Page 10 - Banking Finance July 2023

BANK UPDATE

SBI reported a net profit of Rs. 16,695 allow us a little more time to prepare
Attention Subscribers
crore for the March quarter, an in- ourselves for this," Indian Banks Asso-
crease of 83% over Rs 9,114 crore in ciation (IBA) Chief Executive Sunil Please renew your Subscription of The
the year-ago period. The bank's net Mehta told reporters on the sidelines Insurance Times Journal to receive
profit for FY23 stood at Rs 50,232 of a Fintech event. "We have re- copy of the journal uninterruptedly.
crore, a rise of 59% over Rs 31,676 quested them (the RBI) for one more
You can now pay by GPAY, Phonepe,
crore recorded in the previous year. year," Mehta said, when asked about
Paytm, Amazon, ICICI Pay, BHIM UPI
HDFC Bank had reported a net profit the exact time lenders have requested
of Rs 44,108 crore for FY23, an in- the RBI.
crease of 19% over Rs 36,961 crore in
FY22. Sizeable risks that inflation
Profits were driven by a widening of will remain high: IMF's
interest margin to 3.84% in the fourth
Gopinath
quarter as both the loan book and in-
The International Monetary Fund's of-
terest rates on loans grew together.
ficial said she sees sizeable risks that
The bank was under less pressure to
inflation will remain high or accelerate
raise deposits as it continued to have
in many emerging markets and urged
surplus liquidity in its book.
central banks to keep monetary poli-
cies tight.
Banks request RBI for
IMF First Deputy Managing Director
more time to implement Gita Gopinath told a conference hosted
by the Central Bank of Brazil that mar-
new ECL-based loan loss
kets were probably "too optimistic"
provisioning norms about what it would take to bring down
Lenders have sought a one-year exten- inflation in emerging markets.
sion from the Reserve Bank of India
"Despite encouraging signs, I am wor-
(RBI) for implementation of the Ex-
ried that price pressures seem en-
pected Credit Loss (ECL)-based loan loss
trenched in many economies and that
provisioning framework. Sashi Publications Easy Payment
upside inflation risks are sizeable," she
Modes :-
In January this year, the RBI came out said in remarks prepared for the event.
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ful actions down the road," she said.
implementation of expected credit loss PUBLICATIONS PRIVATE
That was a lesson learned from the high
approach for loss provisioning. LIMITED, Bank of India, VVK
inflation period of the 1970s and it
Road Branch., Kolkata, India,
Though the RBI is yet to announce the "very much applies today," Gopinath
IFSC Code : BKID0004021
final guidelines on ECL norms, some of said.
v) Credit Card:
the rating agencies have said that fi-
She said fiscal restraint could support
www.sashipublications.com
nal norms on this may be notified by
the fight against inflation by central
FY2024 for implementation from April For any query please call
banks and financial tools could improve
1, 2025. 9073791022/9883398055
tradeoffs in the event of pronounced
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10 | 2023 | JULY | BANKING FINANCE