Volume XXX Number 44 August 3, 2015

Weeklies

BI – Business India

BusW – Business World

BusT – Business Today

CMar – Capital Market

EPW – Economic and Political Weekly

SE – Southern Economist

Eco – Economist

For(Asia) – Fortune AsiaCI – Corporate India

Newspapers

BS – Business Standard

ET – Economic Times

FE – Financial Express

FT – Financial Times

H – Hindu

HBL – Hindu Business Line

HT – Hindustan Times

IE – Indian Express

TI – Times of India

Mint – Mint

Classifications

Economy Banking Agriculture & Rural Development Industry Small Scale Industry

International Economics Labour & Personnel Management Management Miscellaneous Books

CONTENTS

A. ECONOMY 1

B. BANKING 2

C. AGRICULTURE & RURAL DEVELOPMENT 15

D. INDUSTRY 15

E. SMALL SCALE INDUSTRY 16

F. INTERNATIONAL ECONOMICS 16

G. LABOUR & PERSONNEL MANAGEMENT 16

H. MANAGEMENT 16

I. MISCELLANEOUS 17

– 1 –

BANKERS' BRIEF Vol. XXX No. 44 August 03, 2015

ECONOMY"A hard time for hard assets in India: A sharp fall in gold and home prices will be good news for

India's economy" – The correction in gold and real estate prices is welcome if it alters savings behaviourin India. A view. – (Mint Jul 24, 2015 p 30)

"Macroeconomic snapshot" – A graphical report. – (Mint Jul 27, 2015 p 6)

EMPLOYMENT"Employment generation not in sync with GDP growth" – Rise in India GDP has not resulted in a proportional

rise in job creation. A report by DBS shows that India has not been able to capitalise on the demographicdividend as it has not used labour efficiently. A report. – (IE Jul 28, 2015 p 13)

FOREIGN DIRECT INVESTMENTKelkar, Swanand and Hattangadi, Amay – "One swallow doesn't a summer make" – India is an attractive

FDI destination now but the government needs to do more to sustain big inflows. An article. – (Mint Jul 27,2015 p 31)

FOREIGN EXCHANGE RESERVES"Forex reserves down $1.03 bn" – India's forex kitty shrunk by $1.03 billion to $353.33 billion on the back of

a dip in the core currency assets, according to the Reserve Bank. Total reserves had slipped by a marginal$156.9 million to $354.360 billion in the previous reporting week. Foreign currency assets, the biggest part ofthe reserves, were down 9821 million to $328.93 billion for the week ended July 17. The country's goldreserves remained unchanged at Rs.19.074 billion. The special drawing rights with the International MonetaryFund were down by $39.6 million to $4.018 billion in the week under review, while India's reserve positionwith the Fund also decreased by $12.8 million to $1.303 billion, according to the apex bank. – (BS Jul 25, 2015 p 3)

GSTKumar, Arun – "Macroeconomic aspects of goods and services tax" – The introduction of the goods and

services tax may indeed be the biggest reform of taxation so far, but the proposal, as it stands, has led toconfusion. Certainly, the myriad taxes producers face will be simplified. But the benefit will go to large-scaleproducers while the small-scale ones will be at a greater disadvantage than before. The cascading effect willbe reduced but not eliminated. With resort to revenue neutrality, prices and costs will not decline. A 'revenueneutral rate' will, however, be difficult to calculate and will be controversial, given the variety of taxes beingreplaced. The adoption of a fixed revenue neutral rate for all stages of production and distribution will lead toa rise in the prices of basic and intermediate goods, as also of services, making the introduction of GSTinflationary, unless this problem is specifically addressed. An article. – (EPW 50(29) Jul 18, 2015 pp 26-30)

POVERTYChandrasekhar, Rajeev – "Maximum governance for tackling poverty: JAM, Mudra Bank, Make-

in-India and Digital India can work together to do this" – An article. – (FE Jul 25, 2015 p 8)

George, Siddharth and Subramanian, Arvind – "Transforming the fight against poverty: The threeelements of JAM are a potential game-changer" – Now these programs have the potential for makinga serious dent in poverty in India. Under the acronym JAM - Jan Dhan, Aadhaar, Mobile - a quiet revolutionof social welfare policy is unfolding. Jan Dhan is Prime Minister Narendra Modi's flagship program to givepoor people access to financial services, including bank accounts, credit and insurance. Aadhaar is theinitiative to issue unique biometric identification cards to all Indians. Together with mobile money platforms,they will enable the state to transfer cash directly to those in need - without the money going throughintermediaries that might take a cut. With the poor protected, market forces can be allowed to allocateresources with enormous benefits for economywide efficiency and productivity enhancement. An article.– (FE Jul 24, 2015 p 10)

– 2 –

POVERTY ALLEVIATION

– NITI AAYOG

"NITI Aayog likely to draw the line on poverty: Move seen as yardstick to measure efficacy ofgovernment schemes" – A high-powered taskforce on poverty elimination, constituted under vice-chairmanof NITI Aayog Arvind Panagariya, is expected to favour the need for a poverty line for comparing theirimpact of government programmes on the lives of lower strata of society over a period of time. However, thetaskforce is likely to leave the responsibility of calculating that number open-ended. A report. – (BS Jul 27,2015 p 4)

BANKING

ALLAHABAD BANK"Allahabad bank celebrates 151 years of service to the nation" – Allahabad bank, a premier National

Bank of the country currently celebrating 151 years of service to the nation has launched the Mudra Card, aspecialized card for loan under Pradhan Mantri Mudra Yojana (PMMY), by Shri Rakesh Sethi, the Chairmanand Managing Director of Allhabad Bank. – (Mint Jul 24, 2015 p 23)

"Allahabad Bank net surges 30%, asset quality improves" – Allahabad Bank reported over 30% y-o-yjump in net profit to Rs.146.86 crore in the June quarter against Rs.112.72 crore in the same period last yearon the back of lower employee cost and tax expenses. The operating profit rose 1.8% y-o-y to Rs.1,241.50crore and the total income was down 2% to Rs.5,396.44 crore. Net interest income (NII) de-grew 1.4% toRs.1,587.11 crore, while other income registered 2% y-o-y growth at Rs.478.45 crore. The provisions towardsbad loans and contingencies rose to Rs.854.79 crore against Rs.851.94 crore in the year-ago period. Thegross non-performing assets (NPA) in absolute terms rose from Rs.7,619.06 crore to Rs.7,987.44 crore. Areport. – (FE Jul 30, 2015 p 10)

"Allahabad Bank: Reviewed financial results for the quarter ended 30th June, 2015" – An advertisementfeature. – (HBL Jul 30, 2015 p 3)

ANDHRA BANK"Andhra Bank Q1 net up 89% to Rs.203 crore" – Andhra Bank said its net profit for the quarter ended

June 30 grew by 89% to Rs.203 crore on the back of low deposit cost. Net profit during the same quarterduring last year was at Rs.107 crore. The bank's total income increased by 7.7% to Rs.4,529 crore during thequarter under discussion against Rs.4,205 crore in Q1 of FY 15, according to Satish Kumar Kalra, ExecutiveDirector of the bank. – (FE Jul 26, 2015 p 3)

"Andhra Bank: Financial results for the quarter ended 30th June, 2015" – An advertisement feature. –(HBL Jul 27, 2015 p 3)

AXIS BANK"Axis Bank Ltd.: Unaudited financial results for the quarter ended 30th June, 2015" – An advertisement

feature. – (ET Jul 25, 2015 p 4)

"Axis Bank profit up despite rise in provisions" – Axis Bank Ltd, India's third largest private-sector bankby assets, reported a better-than-expected net profit increase of 19% for the three months ended 30 June, asgains in treasury income and faster loan growth helped counter higher provisions. Net profit rose to Rs.1,978crore, or Rs.8.27 per share, from Rs.1,667 crore, or Rs.7.06 per share, a year ago. A report. – (Mint Jul 25,2015 p 5)

"Axis Bank signs $200-m loan pact with ADB" – Axis Bank signed a $200-million, seven-year bilateral loanagreement with the Asian Development Bank. The loan will help bolster Bank's efforts to improve farmefficiency by extending customised and affordable agriculture credit, that will help leverage its semi-urbanand rural branch network to deliver agriculture credit, the city-headquartered lender said in a statement.– (FE Jul 28, 2015 p 10)

– 3 –

"Debt burden takes a toll...: May invoke guarantees, Axis Bank warns Essar Co" – Bankers areslowly running out of patience. Axis Bank has told an offshore company of Essar group that the bank mayhave to invoke guarantees if the account is not regularised and debts are not serviced on time. One of theoverseas branches of Axis Bank has credit exposure of more than $100 million to Peak Trading. A report.– (ET Jul 27, 2015 p 1)

"Expect loan growth of 18-20% in FY16" – Excerpts from an interview with Sanjeev K Gupta, executivedirector (corporate centre) & CFO, Axis Bank and V Srinivasan, executive director-corporate banking, AxisBank. Axis Bank, which declared its Q1 result, expects accretion to stressed assets in FY16 to be lower thanlast year. The bank expects net interest margin to remain above its medium-term guidance. – (FE Jul 25,2015 p 10)

Krishnan, Ravi – "Axis Bank: asset quality woes persist despite core performance" – An article.– (Mint Jul 27, 2015 p 22)

BANDHAN BANK"Microfinancier Bandhan banking on people's trust" – Bandhan will roll out its banking operations from

August 23. A report. – (BS Jul 27, 2015 pp 1, 4)

BANK OF BARODA"RBI lifts curbs on buying of BoB shares by FIIs" – The Reserve Bank has removed restrictions placed

on foreign investors to buy shares in public sector lender Bank of Baroda, as the said limit has gone belowthreshold. The aggregate share holdings by Foreign Institutional Investors (FIIs)/Registered Foreign PortfoliosInvestors (RFPIs)/NRI/Persons of Indian Origin (PIO) under Portfolio Investment Scheme in BoB havegone below the prescribed threshold caution limit, RBI said in a notification. – (FE Jul 24, 2015 p 12)

– MSMEs

"BoB sets MSME lending target of Rs.75,000 crore" – Bank of Baroda set a lending target of Rs.75,000crore for micro, small and medium enterprises (MSMEs) for 2015-16, a jump of 20 per cent over the previousyear. Bank advances to the MSME sector were Rs.62,000 crore in 2014-15. The bank recently organised ameet in Ahmedabad for MSME entrepreneurs to appraise benefits given by BoB to the sector. The bank saidconsolidated net profit for 2014-2015 declined 21 per cent at Rs.3,911 crore against Rs.5,000 crore during2013-14. – (BS Jul 25, 2015 p 3)

BANK OF INDIA"Bank of India net tumbles 84% on higher provisions" – Bank of India (BoI) reported an 84% drop in its

net profit to Rs.129.72 crore for Q1FY16 on the back of higher provisioning. The bank had reported a loss ofRs.56.14 crore in the previous quarter. Net interest income (NII) rose 8.42% to Rs.2,912.68 crore on a year-on-year basis. On a sequential basis, the figure rose 2.33%. Net interest margin (NIM) rose to 2.52% in thefirst quarter compared to 2.24% in the previous quarter. A report. – (FE Jul 29, 2015 p 10)

"Bank of India: Reviewed financial results for the quarter ended 30th June, 2015" – An advertisementfeature. – (BS Jul 29, 2015 p 14)

BANK OF MAHARASHTRA"Awarded as best bank-public sector in BFSI awards-2015" – Bank of Maharashtra a Premier Nationalized

Bank was conferred a BEST BANK-PUBLIC SECTOR in BFSI Awards-2015 by World HRD Congress inrecognition of the Best performances in Banking Category. – (FE Jul 28, 2015 p 20)

"Bank of Maharashtra plans to raise Rs.4,000 crore" – Bank of Maharashtra is planning to raise fundsaggregating Rs.4,000 crore over the next five years via capital infusion from the Government and the capitalmarkets, according to Sushil Muhnot, Chairman & Managing Director of the bank. – (HBL Jul 27, 2015 p 13)

– 4 –

CATHOLIC SYRIAN BANK"Catholic Syrian Banks gets new MD" – The Board of Catholic Syrian Bank Board has appointed Anand

Krishnamurthy as the Managing Director and Chief Executive Officer, pursuant to the RBI approval.– (HBL Jul 24, 2015 p 10)

CENTRAL BANK OF INDIA"Central Bank signs MOU with NSDC" – Central Bank of India signed MOU with National Skill Development

Corporation (NSDC) at Delhi. The tie-up arrangement between Bank and NSDC will help in makingarrangements for distribution of monetary rewards to the trainees under 'Pradhan Mantri Kaushal VikasYojana'. The MOU was signed by K K Taneja, FGM, Central Bank and Atul Bhatnagar, COO, NSDC.– (ET Jul 27, 2015 p 8)

DENA BANK"Dena Bank to sell small-ticket bad loans to ARCs" – For the first time, mid-sized state-run Dena Bank is

planning to sell small ticket non-performing assets of up to Rs.2 lakh to asset reconstruction companies(ARCs) in the current quarter. The bank has been selling big-ticket non-performing loans to the ARCs untilnow. – (FE Jul 29, 2015 p 10)

FEDERAL BANK"Appointment" – CA. Nilesh Shivji Vikamsey has been appointed as the Part-Time Chairman of Federal

Bank as approved by RBI. CA. Vikamsey succeeds Prof Abraham Koshy, who retired from the Board ofFederal Bank on 17th May on completion of his term of 8 years. – (ET Jul 27, 2015 p 8)

HDFC BANK"HDFC Bank eyes clients for e-tailing on its site" – HDFC Bank is working on an ambitious plan to get

the thousands of 'vintage businesses', which are its customers, to sell their wares on a new online platformthat the bank will launch in a couple of weeks. The products will be made available to three crore depositors.A report. – (TI Jul 25, 2015 p 18)

"HDFC Bank pins macro plans on micro ATMs: Seeks to increase rural enrolments by introducinge-KYC" – HDFC Bank is set to expand its micro ATM operations further, boosting new customer enrolmentsonline through Aadhaar cards. Starting October 2014, India's second-largest private sector bank has beenusing micro-ATMs to authenticate the personal information of prospective customers in remote areas. This isdone in less than a minute, requiring just the customer's Aadhaar number and finger impression, thereby doingaway with physical documentation to conform to the Know Your Customer (KYC) guidelines. A report.– (HBL Jul 28, 2015 p 6)

IDFC BANK"IDFC gets banking licence, plans to begin operations from October: New bank will have three

verticals" – Starting October 1, consumers will get one more option in the highly competitive banking space.IDFC Bank will commence its operations with 23 branches and a balance sheet size of about Rs.60,000crore after the central bank granted it a banking licence. According to Rajiv B Lall, Vice-Chairman &Managing Director (designate) of IDFC Bank, the new bank will operate three verticals - corporate banking,which will leverage existing corporate relationships to expand retail banking, rural banking and urban consumerbanking. IDFC Bank will have fewer branches than others because it will rely more on technology to connectwith the customers. A report. – (HBL Jul 25, 2015 p 1)

INDIAN BANK"Bank to e-auction pledged properties" – With a view to recovering bad loans, Indian Bank is planning to

hold online auction of pledged properties related to sticky loans next month. – (FE Jul 24, 2015 p 12)

– 5 –

"Indian Bank net ip 4% at Rs.215 cr" – Indian Bank posted a 4% increase in profit at Rs.215 crore for thefirst quarter of FY16, up from Rs.207 crore in the year-ago period. Total income of the bank stood atRs.4,494 crore against Rs.4,144 crore last year, a growth of 8.4%. As on June 30, 2015, the bank's grossNPAs stood at 4.65% and net NPAs at 2.62%. In absolute terms, gross NPAs rose to Rs.5,815.14 crorefrom Rs.4,722.87 crore. In percentage terms, it rose to 4.65% from 4.01%. Domestic Casa deposits grew15.48% to Rs.49, 452 crore of which savings bank deposits grew 15.88% to Rs.42,294 crore. – (FE Jul 24,2015 p 12)

"Indian Bank: Reviewed financial results for the quarter ended 30th June, 2015" – An advertisementfeature. – (HBL Jul 24, 2015 p 1)

INDIAN OVERSEAS BANK"CARE downgrades IOB bond issues" – Indian Overseas Bank (IOB) has informed the stock exchanges

that rating agency CARE has revised downwards its ratings for IOB Tier-I and Tier-II bond issues. – (HBLJul 30, 2015 p 6)

"Indian Overseas Bank: Unaudited (Reviewed) financial results for the quarter ended 30th June2015" – An advertisement feature. – (BS Jul 27, 2015 p 12)

"IOB net nosedives 95% in Q1" – Indian Overseas Bank (IOB) has reported a 94.56% drop in its net profitat Rs.14.76 crore for the first quarter as compared to Rs.271.72 crore in the same quarter previous fiscal.The total income in the quarter has increased to Rs.6,672 crore from Rs.6,285 crore, registering a growth of6.16%. – (FE Jul 26, 2015 p 3)

INDUSIND BANK"IndusInd Bank completes RBS deal: Purchases Rs.4,100-cr diamond, jewellery loan portfolio" –

IndusInd Bank has completed the acquisition of Royal Bank of Scotland (RBS) diamond and jewellery loanportfolio. The acquired loan portfolio is approximately Rs.4,100 crore, according to the IndusInd Bank statement.– (HBL Jul 28, 2015 p 6)

KARNATAKA BANK"Karnataka Bank to focus on credit expansion, low-cost deposits" – Credit expansion and CASA (current

account savings account) mobilisation will be the focus areas for Karnataka Bank in the coming quarters.Addressing the regional heads to review the performance of the bank during the first quarter, P JayaramaBhat, Managing Director and Chief Executive Officer, said that the augmentation of credit with an eye onasset quality shall continue to be the focus area for the bank during the ensuing quarters of the currentfinancial year. The bank will also give emphasise on effective monitoring of credit and increasing CASAdeposits. – (HBL Jul 27, 2015 p 18)

KARUR VYSYA BANK"KVB launches centenary celebrations with new logo: Bank to sharpen focus on SMEs" – Karur

Vysya Bank (KVB) has kick-started its centenary celebrations by unveiling a centenary logo. At a functionheld in Karur last week, GMR Group Chairman G M Rao unveiled the logo. – (HBL Jul 29, 2015 p 10)

LAKSHMI VILAS BANK"The Lakshmi Vilas Bank Ltd: Unaudited financial results for the quarter ended 30th June, 2015" –

An advertisement feature. – (HBL Jul 24, 2015 p 11)

"LVB net up 43% at Rs.40.25 cr" – Lakshmi Vilas Bank reported a 42.98 per cent jump in net profit atRs.40.25 crore for the first quarter ended June 30, against Rs.28.15 crore during the corresponding period inthe previous financial year. Total income moved up to Rs.693.05 crore, an increase of 18.39 per cent againstRs.585.36 crore in the year-ago period. Gross non-performing assets (NPA) ratio stood at 2.72 per centagainst 3.96 per cent in the corresponding quarter, a year earlier. Net NPA during the quarter were at 1.72per cent. – (FE Jul 24, 2015 p 12)

– 6 –

ORIENTAL BANK OF COMMERCE"Moody's downgrades OBC's baseline credit assessment" – Global rating agency Moody's has downgraded

Oriental Bank of Commerce (OBC)'s baseline credit assessment on deterioration in asset quality in FY15.The adjusted baseline credit assessment of the public sector lender stands at 'ba3' against the previousassessment of 'ba2'. – (BS Jul 24, 2015 p 6)

PUNJAB NATIONAL BANK"PNB identifies 400 wilful defaulters; to sell Rs.3,000-cr NPAs" – Saddled with bad loans, PNB said it

has reported to RBI 400 defaulters and plans to sell NPAs worth up to Rs.3,000 crore to ARCs in the currentfiscal. 400 accounts are there (wilful defaulters) which we have reported to RBI so that it (list) can updatedon website of RBI, according to Gauri Shankar, ED (with additional charge of MD & CEO), Punjab NationalBank. A report. – (FE Jul 29, 2015 p 10)

"PNB net declines 49%, asset quality improves" – Punjab National Bank (PNB) posted a 49% fall in netprofit to Rs.721 crore in the June quarter on higher provisioning. The lender reported a net profit of Rs.1,405crore in the June quarter last year and Rs.307 crore in the Q4 of FY15. The PNB stock, however, rose owingto better asset quality than in Q4 of FY15. A report. – (FE Jul 29, 2015 p 10)

"Punjab National Bank: Financial results (reviewed) for the quarter ended 30th June, 2015" – Anadvertisement feature. – (FE Jul 29, 2015 p 1)

Merchant, Krishna – "Too early to say if PNB is out of the woods" – An article. – (Mint Jul 29, 2015 p 18)

STATE BANK OF HYDERABAD"SBH net up 10.6% in first quarter" – State Bank of Hyderabad (SBH) has posted 10.6 per cent increase

in net profit at Rs.251.45 crore in the first quarter ended June 30, 2015 compared with Rs.227 crore in thecorresponding quarter of the previous financial year. This was driven by 11 per cent growth in net interestincome at Rs.1,108 cr and 16 per cent growth in other income at Rs.278 crore, among others, according tothe bank. Net interest margin edged up by 6 bps to 3.08 per cent. Gross non-performing assets declined fromRs.6,174 crore (6.26 per cent) in June 30, 2014 to Rs.5,482 crore (5.14 per cent) in June 30, 2015. – (HBL Jul29, 2015 p 10)

"State Bank of Hyderabad: Unaudited financial results for the quarter ended 30th June, 2015" – Anadvertisement feature. – (Mint Jul 25, 2015 p 13)

STATE BANK OF INDIA"State Bank wants to manage your wealth now" – State Bank of India, which is competing with private

sector peers in digital banking, will venture into wealth management, one of the most profitable businessinitiatives of private and foreign banks. The bank is also tapping talents through lateral placements. SBIchairman Arundhati Bhattacharya has confirmed the development. – (ET Jul 30, 2015 p 10)

STATE BANK OF PATIALA"State Bank of Patiala: Reviewed financial results for the quarter ended 30th June, 2015" – An

advertisement feature. – (FE Jul 24, 2015 p 25)

STATE BANK OF TRAVANCORE"SBT net rises 62.5%" – State Bank of Travancore posted a 62.54 per cent rise in net profit to Rs.81.32

crore during the first quarter ended June 30, 2015, up from Rs.50 crore in the corresponding year-ago period.– (HBL Jul 25, 2015 p 11)

"State Bank of Travancore: Unaudited (reviewed) financial results for the quarter ended 30th June,2015" – An advertisement feature. – (HBL Jul 25, 2015 p 16)

– 7 –

SYNDICATE BANK"Syndicate Bank net down 38% to Rs.302 cr" – Syndicate Bank reported a 38% y-o-y decline in net profit

to Rs.302 crore for the first quarter ended June from Rs.485 crore in the corresponding quarter last year.Total income of the bank went up 14.5% to Rs.6,323 crore from Rs.5,523 crore a year ago. Operating profitincreased marginally by 2.5% to Rs.1,040 crore. In the same quarter last year, the operating profit stood atRs.1,014 crore. A report. – (FE Jul 29, 2015 p 10)

"Syndicate Bank: Unaudited (reviewed) financial results for the quarter ended 30th June 2015" – Anadvertisement feature. – (FE Jul 29, 2015 p 24)

UNION BANK OF INDIA"Union Bank of India: Reviewed financial results for the quarter ended 30.06.2015" – An advertisement

feature. – (HBL Jul 29, 2015 p 3)

"Union Bank profit dips 22%" – Union Bank of India reported a 22% decline in net profit at Rs.518.78 crorefor the first quarter ended June 30. The bank had a net profit of Rs.664.11 crore in the April-June quarter of2014-15 fiscal. Total income of the bank increased to Rs.9,043.17 crore during the first quarter from Rs.8,547.56crore in the three month period of 2014-15 fiscal. A report. – (FE Jul 29, 2015 p 10)

VIJAYA BANK"Vijaya Bank launches V-Mudra Card" – Vijaya Bank, under the aegis of Pradhan Mantri Mudra Yojana,

has launched the V-Mudra Card that provides pre-approved credit to micro-entrepreneurs for meeting theirworking capital needs. The card was launched by SIDBI CMD Kshatrapati Shivaji in the presence ofKishore Sansi, MD and CEO of Vijaya Bank. The product is aimed at small street vendors and hawkers whoare outside the purview of formal finance. – (HBL Jul 28, 2015 p 6)

YES BANK"Strong interest income boosts YES Bank Q1 net: Profit up 28% despite higher provisioning for bad

loans" – YES Bank reported a 28 per cent rise in net profit for the first quarter ended June 2015, driven bystrong net interest income and other income, and despite a rise in provisions for bad loans. The mid-sizedprivate lender net profit stood at Rs.551 crore, compared with Rs.432 crore in the year-ago quarter. A report.– (HBL Jul 30, 2015 p 6)

"YES Bank inks MoU with Army for salary A/c" – YES Bank signed a memorandum of understanding withthe Indian Army to renew their salary account agreement. – (FE Jul 25, 2015 p 10)

"YES Bank: Unaudited financial results for the quarter ended June 30, 2015" – An advertisementfeature. – (HBL Jul 30, 2015 p 5)

Merchant, Krishna – "YES Bank maintains high growth, low credit costs in June quarter" – An article.– (Mint Jul 30, 2015 p 18)

GREECE"Debt conundrum to keep Greek banks in months-long freeze" – The condition of banks is getting more

critical as a euro 420 weekly limit on cash withdrawals chokes the economy. A report. – (Mint Jul 27, 2015p 26)

"The reopening of Greek banks: The long march to normality" – Rebuilding confidence in the banks isbound to be hard. An article. – (Eco 416(8948) Jul 25, 2015 p 57)

JAPAN"Low interest rates help Japan lenders retake top spot in cross-border loans" – Japanese banks have

renewed their dominance of cross-border lending on the back of a two-year splurge triggered by the 'Abenomics'growth programme named after Shinzo Abe, Japan prime minister. But their resurgence could prove short-lived. If Japanese interest rates rise from historically low levels, banks there could lose their enthusiasm forlending abroad and their pricing advantage, according to the analysts. A report. – (FT Jul 29, 2015 p 14)

– 8 –

USA"Small banks in America: Bank free or die" – The opening of a new bank in America provides hope that

more will follow. An article. – (Eco 416(8948) Jul 25, 2015 pp 57-59)

Silverman, Gary – "Bring on the revolution in banking culture" – We all need a kick in the trousers fromtime to time and that's why I think that bankers in the US should be thankful - yes, thankful - for the regulatorsat the Consumer Financial Protection Bureau, a federal agency created by the Dodd-Frank financial reformlegislation that President Barack Obama signed into law five years ago this week. An article. – (FT Jul 25,2015 p 7)

ASSET RECONSTRUCTION COMPANIES"Arcil chief says regulation must be loosened up to raise capital: ARCs unable to attend many auctions

due to funds constraint" – At a time when banks are coping with increasing bad loans, asset reconstructioncompanies (ARCs) need more regulatory leeway to raise foreign and alternative investment funding to buyloans, according to Vinayak Bahuguna, Chief, Asset Reconstruction Company India (Arcil). A report.– (HBL Jul 24, 2015 p 10)

BANK CAPITAL

– PUBLIC SECTOR BANKS

"PSBs can raise funds from market: Sinha" – With capital needs for public sector banks pegged at Rs.2.39lakh crore over the next four years, the Finance Ministry said they have been allowed to raise funds frommarket to meet capital requirements. Last year, the government had allowed PSBs to raise up to Rs.1.60 lakhcrore from markets by diluting government holding to 52 per cent. – (FE Jul 25, 2015 p 10)

BANK LENDING

– JAMMU & KASHMIR

Vageesh, N S – "Bank credit in Jammu & Kashmir could see a drop" – Court ruling against enforcementof SARFAESI makes recovery tougher for lenders. Bank credit is critical for J&K, with its history of atroubled political and business climate. An analysis. – (HBL Jul 28, 2015 p 6)

– MSMEs

"7 PSU banks miss small sector lending targets" – As many as seven state-owned banks including theState Bank of India have failed to meet the set targets on lending towards the micro, small and mediumenterprises sector. Besides SBI, Bank of India, Allahabad Bank, Indian Bank, Corporation Bank, OrientalBank of Commerce and UCO Bank are also lagging in meeting their targets in disbursing credit to theMSMEs. A report. – (HT Jul 24, 2015 p 17)

– REALTY SECTOR

"Lending to real estate slows down" – Banks have reduced exposure to the commercial real estate sectoras it struggles with rising inventory. A report. – (BS Jul 24, 2015 p 6)

COOPERATIVE BANKING

– SARASWAT COOPERATIVE BANK

"Saraswat Bank eyes Rs.50,000 crore in business" – Saraswat Cooperative Bank expects to cross the Rs.50,000-crore mark in terms of total business conducted by the end of March 2016, according to Shashikant Sakhalkar,Chairman. – (HBL Jul 28, 2015 p 6)

– 9 –

CREDIT INFORMATION

– CREDIT SCORE

Merwin, Radhika – "Build a good credit score" – If you haven't taken loans, banks may hesitate to offercredit. Here how to break out of this chicken and egg situation. An article. – (HBL Jul 27, 2015 p 8)

CREDIT RISKSingenellore, Rajan – "Understanding credit risk in India" – Publicly traded firms in India generally do

better in terms of credit default risk compared with their peers in Asia. An article. – (Mint Jul 24, 2015 p 31)

CYBER FRAUDSScannell, Kara and Chon, Gina – "When 95% isn't good enough" – Facing relentless pressure from

cyber attacks, banks have poured hundreds of millions of dollars into securing their computer networks. Butthe number of hacks - and the losses they cause - is still rising. An article. – (FT Jul 29, 2015 p 5)

DIGITAL CURRENCY"The rise of virtual currencies" – It all started with block chain, a distributed database that could authenticate

transaction, and Bitcoin was born in 2009, the world first widely-traded crypto currency. Since then, manyhave followed, such as Ripple, Litecoin, Dogecoin, BitShares, but the primacy of Bitcoin hasn't wavereddespite a fall in its value after a bull run in 2013. These virtual currencies are still viewed with caution bymany countries but there seems to be a gradual acceptance. A graphical report. – (Mint Jul 27, 2015 p 14)

FINANCIAL INCLUSION"Taking stock" – The RBI must remove existing glitches before financial inclusion takes on a new avatar. An

editorial. – (HBL Jul 24, 2015 p 8)

FOREIGN BANKING

– MORGAN STANLEY

"Strong domestic flow signals better macro stability" – Edited excerpts from an interview with RidhamDesai, MD & Head of India Research, Morgan Stanley. – (Mint Jul 28, 2015 p 29)

– ROYAL BANK OF SCOTLAND

"RBS to sell Indian wealth business" – The Royal Bank of Scotland NV (RBS), the UK bank with $164trillion in assets, has signed a non-binding agreement to sell its Indian wealth management business to a newlyincorporated wealth management firm promoted by one of the executives at the bank. The agreement is partof the British lender's efforts to cut costs and improve returns for its shareholders by exiting operations inIndia and 24 other countries. – (Mint Jul 28, 2015 p 10)

GOLD DEPOSIT SCHEME"Gold scheme may fetch 1.5%" – The proposed Gold Deposit Scheme may fetch you a minimum interest of

1.5 per cent, while the Gold Monetisation Scheme could earn a flat 2.5 per cent interest rate annually. Adecision on the two schemes is expected to be taken by the Cabinet shortly. The schemes are expected tobring out over 20,000 tonnes of gold lying idle with households and reduce dependency on imports. A report.– (HBL Jul 28, 2015 p 1)

INDIAN FINANCIAL CODESabnavis, Madan – "The proposed Indian Financial Code: Venturing into an unknown territory" – It

will be challenging to get six financial agencies with criss-crossing functions to meet and talk on a commonplane for arriving at a coordinated solution. Each of these agencies could have a different view, which though

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justified, have to be put together with one face. Currently, being the central bank with extensive powers, RBIis able to put them together and resolve the issues. With different agencies, we will still require a coordinator.An article. – (FE Jul 30, 2015 p 9)

Thorat, Usha – "A code too soon" – This is not the time for comprehensive financial sector legislativereforms. Fix problems through institutional changes. An article. – (IE Jul 30, 2015 p 13)

Zachariah, Reena and Ray, Atmadip – "Regulations supermarket: The Indian Financial Code: Black,What's hot, what's not" – While the debate on whether the government is scheming to usurp the RBI'spowers rages, there are aspects of the code which look promising, such as its focus on consumer protection.Will power centres tear it asunder or will it see the light of day. An article. – (ET Jul 29, 2015 p 14)

INTEREST RATES

– AXIS BANK

"Axis Bank slashes bulk deposit rates by 25 bps" – Axis Bank announced a rate cut of up to 0.25% on itsbulk deposits across three different maturities. The revision, which comes amid a trend of downward movementin interest rates in the system, is applicable only on bulk deposits of over Rs.5 crore, according to the bank.– (FE Jul 28, 2015 p 10)

INTERNATIONAL REGULATORY MEASURES"New Basel III norms will affect growth: S S Mundra: RBI Deputy Governor says the more stringent

capital requirements will up cost of lending" – The new international regulatory measures under theBasel III norms would have an adverse impact on the economic growth and all countries will need to braceup to this fact, cautioned Reserve Bank of India Deputy Governor S S Mundra. The combination of increasedcapital requirements, particularly in the common equity element of Tier 1 capital and capital buffers andminimum liquidity requirements, are likely to reduce the return on equity for banks. A report. – (HBL Jul 24,2015 p 7)

LIQUIDITY MANAGEMENT"RBI eases norms for liquidity operations" – In a bid to simplify and smoothen liquidity management, the

Reserve Bank of India (RBI) will process all bids at its daily fixed repo and reverse repo auctions and theMarginal Standing Facility auctions using straight through processing (STP) whereby the bank will get instantcredit or debit of funds. The central bank also said that it would increase the time window for banks toparticipate at the auctions in the near future to allow more flexibility. A report. – (FE Jul 28, 2015 p 10)

MOBILE BANKING"Mobile banking in India" – Despite its current growth, mobile banking in India has room to grow. And the

way forward lies in a collaborative convergence between the telecom and the banking sector. A report.– (ET Jul 28, 2015 p 3)

MONETARY POLICY"Bias towards action: Two issues RBI must contend with" – An editorial. – (BS Jul 29, 2015 p 9)

"RBI wants guv's word as final on monetary policy" – Central bank thinks the structure of policy panel isn'tright, will aim to persuade govt that the governor should have the final authority. A report. – (ET Jul 27, 2015 p 1)

Khan, M Y – "Lowering interest rates is not a good idea" – It just leads to a liquidity build-up and inflation,which will further sap growth impulses of the economy. An article. – (HBL Jul 30, 2015 p 8)

Rao, Radhika – "Inflation debate will not deter price stability goal" – An article. – (BS Jul 28, 2015 p 6)

Sen Gupta, Indranil – "RBI: A dovish Tuesday" – An article. – (Mint Jun 30, 2015 p 14)

Takkar, Naresh – "Monetary easing on the cards" – An article – (BS Jul 29, 2015 p 6)

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– FEDERAL RESERVE / BANK OF ENGLAND

"Monetary policy: Fed and BoE signal rises in rates amid muddled data" – Since the start of the yearinvestors have wondered whether any of the largest central banks will finally begin to break with the ultra-low interest rates that have dominated monetary policy since the financial crisis. – (FT Jul 28, 2015 p 2)

– INDIAN FINANCIAL CODE

"Backseat driving: Having imposed strict accountability on RBI's inflation strategy, Centre shouldnot micromanage" – An editorial. – (TI jul 27, 2015 p 12)

"Central bank responsible to rein in inflation: Can't clip Guv's powers: Rangarajan: RBI chiefRangarajan says power to decide on rates should remain with governor" – Dr C Rangarajan, formerReserve Bank of India governor, has criticised the suggestion to take away the veto power of RBI governorin making the final decision on short-term interest rates, sometimes overriding a majority vote. He said thatthe power to decide on interest rates should be vested in RBI governor as the central bank is responsible torein in inflation. A report. – (ET Jul 25, 2015 p 8)

"Centre moves to take over monetary policy making, prune RBI's clout: revised IFC draft proposes4 govt nominees on 7-member Monetary Policy Committee" – If the Centre has its way, MonetaryPolicy making will become a government affair rather than being a preserve of the Reserve Bank of India.Going by the revised draft of the Indian Financial Code, the government is moving to take over powers to setthe monetary policy. The draft, put out by the Finance Ministry, among other things recommends setting up aseven-member Monetary Policy Committee (MPC) to decide on the policy rate by majority vote. Crucially,four of these members are to be appointed by the government. The RBI will nominate two members. Thedraft IFC is for making the RBI Governor the head of the panel, and giving him/her the casting vote. A report.– (HBL Jul 24, 2015 p 1)

"Don't hijack RBI's monetary policy role: Hold the RBI to account, do not undermine it" – Aneditorial. – (ET Jul 27, 2015 p 12)

"Give the RBI its independence" – An editorial. – (H Jul 25, 2015 p 10)

"Indian Financial Code: Sinha: Report only an input into govt policy" – While the revised draft of theIndian Financial Code (IFC) report put out for discussion dilutes the role of RBI in the proposed MonetaryPolicy Committee (MPC) since the majority of members will be selected by the Centre, minister of state forfinance Jayant Sinha clarified that the report - the draft is open for comments till August 8 - was only an inputinto a final decision by the government on the matter. FSLRC report is a report of FSLRC. It is not the reportof the government or the finance ministry. The report is not the view of the government, according to ArvindSubramanian, Chief Economic Adviser. A report. – (IE Jul 25, 2015 p 15)

"Let RBI be" – There is a contradiction at the heart of the latest proposals on setting interest rates. If RBIgovernor's power to set rates is significantly diminished, how will he hit the inflation target? The governmentmight argue that in advanced economies rates are set by committees. But the institutional frameworks arenot comparable. Governors of Federal Reserve do not do the bidding of the US government. In India, on theother hand, there is every reason to suspect government nominees would vote as a block. The Modi governmenthas many battles to fight. On this one, a rapid retreat is in order. – (ET Jul 25, 2015 p 8)

"The making of a toothless central bank" – A monetary policy committee filled with government nomineesserves no purpose. it is not high interest rates that lead to slow growth but flawed government policies. Aview. – (Mint Jul 27, 2015 p 30)

"Matters on monetary policy" – Who's in charge? There has been intense debate in the last few days overRBI losing its autonomy over India's monetary policy. HT disentangles the issue. A report. – (HT Jul 29, 2015p 14)

"MPC unlikely during RBI Governor Raghuram Rajan's term" – Although the latest draft of the IndianFinancial Code (IFC) sought to dilute the Reserve Bank of India governor's powers in setting interest rates,finance ministry sources say the present system of the RBI being the decision-maker on monetary policy willlikely continue during the tenure of incumbent Raghuram Rajan. Making of MPC: * The latest draft of the

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Indian Financial Code does away with the earlier suggestion to give the RBI governor veto power in theMPC under exceptional circumstances; * Issues pertaining to the MPC are likely be discussed when RaghuramRajan meets finance minister Arun Jaitley for pre-policy consultations on July 31; * Jaitley said a finaldecision on the MPC would be taken after feedback from the public on the draft, which is open for commentstill August 8. A report. – (FE Jul 28, 2015 p 2)

"New Delhi should loosen its grip on interest rates" – India must not suffer more government meddling inmonetary policy. An editorial. – (FT Jul 25, 2015 p 6)

"Power without responsibility" – The Centre should remember that the very idea of a central bank ispredicated on functional independence. An editorial. – (HBL Jul 25, 2015 p 6)

"RBI should have majority in monetary policy panel or governor must've a veto" – Edited excerptsfrom an interview with Dr C Rangarajan, Former Governor, Reserve Bank of India. – (BS Jul 25, 2015 p 4)

"Rubber-stamp Rajan" – Why have an RBI Governor if he can't even fix rates? An editorial. – (FE Jul 27,2015 p 6)

"Trying to unravel the tangled web" – RBI's conflicting objectives complicate issues of independence andoversight. An editorial. – (HT Jul 25, 2015 p 14)

Bandyopadhyay, Tamal – "RBI at risk of losing autonomy?" – An article. – (Mint Jul 27, 2015 p 10)

Barua, Abheek – "What should the MPC look like?" – Balance is needed in selecting members for theproposed monetary policy committee. An article. – (BS Jul 29, 2015 p 9)

Dehejia, Vivek and Sengupta, Rajeswari – "In defence of the financial code" – It is pure alarmism toclaim the Union government plans to seize control of monetary policy from the RBI. An article. – (Mint Jul28, 2015 p 31)

Kumar, Rajiv – "RBI's role needs to change: Draft Indian Financial Code prises open the black boxof monetary policy making" – A better alternative would be to have the seven-member MPC comprisedof the Governor, two members nominated by the RBI Board, three government nominees and an RBI employeenominated by the Governor. An article. – (TI Jul 30, 2015 p 12)

Merwin, Radhika – "At most central banks, monetary policy decisions are steered by a committee"– Inflation target, too, in most countries is decided by both the govt and the central bank. According to theBank of England handbook, most central banks have adopted a committee approach for monetary policydecisions. An article. – (HBL Jul 25, 2015 p 11)

Rajadhyaksha, Niranjan – "The monetary policy imbroglio" – Monetary policy cannot succeed in Indiawithout the creation of a modern fiscal policy framework. An article. – (Mint Jul 29, 2015 p 30)

Rangan, M C Govardhana – "IFC code clash: it may well be about 2 schools of thoughts" – If the Codeaims to reduce the possibility of the governor abusing his power, its current form also provides for thegovernment abusing its position. An article. – (ET Jul 25, 2015 p 8)

Roy, Radhika – "Two catalysts to dictate RBI's policy direction" – An article. – (Mint Jul 29, 2015 p 13)

Sinha, Shilpy – "Constitution of central banks around the world" – With the RBI governor set to lose vetoon interest rates, according to a revised draft of Indian Financial Code, ET's author takes a look at whatconstitutes the boards of central banks in the US, the UK and Japan. Interestingly, governors of all thesebanks do not have a veto power, but not a majority of them are appointed by the government too. – (ET Jul25, 2015 p 8)

Tarapore, S S – "Charge of the rate reduction brigade" – They are on the wrong track. A rate cut willerode the already falling savings rate, and hence the future capacity to grow. An article. – (HBL Jul 24, 2015 p 8)

Vikraman, Shaji – "Monetary Policy: A 13-year debate on unshackling the Reserve Bank" – Anarticle. – (IE Jul 30, 2015 p 11)

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NON-PERFORMING ASSETS"Bank results indicate some stability in NPAs: Correct practices key to avoid bad loans: RBI Deputy

Governor" – Reserve Bank deputy governor S S Mundra said that initial trends from banks' first quarterresults indicate some stability on asset quality. He said the only way to get over the issue of mounting badloans is to adopt correct business practices and risk management strategies. A report. – (HBL Jul 30, 2015 p 6)

"Banks' bad loan problem to stay: Moody's" – Global rating agency Moody's shows global fund managersexpect moderation in fresh asset slippages at Indian banks. A report. – (BS Jul 28, 2015 p 6)

"RBI seeks ARC, PE firms views on reviving NPAs" – RBI governor Raghuram Rajan sought suggestionsfrom asset reconstruction companies (ARCs) and private equity (PE) firms on reviving stressed assets.Those who attended the meeting said Rajan suggested banks the need to find ways to realistically price badloans. A report. – (FE Jul 30, 2015 p 10)

Subramanian, Shobhana – "No good can come of a bad bank" – The government must lead the way inrepaying bank loans. An article. – (FE Jul 24, 2015 p 10)

– POWER SECTOR

"46,000 MW projects face viability issues: Crisil: Put Rs.75,000 cr of loans at risk" – More than46,000 MW of power projects, mostly controlled by the private sector, face significant risks due to lack oflong-term buyers for electricity, insufficient fuel supply arrangements and aggressive price bids by thedevelopers, according to Crisil Rating in a report. The report pointed out that due to these projects, banks andfinancial institution now have troubled debt of Rs.75,000 crore on their books. Restructuring of payments andsupport to the promoters could salvage the situation. A report. – (HBL Jul 29, 2015 p 1)

– PUBLIC SECTOR BANKS

"Officials under scanner in Rs.2,000-cr NPA case" – A host of public sector bank officials have comeunder the Central Bureau of Investigation (CBI) scanner for their alleged role in a Rs.2,000-crore non-performing assets case involving a Delhi-based company. A report. – (H Jul 23, 2015 p 13)

PAYMENT BANKS

– INDIA POST

"Legislation a way out: IndiaPost's payments bank licence faces legal hurdle: No decision oncorporatization of dept" – India Post's application to set up a payments bank has run into legal problems asthere's no decision yet on the corporatization of the Department of Posts. Without corporatization, the onlyway the department can have a banking entity in its fold is through legislation. A report. – (TI Jul 28, 2015 p 15)

PUBLIC SECTOR BANKS"Banks need more than mere hand-outs" – An editorial. – (ET Jul 30, 2015 p 12)

"Crisis at the bank" – Modi government may have underestimated the gravity of the issue. It must acturgently. An editorial. – (IE Jul 30, 2015 p 12)

"Early birds show PSBs to cringe in NPA pain: As Q1 results trickle in, asset quality issues seenchipping away bank's profits" – The first set of bank results for April-June shows that the pain on assetquality could continue to chip away profits of public sector lenders. Profits of big PSBs like Punjab NationalBank, Bank of India and Union Bank of India saw a double-digit drop from last year even as they continuedto pile on bad assets. A report. – (FE Jul 29, 2015 p 10)

"Public sector banks: Q1 show disappoints" – Report lower net profits as a result of higher provisioningand rise in non-performing assets. Punjab National Bank has reported to RBI 400 'wilful defaulters' and plansto sell non-performing assets worth up to Rs.3,000 crore to ARC in the current fiscal. Despite optimism,Indian economy is still not out of stress...five sectors, infrastructure, mining, power, iron and steel, continue toaccount for over 40 per cent of the total stressed assets, according to B P Sharma, Managing Director andCEO, Bank of India. A report. – (H Jul 29, 2015 p 15)

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Bandyopadhyay, Tamal – "The naked truth about PSU banks" – An article. – (Mint Jul 29, 2015 pp 1, 2)

Crabtree, James – "Weak position of India's state lenders a symptom of widespread malaise" – Everyone of the India's 27 listed state-backed players trades below book value. India appears to be following anapproach dubbed 'consolidation by benign neglect'. An article. – (FT Jul 29, 2015 p 12)

– PRIVATE SECTOR BANKS

Singh, Charan – "Benchmarks for banks" – As private banks are profit-oriented and citycentric, and publicsector banks are socially oriented, the performance norms for the two should be different. Efficient andexperienced officials from public sector banks are regularly poached by private banks. An article. – (H Jul29, 2015 p 11)

RECOVERY OF LOANS

– NON-PERFORMING ASSETS

"Banks opt for offbeat tactics to tackle Rs.3.1 trillion of bad debts" – Under pressure to do more to cuta $49 billion mountain of bad debt, India's state-owned banks are reversing years of tax recovery efforts,naming and shaming smaller borrowers and even using big TV screens at shopping malls to advertise seizedassets for sale. India's bad debt pile, dominated by corporate loans, is at its highest in a decade, swollen by aneconomic slowdown, loose lending and, in many cases, banks' own failure to do enough to chase down roguedebtors. Now, bank executives say pressure-from a government needing to accelerate economic recoveryand from a central bank that wants company owners to take more responsibility-has left little choice but toget tougher and faster. Tactics include targeting smaller borrowers with aggressive and shame campaignsand putting pressure on investors at larger firms. A report. – (Mint Jul 24, 2015 p 15)

RETAIL LENDING"Retail loans: Banks look to catch em' young" – As India witnesses a surge in its younger workforce and

revival signs of economic growth become visible, demand of loans home, personal or auto is being driven bythose below 35 years of age. About 45% of the credit demand in 2014-15 came from borrowers who wereless than 35 years of age against 30% about five years ago, according rating agency CRISIL. Banks, too,prefer younger borrowers as their repayment tenure can be longer, which means higher earnings for thelender. A report. – (HT Jul 28, 2015 p 12)

SMALL FINANCE BANKS

– PAYMENT BANKS

"Bank licences: RBI tells I-T dept to verify applicants' credentials" – The RBI has asked the I-Tdepartment to get a angle verification done for four dozen corporate entities seeking licence to operate smallfinance and payment banks in the country. Inputs sought by RBI relate to financial and tax history of almost50 entities and their owners. A report. – (FE Jul 27, 2015 p 2)

STRATEGIC DEBT RESTRUCTURING"Creditors to take control of Electrosteel Steels under new rule" – Banks will take control of Electrosteel

Steels Ltd, a company that owes its lenders Rs.9,500 crore-the first such takeover under new rules thatempower creditors to do so. The decision comes less than two months after the Reserve Bank of India (RBI)introduced its strategic debt restructuring (SDR) rule, and suggests that banks are eager to try and find aresolution to bad loans, if given the means to do so. A report. – (Mint Jul 28, 2015 pp 1, 2)

"Electrosteel shows way ahead for banks" – An editorial. – (ET Jul 29, 2015 p 12)

Iyer, P Vaidyanathan – "Why RBI may have had an impractical idea: it is not banks' job to run sickfirms" – An article. – (IE Jul 29, 2015 p 11)

– 15 –

RBI CIRCULARS"Anti-Money Laundering (AML)/ Combating of Financing of Terrorism (CFT) - Standards" – (RBI

Circular RBI/2015-2016/143 DBR.AML.No.1637/14.01.001/2015-16 dated 30.07.2015)

"Auction of Government of India Dated Securities" – (RBI Circular RBI/2015-2016/138 Ref. No. IDMD/205/08.02.032/2015-16 dated 27.07.2015)

"Extending Value Added Services through ATMs by Primary (Urban) Co-operative Banks (UCBs)"– (RBI Circular RBI/2015-2016/139 DCBR.CO.LS (PCB) Cir.No.2/07.01.000/2015-16 dated 30.07.2015)

"Master Circular - National Rural Livelihoods Mission (NRLM)" – (RBI Circular RBI/2015-2016/142FIDD.GSSD.CO.BC.No.09/09.01.01/2015-16 dated 30.07.2015)

"Master Circular - National Urban Livelihoods Mission (NULM)" – (RBI Circular RBI/2015-2016/141FIDD.GSSD.CO.BC.No.10/09.16.03/2015-16 dated 30.07.2015)

"Provision of Factoring Services by Banks - Review" – (RBI Circular RBI/2015-2016/140DBR.No.FSD.BC.32/24.01.007/2015-16 dated 30.07.2015)

"Review of Guidelines on Restructuring of Advances by NBFCs" – (RBI Circular RBI/2015-2016/144DNBR.CO.PD.No. 067/03.10.01/2015-16 dated 30.07.2015)

AGRICULTURE & RURAL DEVELOPMENT

AGRICULTURAL EXPORTSNarang, Tejinder – "Agri export outlook not bright for India" – Competing countries depreciating currencies

put them in an advantageous position even as India refuses to adopt tech advances in agriculture. China is thelargest importer (74 million tonnes) of GM soyabeans. But India keeps thwarting agricultural progress bystalling on introduction of GM crops. Why is a fair cost-benefit analysis not being carried out for GM crops?An article. – (FE Jul 27, 2015 p 7)

INDUSTRY"7 Indian firms among world's 500 largest companies: Fortune" – The Indian firms on the list topped by

Walmart are Indian oil, Reliance Industries, Tata Motors, SBI, BPCL, HPCL and ONGC. A report. – (FE Jul24, 2015 p 27)

"Strong dollar: Indian firms stressed the most: IMF: Agency warns that debt at risk from India'spublic sector enterprises could increase significantly" – Indian companies fared the worst in a stresstest conducted by the International Monetary Fund (IMF) for possible worsening of borrowing costs andearnings in case the dollar continues its recent strong and sustained appreciation. In a report titled Spilloversfrom Dollar Appreciation released last week, the multilateral lending agency also warned that debt at riskfrom India's state-owned enterprises could increase significantly, amounting to more than 5% of the country'sgross domestic product, or GDP. For the stress test, IMF surveyed 4,797 Indian firms with total assets worth$1.5 trillion. The test assumed that borrowing costs will go up by 30%, earnings will decline by 20% anddomestic currency will depreciate 30% against the dollar. A report. – (Mint Jul 29, 2015 pp 1, 2)

EXIM BANK"Bagged two prizes under RBI's rajbhasha shield competition" – Export-Import Bank of India (Exim

Bank) has been awarded by RBI two Prizes, one for its in-house bilingual magazine, 'Eximlus' and anotherPrize for Hindi implementation In 'B' Region under Reserve Bank of India's Rajbhasha Shield Competition2013-14. – (FE Jul 28, 2015 p 20)

"Exim Bank increase line of credit to East Asian neighbours" – As India tries to increase its influence inthe East Asian region, Exim Bank has increased its line of credit to the countries as part of the government'Act East' policy. The move is aimed at encouraging more Indians to set up manufacturing base in thesecountries and push for project development, according to Yaduvendra Mathur, chief executive officer, EximBank. – (HT Jul 29, 2015 p 14)

– 16 –

HDFCKrishnan, Ravi – "HDFC: decent growth, but waiting for recovery" – An article. – (Mint Jul 29, 2015 p 18)

SMALL SCALE INDUSTRY

ENTREPRENEURSHIPAdvani, Shonali – "A guiding hand" – First-time entrepreneurs are increasingly borrowing knowledge and

experience from advisers to accelerate growth and grab a prominent spot for their ventures. An article.– (ET Jul 24, 2015 p 16)

MSMEs"Chamber seeks industrial estates for MSMEs" – The Centre should consider developing industrial estates

exclusively for MSMEs, with transport, power, water, road etc, and adequate support from budgetary allocation,according to FICCI-Confederation of Micro, Small and Medium Enterprises (FICCI-CMSME). The Centreshould incentivise States for building flatted factories at existing industrial estates, at least in urban areas, forMSMEs. – (HBL Jul 30, 2015 p 4)

INTERNATIONAL ECONOMICS

FINANCIAL CRISISBakshi, Ishan – "2008 and its aftershocks" – Hubris: Why economists failed to predict the crisis and how

to avoid the next one by Meghnad Desai. A book review. – (BS Jul 30, 2015 p 11)

FUND MANAGEMENT"Global fund management" – A weekly review. – (FT Jul 27, 2015 Supl. pp 1-20)

LABOUR & PERSONNEL MANAGEMENT

HUMAN RESOURCE MANAGEMENT"Multi-generational workforce one of the biggest challenges for HR" – Randstad India's `Talent Trends

Report - HR Game Changers' offers an overview of the top 15 workplace trends that will shape talentmanagement in 2015 and beyond. The inaugural issue the report is based on the feedback and outlook ofalmost 350 HR leaders. – (TI Jul 29, 2015 p 11)

TALENT MANAGEMENTRay, Surya Sarathi – "Talent management getting complex" – Keeping up with employee aspirations has

become a challenge. An article. – (FE Jul 29, 2015 p 13)

MANAGEMENT

ACCOUNTING STANDARDS

– FINANCIAL REPORTING

"New accounting standards could create a huge implementation issue" – Starting April 1, 2016, 39 newIndian Accounting Standards (IND-AS) will apply to all Indian companies with a net worth of Rs.500 croreand more... and their holding, subsidiary, joint venture and associate companies. This includes all listed andunlisted companies, except banks, NBFCs, insurance companies and companies listed on SME exchanges.IND-AS will apply to stand alone and consolidated financial statements. Overseas subsidiaries, associatesand joint ventures can continue to report in local generally accepted accounting principle (GAAP), except for

– 17 –

consolidation purposes. Starting April 1, 2017, all listed companies and companies with a networth of Rs.250crore and more will also have to adopt IND-AS. All companies adopting IND-AS will also have to providecomparative numbers for the previous financial year. CNBC TV18's Menaka Doshi talks to r ShankarRaman, CFO, L&T, Jamil Khatri, head of audit, KPMG and Dolphy D'Souza, national leader, IFRS Services,EY. A report. – (FE Jul 25, 2015 p 9)

CORPORATE SOCIAL RESPONSIBILITY"CSR: What keeps companies from doing good?" – Constantly evolving rules and anomalies over tax

treatment have constrained corporate programmes in the first year that the government's CSR mandate hasbeen in force. The CSR rules, however, exclude expenditure on employee welfare projects such as schoolsand hospitals even if they include a certain percentage of non-employees, a route typically taken by largemanufacturing companies operating within local eco-systems. A report. – (BS Jul 29, 2015 Sec.II p 6)

LEADERSHIP"Leadership is all about taking ownership" – Edited excerpts from an interview with Sanjeev Vashishta,

Chief Executive Officer, SRL, Diagnostics Ltd. – (HT Jul 30, 2015 p 17)

MANAGEMENT EDUCATION"Brighter future ahead: Indian management education is getting in tune with the global standards" –

With the world becoming a global village, the emphasis is shifting towards developing economies creatingnew challenges for managers. Therefore, management education should infuse international business contentand concepts so that students would learn to engage international markets through proper understanding. Areport. – (TI Jul 25, 2015 p 9)

"IIMs change CAT format to boost diversity" – The Common Admission Test (CAT) required for admissionto India's top business schools will add descriptive questions in 2015 to address criticism that the existingmultiple-choice format favours those from an engineering background. The introduction of the descriptivequestion pattern is among several other changes in the CAT announced by the Indian Institute of Management(IIM), Ahmedabad, which will conduct the exams this year. A report. – (Mint Jul 27, 2015 pp 1, 2)

Patole, Preeti – "Being on the same page" – Keeping pace with the latest trends is the key to success formanagement students in today's fiercely competitive scenario. An article. – (TI Jul 25, 2015 p 9)

ORGANIZATIONAL CULTURESanjai, P R – "The link between organizational culture and profitability" – A new study demonstrates the

need for organizations in India to take culture as a distinct parameter in the growth plans they aspire toachieve and not as an accidental outcome over time. An article. – (Mint Jul 29, 2015 p 22)

MISCELLANEOUS"Consumer confidence in India rises to 4-year high: Nielsen" – India continued to lead the global consumer

confidence index with the score in the second quarter of 2015 reaching the same level as in 2011, accordingto a report. According to global information and insights provider Nielsen, in the second quarter of 2015,India's consumer confidence score rose to 131 followed by Philippines (122) and Indonesia (120). A report.– (FE Jul 28, 2015 p 5)

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