Economy and Banking Current Affairs May 2017

ESAF Small Finance Bank Kicked-off Operations

  • The newly-launched ESAF Small Finance Bank started its operations. It will offer interest rates between 5.75 and 9% for term deposits of varying maturities on March 16, 2017.
  • For savings deposits, the rates will vary from 6% to 7%, based on the outstanding balance in the account. Senior citizens will be entitled to an additional 0.05% for term deposits.
  • The bank’s ATM-cum-debit cards, official Web site and digital banking channels were also launched simultaneously.
  • In accordance with the RBI guidelines, the bank is required to open 25% of its branches in unbanked rural centres. In Kerala, it will open not less than 10 branches in such places.

SBI Launched ‘Unnati Credit Card’

  • The State Bank of India (SBI) offered credit cards to every account holder who has a balance of Rs 20000-25000. The card will be offered through a network of 20000 plus SBI branches.
  • The bank will not go into customers’ credit history and the card, which will be issued in the name of ’Unnati’, will remain free for four years.
  • ThRs SBI has approval to infuse Rs 1160 crore in the two JVs—SBI Cards and Payment Services Private Limited (SBICPSL) and GE Capital Business Processes Management Services Limited (GECBPMSL), through purchase of equity shares from GE Capital so as to Increase the bank’s stake in both the companies to 74%.

See More – State Current Affairs

World Hank Approved $210 Million for Bengal Gram Panchayats

  • The World Bank has approved a loan of $ 210 million to strengthen Gram Panchayats (GPs) across the State of West Bengal to better utilise the discretionary funds that are now available to them on March 16, 2017.
  • The State’s support under the Institutional Strengthening of Gram Panchayat Programme-Phase II (ISGPP-II), will support ail 3342 GPs in the State to effectively utilise these funds that is being provided to them under the inter-governmental fiscal transfer system.
  • The World Bank support would strengthen local communities’ participation in the planning, budgeting, and financial management of projects undertaken in rural areas, where most of the poor in the State reside. The loan has a grace period of eight years and a maturity of 15 years.

HDFC Bank Offered First Digital Loans against Securities

  • HDFC Bank Limited started offering Loan Against Securities (LAS) digitally, reducing the time to disburse a loan to a few minutes from several days earlier on March 15, 2017.
  • . The Customers can pledge shares directly through their demat accounts and give necessary approvals while applying for the loan.
  • The bank approves it instantly and the money is credited to their bank accounts, under this system. Once shares are pledged, a customer cannot sell them unless the loan against them has been cleared.
  • The average interest rate on these loans will be 10.5% and the minimum loan amount will be Rs 1 lakh. The industry practice is to give out 50% of the value of pledged shares as loan.
Default image
Mansi Agarwal

Hey, I am Mansi Agarwal - owner of this site. I am basically from Lucknow. I did B.Tech and now working as a full time blogger. Blogging is my passion and my permanent job also. If you have any suggestion for the improvement of this site then feel free to tell me. You can connect with me on FB and Twitter for more updates.

Articles: 1942

Leave a Reply

Your email address will not be published.