Daily Banking Current Affairs on 23rd June
India Post to provide banking services in rural areas
Post offices are being revamped and modernized to provide banking services in rural areas, Union minister Sanwarlal Jat said on Tuesday.
The government is committed to provide banking services through modern post offices in rural areas in which customers would get ATM, E-post, pension account, core banking and money transfer facilities, the MoS for water resources, river development and Ganga protection said.
Jat also inaugurated a modern sub-post office in Ajmer.
Forward Markets Commission to merge with Sebi by September
Capital markets regulator Sebi said it expects the proposed merger of commodities regulator FMC with it to be completed by September-end.
"We are evaluating the gaps which are there (in Sebi-FMC merger). We will be able to take over the responsibility by end of September," Sebi chairman U K Sinha told reporters after its board meeting.
Announced by finance minister Arun Jaitley in Budget for 2015-16, the merger will help streamline regulations and curb wild speculations in commodities market.
Sebi makes IPOs cheque-free; halves listing time to six days
Markets regulator Sebi made public offer investments cheque-free and also cut down the time taken for listing of companies by half to six days.
While lowering the IPO costs for the companies and investors, Sebi also allowed a larger number of companies to tap the 'fast-track' route for raising funds from markets from the existing and new investors.
Currently, it takes 12 days after the close of bidding in the initial public offer (IPO) for a company to list on the stock exchanges, thus keeping the investors' funds locked in for a longer period of time.
The shorter time period, which would come into effect from January 1, 2016, would also help reduce the costs associated with the public offering, Sebi chairman UK Sinha said after a meeting of the regulator's board.
Govt has not decided on recapitalisation figures for banks: FM
Praising the positive role being played by public sector banks, finance minister Arun Jaitley on Tuesday said the government has not yet decided on the exact recapitalisation figures for them.
"I have not decided on the recapitalisation figure. I had mentioned the figure in the budget this year. But what we require would be much more than mentioned in the budget," Jaitley told reporters on the sidelines of a public event at the prestigious Stanford University where he spoke about India's economic future.
Govt to inject about $3 billion this fiscal year in state-owned banks: Report
The government plans to inject about $3 billion into state-owned banks this fiscal year, and potentially $6 billion next year, to help recapitalise the sector and allow it to meet Basel III rules.
The intended injection into state banks is significantly higher than the estimate of 79.4 billion rupees ($1.25 billion) given in the government's budget for this fiscal year.
Indel Money to have pan-India presence
Indel Money Pvt. Ltd. , the NBFC with strong presence in Kerala and Tamil Nadu, plans to increase its visibility by rolling out 700 branches across the country in the next five years.
The company's main focus areas include gold loans, personal loans, vehicle finance and business loans. CMD Mohanan Gopalakrishnan said the company will steadily increase its presence in South India in the next three years. Indel at present has 71 branches in Kerala and 29 in Tamil Nadu. Its 100th branch was opened in Kottayam district.
Biometrics is changing the face of banking
Biometric will soon be the new norm in banking sector which will bring in a noticeable change in the mobile banking space, according to experts.
The new technology that will soon be the norm in banking is biometrics will bring in a noticeable transformation in the mobile banking space.
This technology essentially uses characteristics that are unique to an individual for identification purpose, and helps combat identity theft by replacing passwords and help in authenticating transactions.
Modi government plans cashless coup with tax incentives on electronic payments
India has unveiled plans to cut transaction costs for electronic payments, to spur retailers and consumers to use less cash, as part of Prime Minister Narendra Modi's drive to pull more people into the formal economy and boost public revenue.
Many small Indian businesses and consumers now prefer cash, to avoid high transaction costs of up to 3 percent on electronic payments, as well as to escape sales tax.
In a draft proposal posted on the finance ministry website late on Monday, the government recommended tax concessions to reduce the cost of credit, debit and online payments. The proposals will be implemented gradually after June 29.
