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Led by PSBs, NPAs soar 34.5% in Q3; pain to linger on: Report

Led by PSBs, NPAs soar 34.5% in Q3; pain to linger on: Report

Finance
The issue of impaired assets may be far from over for the banking system as gross non- performing assets have grown by 34.5 per cent in the December quarter, says a report. Even as bankers guide towards a better position with regard to bad loans, rating agency Care has said the issue of impaired assets is not yet over, including on recognition and accretion of loans into the dud assets category. In the report based on the performances of 30 lenders, including 17 private sector banks and 13 state-run ones, the agency said the quantum of gross NPAs moved up to 9.45 per cent as of December from 8.34 per cent a year ago. While private sector banks' bad loans ratio was maintained broadly at 4.1 per cent, their state-run counterparts registered a spike in the proportion of dud assets a...
China's new loans in Jan surge to record 2.9 trillion yuan, blow past forecasts

China's new loans in Jan surge to record 2.9 trillion yuan, blow past forecasts

Finance
China's banks extended a record 2.9 trillion yuan ($ 458.3 billion) in new yuan loans in January, blowing past expectations and nearly five times the previous month as policymakers aim to sustain solid economic growth while reining in debt risks.While Chinese banks tend to front-load loans early in the year to get higher-quality customers and win market share, the lofty figure was even higher than the most bullish forecast by economists in a Reuters poll.Net new loans surpassed the previous record of 2.51 trillion yuan in January 2016, which is likely to support growth not only in China but may underpin liquidity globally as major Western central banks begin to withdraw stimulus.Analysts polled by Reuters had predicted new yuan loans of 2 trillion yuan, up sharply from December's 584.4 bil...
Transfer unclaimed deposits to welfare fund by March 1: Irda to insurers

Transfer unclaimed deposits to welfare fund by March 1: Irda to insurers

Finance
Insurance regulator Irda has asked all insurers to transfer the deposits of policyholders that have been laying unclaimed for over 10 years to the welfare fund by March 1. "All insurers having unclaimed amounts of policyholders for a period of more than 10 years as on September 30, 2017 shall transfer the same to Senior Citizens' Welfare Fund (SCWF) on or before March 1, 2018," the Insurance Regulatory and Development Authority of India has said in a circular. The directive comes under the Department of Economic Affairs accounting procedure for transfer of funds to SCWF. Life, non-life and health insurance service providers will have to comply to the SCWF Rules, 2016 every year. "The insurers shall make transfers to the consolidated fund of India on or before the 1st March, eac...
IMF’s Christine Lagarde praises the ‘courage’ of Arab countries undergoing economic reform

IMF’s Christine Lagarde praises the ‘courage’ of Arab countries undergoing economic reform

Finance
Changes in the world economy and the price of oil mean that many countries across the Arab world will need to undergo significant changes in order to survive, and those that are doing so should be praised, Christine Lagarde, the managing director of the International Monetary Fund (IMF) told CNBC."These countries have gone through a massive transition. Those that were exporting oil have clearly seen a big drop in their growth rates. But those economies have to transition from an oil-fed economy to a more diversified, more inclusive, reformed economy," Lagarde said at the World Government Summit in Dubai.Some countries are ahead of the game, she described, while others are working on reforms. "But certainly we will be seeing different countries in a few years' time, given where the price of...
How rough of a week did Wall Street have? The Dow saw 22,000 points worth of whipsaw trading

How rough of a week did Wall Street have? The Dow saw 22,000 points worth of whipsaw trading

Finance
With another volatile plunge Friday, the Dow Jones industrial average has traveled more than 22,000 points this week. The stock index closed more than 1 percent higher, bringing its weekly losses to the worst since January 2016. Earlier in the session, the Dow was tracking for its worst week since October 2008, during the financial crisis. CNBC tracked the volatile moves of the Dow this week to calculate the number of points the index has moved. In the past five trading days, including Friday, the Dow has traded about 20,000 points back and forth in a roughly 2,000-point trading range. Stocks have plunged in the last week as traders worried about rising interest rates and inflation, bringing an end to more than a year of historically low volatility. On Monday, the S&P 500 broke its lon...