Dirty Banking; The Naked Dance of Indian Banks Asuras


Yesterday, 8th April 2018, PNB Chief tried to assuage investor fears by saying that it will be out of the Nirav Modi fraud in 6 months. My immediate question is “so who’s next?” Earlier we had argued why Nirav Modi in Indian banking is synonymous with ‘John Doe’, just a…

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Was The PNB Fraud Declaration A Very Well Planned Event?


We don’t want to believe this but one part for sure, Nirav Modi’s fleeing the country “just in time” needs a lot of answering. The Japanese may be cringing in their seat if they see how India adopted their “Just in Time” concept! But that’s not all! PNB raised INR…

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India: Bank Bail-In or Bail-Out! Does it really matter?


Draft FRDI (Financial Resolution & Deposit Insurance) Bill 2017 is expected to provide a comprehensive framework to deal with bankruptcy situations in financial sector entities e.g. banks, NBFCs etc. The bill was approved by cabinet for introduction in the Parliament in June 2017. The bill is creating a lot of…

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Indian Bank NPA Woes: Q2 FY18 Status Report


The Indian banking NPA woes refuses to go and despite new bankruptcy & insolvency laws, few seems to be convinced that there is a resolution in early sight. We have outlined earlier that the basic fundamental challenge we have is lack of economic growth. With a few industries (aka Telecom) reeling under…

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Indian Banks Performance in Digital Space: FY17


Digital has been the talking point in practically every discussion that banks are having today. So how many really ‘walked the talk’? Did the private banks, as expected, takes the cake or do we see a strong play by public sector banks as well? Without much ado, our analysis indicates…

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The PSB debacle continues, more to get into PCA but expect no real solution


In one of our earlier article, we highlighted that nearly 75% PSB had breached the RBI PCA threshold on one or multiple criteria. It was based on Dec/ Q3 FY17 data. Has the situation improved or have gone worse with FY17 closure? Unfortunately, the initial prognosis do-not seem good. IDBI…

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FY17 Performance; HDFC shines but declining ROA sums up the Industry concern


Key Takeaways: Revenue Performance: HDFC holds out in NIM growth. At > 20%, it’s way ahead than SBI and other large banks. Of the midsize banks, IndusInd makes it mark at 34% growth. Among the PSU, Indian bank stands tall with a very healthy increase in operating profit at 32%…

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