Page 6 - Banking Finance December 2022

BANK UPDATE

Centre appoints non-ex- prove to be the biggest constraint for Fresh slippages declined to Rs 3,383
loan growth in the system. crore as against Rs 5,464 crore in the
ecutive chairmen to four
year-ago period. The bank said that
PSBs HDFC corners 15% of CLSS over Rs 700 crore of these came from
a low-rated portfolio flagged earlier.
Non Executive Chairman has been ap-
housing market
pointed on the Boards of four Public This resulted in overall provisions de-
With over Rs 7,200 crore in subsidy
Sector Banks - Canara Bank, Punjab clining sharply to Rs 549 crore from Rs
disbursals, Housing Development Fi-
National Bank (PNB), Union Bank of 1,735 crore in the year-ago period,
nance Corporation (HDFC) has cor-
India and Punjab & Sind Bank (PSB) which helped the bank's bottom line.
nered over 15 per cent of the credit-
respectively following approval given
linked subsidy scheme (CLSS) for afford-
by the Appointments Committee of
PSBs asked to set up one
able housing since its launch in June
the Cabinet (ACC).
2016. The company has also won the national helpline
While Vijay Srirangam has been ap-
best housing finance company award The government has asked PSU lend-
pointed as part-time Non Official Direc-
from the government for this for the ers to set up a "single national
tor as well as Non Executive Chairman
third time this year. helpline" to facilitate expeditious
of Canara Bank for three years, K G
redressal of consumer grievances.
Ananthakrishnan has been appointed The company has over 3.13 lakh CLSS
as part-time Non Official Director as customers, who have cumulatively bor- "The helpline number will be prefer-
well as Non Executive Chairman of PNB rowed more than Rs 67,000 crore from ably of three or four digits, so that in
for a term of three years. them since the launch of the plan un- case of need customers dial the given
der the Pradhan Mantri Awas Yojana number to reach out to their banks
Srinivasan Varadarajan has been ap-
(PMAY). These customers have re- and respective branches or depart-
pointed as part-time Non-Official Direc-
ceived more than Rs 7,200 crore in ments by way of a hub-and-spoke
tor as well as Non-Executive Chairman
subsidies, which is a tad over 15 per model," said a government official.
of Union Bank of India for a term of
cent of the total subsidy of Rs 48,250
three years, according to an order is- The move comes following complaints
crore given by the government.
sued by the Department of Personnel over defunct bank helpline or contact
& Training. The Centre has also ap- numbers given for consumer redressal.
pointed Charan Singh as part-time Axis Bank net profit up "A single helpline will help all banks put
Non-Official Director as well as Non- in place a uniform policy to address
70%
Executive Chairman of Punjab & Sind customer complaints and turnaround
Axis Bank has reported a net profit of
Bank for a term of two years.
time for their redressal," the official
Rs 5,329 crore for the September quar-
said, adding that a single number is in
ter - an increase of 70% over the year-
Banks' loan growth out- sync with the government's focus on
ago period. The profits were driven by
paces deposits digitisation in banking.
an improvement in asset quality that
Deposit growth in the system has been led to lower provisions. On a consoli- The banks will engage PSB Alliance
trailing credit growth for quite some dated basis, net profit was up over Private Limited for coordinating and
time now. 66% at Rs 5,625 crore. Outstanding developing an appropriate system and
monitoring the functioning of the
According to the Reserve Bank of In- deposits stood at Rs 8.1 lakh crore, up
helpline.
10% from the year-ago period, while
dia (RBI) data, credit growth touched
a decadal high of 18 per cent in the advances at Rs 7.3 lakh crore were up
Indian banks post highest
fortnight ended October 7 but depos- 17.7%.
its grew at a much slower pace of 9.6 Slippages during the quarter were Rs profit
per cent.
3,383 crore as compared to Rs 5,464 Indian commercial banks have re-
The widening credit-deposit growth crore a year ago. Overall provisions ported a combined profit of nearly Rs
gap has exacerbated concern that the declined to Rs 549 crore compared to 59,000 crore for the September quar-
slower pace of liabilities growth may Rs 1,735 crore to the previous year. ter, an increase of 57% over the Rs
6 | 2022 | DECEMBER | BANKING FINANCE