Group 1 - The Reserve Bank of India (RBI) has room to cut rates by 25-50 basis points due to a comfortable inflation trajectory, but is not expected to do so in the current cycle given strong Q1 GDP numbers and recent consumption boosts from GST cuts [1][6] - CPI-based inflation rose to 2.07% in August from July's eight-year-low of 1.61%, entering the RBI's medium-term target of 2-6% [1][6] - Economists expect inflation to ease further due to GST rate cuts effective from September 22, with CPI for FY26 likely lower than the RBI's estimate of 3.1% [6] Group 2 - Retail inflation for September is currently tracking at approximately 1.75%, with October potentially going below 1% due to GST cuts and base effects [6] - Growth momentum is expected to slow in H2 FY26 as support from transient factors wanes and the impact of tariffs becomes more visible [6] - There are downside risks to inflation that may leave scope for another repo rate cut in the October-December period, although this was priced out by the market after a strong GDP print [6]

Core Insights - The festive season in India is expected to drive consumer spending, with banks like Axis Bank and HDFC Bank launching special offers to capitalize on this trend [1][5][6] - The Reserve Bank of India (RBI) reported that overall bank credit growth is at 10%, down from 14% a year earlier, indicating a slowdown in major loan components [2][8] - Retail loans, which typically offer higher margins, are being targeted by banks to boost their asset base and mitigate earnings pressure during periods of reduced policy rates [8] Bank Initiatives - Axis Bank has partnered with leading brands to provide curated deals and discounts on credit cards, along with easy EMIs for large purchases [1][8] - HDFC Bank has introduced its annual 'Festive Treats' offers, collaborating with various brands across multiple sectors including apparel and travel [5][8] - ICICI Bank is set to launch its 'Festive Bonanza' offers, while Axis Bank will introduce special discounts and cashback offers aligned with GST cuts effective September 22 [6][8] Credit Growth Trends - Loan growth in agriculture and allied activities has decreased to 7% year-on-year, down from 17% a year ago, while industrial credit growth has fallen to 6% from 8% [7][8] - Mortgage growth has slowed to around 10% year-on-year in 2025, down from 18% previously, indicating a need for improvement in this segment to boost overall loan growth [9]

With all regulatory approvals in place, SMBC will conclude the deal to buy 20% stake through a secondary market transaction in this quarter. The selling banks will book proceeds as "other income". The Yes Bank Reconstruction Scheme, 2020 has a specific clause exempting banks that invested in the reconstruction from paying capital gains tax on profits from the sale of shares.Yes Bank and SMBC did not respond to ET's queries in this regard.The ₹13,483-crore ($1.6 billion) deal for 20% stake in the private ba ...

Core Insights - India1 Payments is transitioning leadership and pivoting towards digital services by launching a banking technology arm to counter sluggish ATM growth in India [1][12] - K. Srinivas, the long-time CEO, is stepping back from daily operations but will remain as executive vice-chairman to guide strategy [2][15] - The company operates over 15,000 ATMs, holding a 40% market share among white-label operators and 53% in transactions [4][5] Company Overview - India1 Payments is the largest white-label ATM operator in India, with a significant presence in semi-urban and rural areas [5][10] - The company was established through a partnership with ICICI Venture and has grown significantly since the Reserve Bank of India opened the white-label ATM space in 2013 [6][7] - In FY25, India1 reported revenues of ₹670 crore and profits of ₹35 crore, benefiting from recent policy changes regarding interchange fees [7][8] Market Dynamics - India has approximately 250,000 ATMs, with around 36,000 being white-label machines [5] - The company faces challenges as banks are reducing ATM deployments due to a shift towards digital payments, despite high cash circulation [11] - India1 aims to expand its ATM network to 20,000–25,000 ATMs in the next five years [9] New Initiatives - India1 is launching a fintech arm named Paysis, targeting smaller banks that lack the infrastructure for transaction processing [12][13] - Paysis is already servicing rural co-operative and small finance banks, managing switching and transaction services [14] - The company plans to sign up 200 co-operative banks in the next two years, capitalizing on the vast market of over 90,000 rural banks and co-operative credit institutions [15]

Group 1 - The BSE benchmark surged by 1,193.94 points or 1.47%, boosting the wealth of blue-chip companies [4][6] - The combined market valuation of eight of the ten most valued domestic firms increased by Rs 1,69,506.83 crore last week [6] - Bajaj Finance was the standout performer, with its valuation climbing by Rs 40,788.38 crore to Rs 6,24,239.65 crore [4][6] Group 2 - Infosys gained Rs 33,736.83 crore, bringing its market capitalization to Rs 6,33,773.30 crore [4][6] - Tata Consultancy Services added Rs 30,970.83 crore, pushing its valuation to Rs 11,33,926.72 crore [4][6] - Reliance Industries' market capitalization advanced by Rs 27,741.57 crore to Rs 18,87,509.28 crore, maintaining its position as the most valued firm [5][6] Group 3 - State Bank of India gained Rs 15,092.06 crore, reaching Rs 7,59,956.75 crore [4][6] - ICICI Bank rose by Rs 10,644.91 crore to Rs 10,12,362.33 crore [4][6] - HDFC Bank added Rs 6,141.63 crore to reach Rs 14,84,585.95 crore [4][6] Group 4 - Bharti Airtel's market capitalization rose by Rs 4,390.62 crore to Rs 10,85,737.87 crore [4][6] - Hindustan Unilever's valuation fell by Rs 12,429.34 crore to Rs 6,06,265.03 crore, making it one of the laggards [5][6] - LIC's valuation decreased by Rs 1,454.75 crore, slipping to Rs 5,53,152.67 crore [5][6]

Group 1 - The combined market valuation of eight of the top-10 most valued firms increased by ₹169,506.83 million last week, driven by a positive trend at the Dalal Street, with Bajaj Finance being the largest gainer [1] - The BSE benchmark rose by 1,193.94 points or 1.47 percent during the same period [1] Group 2 - Bajaj Finance's market valuation increased by ₹40,788.38 million, reaching ₹624,239.65 million [2] - Infosys added ₹33,736.83 million to its valuation, totaling ₹633,773.30 million [2] - Tata Consultancy Services (TCS) saw a surge of ₹30,970.83 million, bringing its market capitalization to ₹1,133,926.72 million [2] - Reliance Industries' valuation rose by ₹27,741.57 million, reaching ₹1,887,509.28 million [2] - State Bank of India's market capitalization climbed by ₹15,092.06 million to ₹759,956.75 million [2] - ICICI Bank's valuation increased by ₹10,644.91 million, totaling ₹1,012,362.33 million [2] Group 3 - HDFC Bank's market capitalization edged higher by ₹6,141.63 million, reaching ₹1,484,585.95 million [3] - Bharti Airtel's valuation increased by ₹4,390.62 million, totaling ₹1,085,737.87 million [3] - Hindustan Unilever's valuation decreased by ₹12,429.34 million, bringing it down to ₹606,265.03 million [3] - Life Insurance Corporation of India's (LIC) market capitalization declined by ₹1,454.75 million, totaling ₹553,152.67 million [3] Group 4 - Reliance Industries remains the most valued firm, followed by HDFC Bank, TCS, Bharti Airtel, ICICI Bank, State Bank of India, Infosys, Bajaj Finance, Hindustan Unilever, and LIC [4]

Group 1 - The Indian government aims to develop at least two public sector banks (PSBs) that rank among the top 20 global lenders by assets as part of its 'Viksit Bharat 2047' vision [4] - Currently, only State Bank of India (SBI) and HDFC Bank are in the top 100 global banks, ranked 43rd and 73rd respectively [4] - The financial performance of the 12 PSBs has improved significantly, with a cumulative net profit of Rs 1.78 lakh crore in FY25, a 26% increase from the previous year, and SBI contributing over 40% of this profit [4] Group 2 - Key discussions at the PSB conclave included strengthening corporate governance, enhancing customer experience, improving risk management, and utilizing artificial intelligence for modernization [4] - Gross non-performing assets (NPAs) have decreased to 2.58% as of March 2025, down from 9.11% in 2021 [4] - The conclave also focused on priority sector lending, particularly to agriculture and MSMEs, with non-food credit growth easing to 9.9% year-on-year in July 2025 [4] Group 3 - Discussions emphasized improving the CASA ratio, diversifying operations, and strengthening risk management to better absorb economic shocks [3] - Participants included key figures from the Department of Financial Services, SBI, Punjab National Bank, and the Reserve Bank of India [3] - The government underscored the importance of organic growth and operational autonomy for banks to achieve global scale, aiming for a significant international role by 2047 [3]

Group 1 - The PSB Manthan conclave focuses on strengthening corporate governance, enhancing customer experience, and modernizing public sector banks (PSBs) to improve global competitiveness, including the use of artificial intelligence [1][10] - The agenda includes preparing PSBs for future challenges, scaling them organically, and increasing resilience amid global uncertainties [2][10] - Key discussions involve improving the current account-savings account (CASA) ratio and boosting credit growth in priority sectors like agriculture and MSMEs [5][11] Group 2 - Credit growth has moderated, with non-food credit growth at 9.9% year-on-year in July 2025, down from 13.7%, and lending to large industries growing by less than 1% [6][11] - State-run lenders have improved financial performance, with gross NPAs reduced to 2.58% as of March 2025 from 9.11% in March 2021, and net profit increased to Rs 1.78 lakh crore from Rs 1.04 lakh crore during the same period [8][11] - The last PSB Manthan in 2022 led to a government directive for banks to create a three-year business strategy roadmap and enhance collaboration among banks [9][11] Group 3 - Under the EASErise reform agenda for FY26, PSBs will focus on strengthening risk-management systems, enhancing capacity to absorb economic shocks, and maintaining financial stability [10][11]

Core Insights - India aims to establish two globally competitive banks that rank among the top 20 lenders in the world as part of its 'Viksit Bharat 2047' vision [11] - The discussions during the PSB Manthan 2025 focused on enhancing the scale and size of public sector banks (PSBs) to achieve this goal [11] Financial Performance - The cumulative profit of public sector banks reached a record level of Rs 1.78 lakh crore in FY25, marking a 26% increase from the previous year [5][11] - In FY24, all 12 public sector banks collectively earned a profit of Rs 1.41 lakh crore, with an increase of approximately Rs 37,100 crore in FY25 [5][11] - State Bank of India (SBI) contributed over 40% of the total earnings in FY25, with a net profit of Rs 70,901 crore, a 16% increase from Rs 61,077 crore in the previous fiscal [6][11] - Punjab National Bank reported the highest net profit growth of 102% to Rs 16,630 crore, followed by Punjab & Sind Bank with a 71% rise to Rs 1,016 crore [6][11] Strategic Discussions - The meeting emphasized improving the autonomy of banks' boards to enhance efficiency in commercial decision-making [7][11] - Diversifying operations to gain expertise in other banking segments was discussed as a means for PSU banks to become globally relevant [8][11] - Challenges related to information technology, cyber-security, customer service, and grievance handling were also addressed [8][11] Historical Context - The PSB Manthan event is a continuation of previous initiatives, with the last one held in April 2022 focusing on Enhanced Access & Service Excellence (EASE) reforms [9][11]

Market Overview - Equity benchmark indices Sensex and Nifty experienced gains in early trade, driven by a global market rally and increasing expectations of a US Federal Reserve interest rate cut next week [1][3] - The BSE Sensex rose by 287.93 points to reach 81,836.66, while the NSE Nifty increased by 84.25 points to 25,089.75 [1] Company Performance - Infosys saw a 1.50% increase after announcing its largest-ever share buyback program valued at ₹18,000 crore [1] - Other gainers included Tata Motors, Maruti, Mahindra & Mahindra, Axis Bank, and Larsen & Toubro, while Hindustan Unilever, HDFC Bank, State Bank of India, and Titan were among the laggards [2] Investment Sentiment - The global stock markets are showing resilience, bolstered by new records in the US market, with bullish sentiments driven by anticipated rate cuts from the Fed [3] - A significant rise in demand for consumer durables, particularly automobiles, is expected to dominate economic news post-September 22nd, providing positive sentiment to the market [3][4] Institutional Activity - Foreign institutional investors (FIIs) sold equities worth ₹3,472.37 crore, while domestic institutional investors (DIIs) purchased stocks worth ₹4,045.54 crore [4] Oil Market - The global oil benchmark Brent crude decreased by 0.87% to $65.79 per barrel [4]