Bandhan Bank net profit declines 13 per cent to Rs 633 cr
January 21, 2021
×
Further provision of Rs 1,000 crore made on standard advances against the potential impact of Covid-19 Bandhan Bank has registered a 13 per cent decline in net profit at Rs 633 crore for the quarter ended December 31, 2020, as against Rs 731 crore for the same period last year on the back of higher provisioning.
During the quarter, the bank made a further provision of Rs 1,000 crore on standard advances against the potential impact of Covid-19. With this provision and an additional standard assets provision, the total additional provision in the books stands at Rs 3,119 crore.
Now, loan waiver talks worry Assam MFIs
SECTIONS
Share
Synopsis
Competitive populism by offering financial benefits to the northeastern state s 27 lakh microfinance borrowers has turned out to be major poll plank. It’s the opposition Congress which first promised waiver of loans taken from these institutions if the party is voted to power, with the incumbent Bharatiya Janata Party matching it.
Agencies
The poll promises of micro loan waiver may create short term disruptions if borrowers stop repayment again in anticipation.
INSIGHTS
NSE
Explore Now
KOLKATA: The Rs 12,000-crore microfinance industry in Assam is facing a double whammy. The promises of waiver for micro loans by political parties made in the last few days in the poll-bound state have triggered an alarm while the state assembly only recently passed the microfinance bill suggesting restrictions of certain business practices.
What lies ahead for Assam microlenders?
Microlenders operating in Assam may face an impasse following the enactment of a recent state law January 13, 2021 / 01:07 PM IST
Worried microfinance institutions (MFIs) have initiated dialogues with the Assam State government, the Reserve Bank of India (RBI) and the central government with respect to a recent state law. The law was enacted by the Assam government to control the operations of the microlenders following reports of coercive lending practices.
Certain provisions of the law, called The Assam Microfinance Institutions (Regulation of Moneylending) Bill, 2020, have put MFIs operating in the state in a tough spot. These include mandatory registration of MFIs within 30 days, collection of dues only at gram panchayat offices or at designated public places, among others.
Assam MFI Bill may hit collections in short term
January 07, 2021
Sector roiled by pandemic and natural calamities may face a repayment crisis
The Assam Micro Finance Institutions (Regulation of Money Lending) Bill 2020, which was recently passed by the Assam Assembly, is likely to create “some confusion” in the minds of borrowers and could affect collections in the region in the short term.
While the Bill is still not available in public domain, however, certain reports indicate that the key provisions of the Bill would include restriction on the deployment of collection agents, coercive collection practices and door-to-door collection; cap on the number of lenders per borrower as well as on the overall loan outstanding; and a minimum three-month loan repayment moratorium in case of natural adverse events.
Assam Congress plans ‘one family, one job’ scheme
Updated:
Updated:
Party also announces roll out of NYAY payouts for BPL families ahead of Assembly polls
Share Article
Party also announces roll out of NYAY payouts for BPL families ahead of Assembly polls
Shrugging off the loss of two MLAs to the ruling BJP, the Congress party in Assam has outlined a slew of policies, included a “one family, one job” scheme and free electricity up to 120 units, ahead of Assembly elections due early this year.
State Congress president Ripun Bora on Friday admitted that the party had received a temporary setback after Golaghat (eastern Assam) MLA Ajanta Neog and Lakhipur (southern Assam) MLA Rajdeep Goala joined the BJP in December 2020.