Week That Was 30 September - 6 October | Page 5

Festival season: Govt ask PSU banks to cut rate Government tries to increase demand for bikes and consumer goods by asking banks to offer cheap loans. The government has asked public sector banks to cut interest rates in order to increase demand for vehicle and consumer durable loans in the festival season. According to the government, these sectors will revive growth in the economy. Bank funding safer since crisis: IMF Survey The financial crisis showed that some types of bank funding are dangerous: short-term wholesale funding was a major culprit. When bank’s health started to look dicey, wholesale suppliers of funding decided to pull their money out of banks when their liabilities came due instead of rolling them over. It is now clearer that customer deposits and equity capital are necessary elements of more stable funding structures. Axis Bank unveils digital retail banking roadmap Axis Bank sees mobile banking transactions surging over internet banking in the next five years. With an aim to reach out to 15 lakh customers the bank has launched Mobile Banking App 2.0 for its retail resident Indian customers, Rajiv Anand, President, Retail banking said. Net NPA of all banks rises to 1.68% in 2012-13: RBI Net NPA of the nationalised banks, including IDBI Bank, rose to 2 per cent during the year as compared to 1.44 per cent in the previous fiscal. Net non-performing assets (NPA) of all scheduled commercial banks increased to 1.68 per cent of the total loan at the end of 2012-13, according to the Reserve Bank of India. 30 Sept 6 Oct