Sunday, September 27
Mumbai: Bank lending in India continues to remain rather circumspect despite a reduction of a full percentage point in policy rates this year. Lending rose 9.6% year-on-year until mid-June, compared with 19.1% a year ago. Loans to large corporates, home loans and loans to NBFCs continue to remain soft. Credit to large corporations has risen 1% in May compared to 7.1 % a year ago. Even home loans rose 9% compared to 38.7% a year ago, showed the Reserve Bank of India's (RBI) latest data on sectoral deployment of bank credit. These two segments alone comprise 31% of the banking sector's non-food credit portfolio of ₹183 lakh crore as of end May.Loans to NBFC have failed to pick up even after the Reserve Bank rolled back higher risk weights on them. Loans to NBFcs contracted 0.3% compared to
Tata Group is in talks to buy out other shareholders in Resurgent Power Ventures Pte, according to people familiar with the matter.Tata Power Co., which owns a 26% stake in Singapore-based power generation and transmission firm Resurgent through a subsidiary, is working with an adviser to help buy the stakes held by ICICI Venture Funds Management Co., Kuwait Investment Authority and Oman Investment Authority, the people said, asking not to be identified because the talks are confidential.ICICI Venture, KIA and OIA, which hold 74% in Resurgent, are seeking a valuation of about $2.1 billion for the whole company, including debt, the people said. Discussions are ongoing and there’s no certainty that an agreement will be reached, they said. Representatives for Tata Power, ICICI Venture and O
