RBI

The RBI's Expected Credit Loss framework, effective April 2027, mandates earlier recognition of loan losses, potentially differentiating stronger banks from weaker ones. While it may pressure PSU banks initially, it aims to enhance transparency and investor confidence in the long run.

Industry feedback highlighted risks of temporary profit surges inflating lending capacity.

In its final notification on the Foreign Exchange Management (Authorised Persons) Regulations, the central bank explicitly declined the industry’s proposal that Authorised Dealer Category-I licences be provided to non-banks.

RBI also laid ground rules for how these seized assets must be handled, including how long the lenders can keep them, and who is banned from buying them back.

RBI informed the Supreme Court that 30 banks are now integrated with the UDGAM portal, allowing legal heirs to search unclaimed deposits online. The PIL highlights the need for greater integration of assets such as post office deposits and insurance. The SC will hear the matter on 19 May.

Deputy governor Poonam Gupta suggests that a decade of robust growth and moderating prices may justify a stricter policy goal, even as global volatility keeps the 4% target in place through 2031.

RBI warns borrowers about rising fake loan waiver scams nationwide, urging verification with banks, avoiding upfront fees, and relying on official sources to prevent financial losses and credit damage.