Banking Notes

Fri, Nov 6 02:39 AM

PNB slashes interest rates on term deposits by 25-50 bps

In view of surplus liquidity, state-run Punjab National Bank will reduce interest rates on fixed deposits by 25-50 basis points for select categories from November 9. The revised rates would be applicable from November 9, PNB said in a statement. "The reduction in deposit rates is a part of effective liquidity management in the current surplus scenario," PNB said, adding, "The rates would be revised whenever there is a change in the liquidity scenario in the system."

Hike in provisioning requirement

As announced in the monetary policy, the RBI has decided to increase the provisioning requirement for advances to the commercial real estate (CRE) sector classified as 'standard assets' from the present level of 0.40% to 1%. Accordingly, the rate of provisioning for direct advances to agriculture and SME sector is 0.25 %, for the CRE sector at 1%, and all other loans and advances at 0.4%. "In view of large increase in credit to the CRE sector over the last one year and the extent of restructured advances in this sector, it would be prudent to build cushion against likely non-performing assets (NPAs)," the RBI said.

Aegon launches iTerm plan

Setting its eye on the growing internet users, Aegon Religare Life Insurance on Thursday launched iTerm Plan offering it exclusively online to its customers. "It is the cheapest term plan currently available in the market, making it the most attractive product," the company's CEO Rajiv Jamkhedkar said.

Acumen to invest Rs 10 cr

Acumen Fund, a non-profit venture capital firm that invests in entrepreneurs who are building businesses to serve poor, announced that it will invest Rs 10 crore in Pushpagiri Vitreo Retina Institute (PVRI) through Pushpagiri Health Care Hospitals Pvt Ltd. It is a part of its global focus on creating models to deliver advanced eye-care services to the poor, will enable the business to build two additional hospitals and expand its reach to approximately 50% of Andhra Pradesh.

StanChart PE invests Rs 50 cr

Standard Chartered Private Equity, a subsidiary of Standard Chartered Plc, has invested Rs 50 crore in leading Indian agri-input and fine chemicals company, PI Industries. The investment was done in the form of convertible preference shares and debentures, a release said.

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