Dewan Housing Finance Corp’s lenders plan to infuse more funds to ensure SMA-2 loans don’t turn into NPAs.
Larger banks with significant share of current account and savings account deposits may be in a better position to mitigate the cost effect.
NPA-laden banks may increase spreads over benchmark rates to protect their profitability.
Bankers estimate that DHFL raised about Rs 7,000-8,000 crore from retail investors.
The success or failure of the move will depend on the execution rather than the action itself.
After the big-bang merger, the total number of PSBs in India will come down to 12 from 27 two years ago.
Loans mainly from power, manufacturing sectors, UBI may put up the largest chunk.
There is no guarantee, however, that Reserve Bank of India’s (RBI) surplus will always increase.
Aims to allow ‘serious bidders’, to also put to vote proposal to lend more to airline.
Low ‘product profitability’ in home loans for banks like SBI will not allow rates to go down much.
- No blogs yet have been written by the author, we’re sure the author will contribute one soon