Bank unions call for all-India strike on August 22

The United Forum of Bank Unions (UFBU), the umbrella organisation of five employee unions and four officer unions of state-run banks in the country, has given notice of their decision to go on nationwide strike on 22 August 2017 to protest reforms in the banking sector and other issues.

 

"The UFBU has observed that instead of taking urgent remedial measures to recover the alarmingly increasing bad loans in the banks which are threatening to drive the banks into a serious crisis. Steps like memorandum of understanding (MoU), prompt corrective action (PCA), Financial Resolution and Deposit Insurance (FRDI) Bill, Ordnance on non-performing assets (NPAs), and Insolvency and Bankruptcy Code (IBC) are only aimed to clean the balance sheets at the cost of the banks, which represent hard earned savings of the people, instead of recovering money," says CH Venkatachalam, General Secretary of All India Bank Employees' Association (AIBEA).

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Bank of India swings from loss to profit in Q1

Bank of India on Wednesday reported a profit for the June quarter against loss a year ago after the lender provided less provisions against bad loans and other income jumped.

Net profit for the quarter stood at Rs87.71 crore as compared to a net loss of Rs374.97 crore a year ago. Ten analysts polled by Bloomberg had forecast a net loss of Rs83.90 crore.

Provisions and contingencies declined 19% to Rs2,245.28 crore from Rs2,770.19 crore in the same quarter last year. Quarter-on-quarter, it slumped 53% from Rs4,736.21 crore. Other income surged 30.08% from a year ago to Rs1,610.96 crore.

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Syndicate Bank reports Q1 net loss due to bad loans

Public sector Syndicate Bank on Saturday reported a net loss of Rs263.19 crore for the June quarter of the current fiscal due to sharp increase in provisions for bad loans. In comparison, it had reported a net profit of Rs79.13 crore in the June quarter of last fiscal, 2016-17.

The total income during the first quarter of the fiscal also fell to Rs6,171.49 crore, as against Rs6,419.12 crore in the year-ago period, the bank said in a regulatory filing. The bank’s provisioning to cover for bad loans jumped by 79% to Rs1,385.66 crore for the quarter under review, as against Rs774.41 crore a year ago.

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Andhra Bank Q1 profit rises 14% at Rs 40 cr

Andhra Bank has reported a 14% increase in net profit at Rs 40.42 crore for the quarter ended June 2017, largely helped by a fall in expenditure despite a growth in revenue. The net profit was Rs 31.09 crore in the same quarter previous financial year.

Total income for the bank grew 6.2 per cent at Rs 5,155.21 crore during the quarter under review helped by a steep rise in income from the treasury, as compared with Rs 4,855.50 crore in the year ago period.

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After SBI, Bank of Baroda cuts interest rates on savings accounts

Within days of SBI slashing interest rate on savings bank account, another PSU bank - Bank of Baroda - has followed suit, cutting it to 3.5 per cent on deposits of up to Rs. 50 lakh.

"We wish to inform you that it has been decided to introduce a 2-tier savings bank interest rate (from) August 5...," the bank said in a regulatory filing. Effective from Saturday, the interest rate on savings bank balance of up to Rs. 50 lakh has been reduced to 3.5 per cent from the current annual 4 per cent.

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