Lockdown 2.0: Coronavirus-hit units get Rs 10,000 crore from banks

Banks have built internal capacities for assisting companies, including micro, small & medium enterprises (MSMEs).

Ahead of finalising the package for industries hit by Covid-19, the Union finance ministry reviewed support extended by large public sector banks (PSBs), including via the emergency credit line, to affected firms. State Bank of India (SBI) and Bank of Baroda (BoB) have together sanctioned close to Rs 10,000 crore as immediate credit assistance to the affected units. PSB executives said this was a regular review with top officials of large banks, including SBI. There was also discussion on working capital re-assessment.

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have built internal capacities for assisting companies, including micro, small & medium enterprises (MSMEs). Feedback from interactions is expected to act as an input for policies that are in works.However, it is not clear when the package would be finalised, officials said. A SBI executive said the bank is giving these emergency loans to those in need. It does not involve elaborate scrutiny. Only thing is that borrowers have to establish the Covid impact.

Banks on 2-day nation-wide strike from today: Here's how it will affect you

The two-day nationwide bank strike on May 30 and 31 will hit banking operations and might lead to cash-crunch across the country

 

 

Employees and officers of various public sector banks across the country are on a two-day strike starting today to protest a nominal 2 per cent wage hike offered by the Indian Banks' Association (IBA).

The strike is expected to hit bank customers hard as it may disrupt month-end salary credit operation. Further, the bank strike could trigger a country-wide cash crunch as ATMs of most banks would not be replenished in the next two-days. Several ATMs might even remain closed during the strike as security guards employed in these ATMs are also likely to participate in the protest.

Owing to the strike, operations such as clearing of cheques, money transfer, cash remittances, and deposit and withdrawals at branches will not be possible in the next two days.

Why are bank unions protesting:

The United Forum of Banking Unions (UFBU), an umbrella body of nine bank unions, has demanded early wage review settlement, sufficient increase in salary and improvement in other service conditions and wage revision settlement for all officers up to scale VII.

In the last wage revision in 2012, which was for the period between November 1, 2012, and October 31, 2017, bank employees got a 15 per cent wage hike and AIBOC Joint General Secretary Ravinder Gupta said the unions were expecting a better salary increase this time....Read More

ATM transactions may get costlier as operators seek hike in inter-bank fees

The representation is being led by National Payments Corp of India after meetings were conducted separately for private and public sector lenders

 

 

economy news: In a move that might potentially add some more burden on the common man, the automated teller machine (ATM) operators, especially those of the private banks, are demanding a raise in inter-bank charges for ATM transactions, citing demonetisation, an increased cost of operating the channel, and fewer withdrawals.

The representation is being led by the National Payments Corp of India (NPCI) after meetings were conducted separately for private and public sector lenders.

The inter-bank fee is charged by one bank from another for use of its ATMs by the customers of the other. Any raise in this leads to increased cost burden for banks with smaller ATM networks. If banks pass on part of this cost to consumers, the number of free ATM transactions they are allowed to make in a month at their bank or other banks' ATMs might get reworked.

Also read : No charges on debit card transactions up to Rs 2,000: FinMin

According to a Livemint report, the demand for raising the rate is being led primarily by private sector banks. Some large public sector banks are against an increase as it would lead to higher costs for them.

A banker from one such large public sector bank was quoted as saying that their charges were already high and if they increased it further, they would be bound to lose. Once they have ascertained the costs, they would discuss it with the stakeholders and fix the rate, he added.

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