Interview with Rana Kapoor, Founder & CEO, YES Bank
At a time of global turbulence in the banking sector, Rana Kapoor, Founder and Chief Executive Officer YES Bank, believes further opening up of India’s banking sector to foreign players will be mutually beneficial. Read the full interview on BS
MFIN to appoint four regional ombudsmen to monitor MFI’s
The Microfinance Institutions Network (MFIN), which has 39 members, would appoint four regional ombudsmen within three months to oversee good governance in the sector, according to MFIN president and Basix chairman Vijay Mahajan.
MFIN, which was formed in December last year, held its first annual general body meeting in Hyderabad on Friday. It appointed Alok Prasad, who earlier was the country director of Citi Microfinance Group, as its chief executive officer.BS
SBI to appoint 3,000 biz correspondents in Assam
State Bank of India North-East circle has launched an ambitious programme of appointing 3,000 customer service points (CSP) of business correspondents (BC) across the rural and semi urban centres in Assam.
Tarun Gogoi, chief minister of Assam, launched the programme in Titabar on June 30 for 1,500 such business correspondents in the state. The scheme envisages loans from SBI for all technology devices and infrastructure required for setting up kiosks of BCS. The state government has come forward to extend support by offering subsidy to the identified CSP operators under employment generation schemes.BS
HDFC Bank set for rural push
The country’s second largest private sector lender, HDFC Bank, plans to capitalise on its acquisition of Centurion Bank of Punjab and deepen its presence in rural India.
“It is our intention to enter rural areas and we intend to use a combination of business correspondents and telephone banking,” HDFC Bank Managing Director Aditya Puri told shareholders at the lender’s annual general meeting. He added that the bank would be entering into an agreement with a partner to set up a delivery model for telephone banking in rural India. BS
Faceless banking can be intimidating: RBI Governor Subbarao
Technology cannot substitute brick and mortar branches and absence of the human touch can be intimidating, the Reserve Bank of India (RBI) Governor D Subbarao has reminded banks. BS
RBI blinks, to keep farm loans outside base rate
The Reserve Bank of India (RBI) has assured banks it will keep agriculture loans outside the base rate ambit. The base rate guidelines, issued in April, had barred lending below base rate, except for three categories: loans to banks’ own employees, loans against deposits and small-ticket borrowers under the differential interest rate (DRI) scheme.
The addition of the fourth category means agriculture loans can also be priced below the base rate. The RBI assurance comes at a time when it has been talking about deregulation of savings rates.BS
Microfinance rides into Dalal Street
An office earlier occupied by B. Ramalinga Raju, the disgraced Chairman of tech services vendor Satyam Computer Services, who is being investigated for the country’s biggest accounting fraud, can hardly be a sought-after launch pad for an initial public offer, or IPO; that too an offering that is the first in its industry. But, when you are Vikram Akula, Founder and Chairperson, SKS Microfinance, you don’t quite care. BT