qual- Four PSU banks pay Rs. optimistic outlook on India, following
ity, regional rural banks (RRBs) will now its inclusion into JPMorgan Chase &
focus on diversification of lending prod- 6,481 crore dividend to Co's emerging-market bond index at
ucts to small and medium enterprises Govt end-June.
(SMEs) for value addition in agriculture Four public sector banks, including
chain and allied sectors. Canara Bank and Indian Bank, pre- Finance Minister asks pri-
The top priority will be upgrading the sented dividend cheques worth Rs vate banks to take part in
technology platform for digital banking 6,481 crore to Finance Minister
for retaining existing customers and Nirmala Sitharaman for financial year financial inclusion
attracting new ones in rural areas. 2023-24. The Department of Financial Services

6 | 2024 | AUGUST | BANKING FINANCE