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Find Out Which Banks Will Remain Shut Tomorrow Following Ajit Pawar’s Demise
The city of Pune and the state of Maharashtra are observing a period of collective mourning following the death of Deputy Chief Minister Ajit Pawar in a plane crash near Baramati. As a result, the Maharashtra government has announced three days of state mourning, during which all government offices, courts, and public institutions will remain closed. This includes banks, schools, and colleges, which will be closed on January 29, 2026.
Public sector banks, such as State Bank of India, Bank of Maharashtra, and Central Bank of India, will be closed, while private banks may keep limited branches operational. However, ATMs, mobile banking apps, and online payment platforms will continue to function, covering nearly 70% of Pune’s daily retail transactions.
The plane crash occurred on January 27, 2026, when a chartered Learjet 45 attempted an emergency landing at Baramati airport but lost control and caught fire, resulting in the deaths of five people. The Directorate General of Civil Aviation (DGCA) has begun a formal technical probe into the incident.
The closure of banks and schools comes at a sensitive time, as it is the end of the month and many people are expecting salary credits, loan repayments, and business settlements. Customers are advised to rely on online banking, UPI platforms, and ATMs to manage their urgent needs and reschedule branch visits accordingly.
The Maharashtra government has declared state mourning fewer than ten times in the last three decades, reflecting the significance of this loss. Chief Minister Devendra Fadnavis has described Ajit Pawar as a leader deeply rooted in grassroots politics and credited him with shaping key infrastructure and irrigation projects.
A list of bank holidays in Pune for the year has been released, which includes holidays on January 26 (Republic Day), February 14 (Second Saturday), and March 3 (Holi), among others. The list also includes holidays for festivals such as Maha Shivaratri, Chhatrapati Shivaji Maharaj Jayanti, and Gudi Padwa.
Senior citizens can earn up to 8% interest rate on 5-year fixed deposits; compare the top FD rates offered by public, private, and small finance banks
For senior citizens seeking stable and fixed income, there are still attractive fixed deposit (FD) options available, despite many leading banks and small finance banks slashing their FD interest rates. Currently, a few banks offer FD rates of up to 8% on their five-year senior citizen FDs. The interest rates vary among public and private sector banks, as well as small finance banks, for FDs of the same duration.
Small finance banks offer the highest five-year FD interest rates for senior citizens, with Suryoday Small Finance Bank providing an 8% interest rate, followed by Jana Small Finance Bank at 7.77%, and Ujjivan Small Finance Bank at 7.7%. Other small finance banks, such as Utkarsh Small Finance Bank, Equitas Small Finance Bank, and AU Small Finance Bank, offer interest rates ranging from 7.5% to 7.25%.
Among private sector banks, IDFC Bank, Yes Bank, and SBM Bank India offer a 7.5% interest rate each on their five-year fixed deposits for senior citizens. Other private sector banks, such as DCB Bank, Axis Bank, and RBL Bank, offer interest rates ranging from 7.25% to 7.1%.
Public sector banks also offer competitive interest rates, with State Bank of India providing a 7.05% FD interest rate on its five-year senior citizen FD. Bank of Baroda offers a 6.9% rate, while Bank of India and Canara Bank offer a 6.75% rate each on their five-year FDs for senior citizens.
Overall, senior citizens have a range of options to choose from, with interest rates varying from 8% to 5.5% depending on the bank and the duration of the FD. It is essential for senior citizens to compare the interest rates and terms offered by different banks to make an informed decision that suits their financial needs. By choosing the right FD option, senior citizens can ensure a stable and fixed income, which can help them manage their expenses and maintain their standard of living.
Which Public Sector Bank is likely to emerge as the top performer in the current financial year?
The banking sector is expected to be in the spotlight as the Reserve Bank of India (RBI) has reduced the repo rate by 25 basis points to 5.25% on December 5. This move is likely to have a significant impact on the monetary structure of the banking sector, leading to lower interest rates for consumers on loans such as home loans and car loans.
As the season of financial results declaration is underway, several public sector banks are set to release their financial results for the December-end quarter. The Bank of India, Union Bank of India, IDBI Bank, and Central Bank of India have announced the dates for the declaration of their financial results as January 21, January 14, January 17, and January 16, respectively.
However, the three largest public sector banks (PSBs) – State Bank of India (SBI), Punjab National Bank (PNB), and Bank of Baroda – have yet to announce the dates for the declaration of their financial results. Despite this, investors and analysts can draw some expectations from the previous quarter’s results.
The reduction in the repo rate is expected to boost the banking sector’s performance, as it will lead to lower borrowing costs for banks and increased lending to consumers and businesses. This, in turn, is likely to have a positive impact on the banks’ net interest income and profitability.
The upcoming financial results of the public sector banks will be closely watched by investors, analysts, and regulators, as they will provide insights into the impact of the RBI’s monetary policy decisions on the banking sector. The results will also provide a glimpse into the banks’ asset quality, capital adequacy, and overall financial health.
Overall, the banking sector is expected to be in focus in the coming weeks, with the financial results of public sector banks providing valuable insights into the sector’s performance and the impact of the RBI’s policy decisions. As the largest PSBs, SBI, PNB, and Bank of Baroda, are yet to announce their results, their declarations will be closely watched by the market.
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After a 5-year decline, state-run banks see a surge in employee numbers, while private banks experience a 0.9% workforce reduction
The Indian banking sector has seen a shift in employee counts, with public sector banks adding 13,179 employees to reach 9,70,437 in FY25, while private banks saw a 0.86% drop to 8,38,150 employees. State-run banks, which had earlier focused on consolidation and improving balance sheets, have now started to expand their headcount. The largest public sector bank, State Bank of India (SBI), added 3,930 employees to reach 2,36,226 in FY25. SBI plans to hire 18,000 more employees in FY26, including 13,500 clerical posts and 3,000 probationary officers.
The government’s consolidation efforts, which began in 2017 with the merger of five associate banks with SBI, have continued with the merger of 12 banks into four larger entities in 2020. There are talks of a third wave of mergers to reduce the total number of banks to four core anchors. Recently, SBI hired over 1,000 probationary officers and plans to continue hiring.
Among other public sector banks, Punjab National Bank added 397 employees to reach 1,02,746, while Central Bank of India saw a marginal uptick in employee count to 33,081. However, Bank of Baroda and Canara Bank saw a decline in employee count. In the private sector, ICICI Bank saw a significant decline of 7.13% in employee count to 1,30,957, while HDFC Bank added 994 employees to reach 2,14,521. Axis Bank added 121 employees to reach 1,04,453.
The overall headcount in the banking system rose to 18,08,587 from 17,87,566 in FY24. Foreign banks’ employee count stood at 28,041, while small finance banks had 1,77,797 employees, with AU Bank being the largest employer with 50,946. The payments banks had 6,958 employees. The banking sector’s employee count is expected to continue to evolve with the ongoing consolidation and technological advancements.
Top FD Options for Seniors: Earn Up to 8% Interest Annually with These High-Yielding Fixed Deposits – View Complete List on Goodreturns
Best Fixed Deposits for Senior Citizens: Earn Up to 8% Annual Return
As a senior citizen, it’s essential to invest in a secure and stable financial instrument that provides a regular income stream. Fixed Deposits (FDs) are an excellent option, offering a fixed return on investment with minimal risk. Here’s a list of the best FDs for senior citizens, providing up to 8% annual return.
Top Banks Offering High-Return FDs for Senior Citizens
Several banks in India offer attractive interest rates on FDs for senior citizens. Some of the top banks include:
- Yes Bank: Offers 7.50% interest rate for 3-4 year tenure and 7.25% for 2-3 year tenure.
- IndusInd Bank: Provides 7.40% interest rate for 3-4 year tenure and 7.20% for 2-3 year tenure.
- Kotak Mahindra Bank: Offers 7.30% interest rate for 3-4 year tenure and 7.10% for 2-3 year tenure.
- HDFC Bank: Provides 7.25% interest rate for 3-4 year tenure and 7.00% for 2-3 year tenure.
- ICICI Bank: Offers 7.20% interest rate for 3-4 year tenure and 6.95% for 2-3 year tenure.
Other Banks Offering Attractive FD Rates
In addition to the above-mentioned banks, other financial institutions also offer competitive interest rates on FDs for senior citizens. These include:
- Bajaj Finance: Offers 8.00% interest rate for 3-4 year tenure.
- Mahindra Finance: Provides 7.80% interest rate for 3-4 year tenure.
- SBI: Offers 7.10% interest rate for 3-4 year tenure.
- Axis Bank: Provides 7.05% interest rate for 3-4 year tenure.
Key Benefits of FDs for Senior Citizens
Fixed Deposits offer several benefits for senior citizens, including:
- Guaranteed Returns: FDs provide a fixed return on investment, ensuring a regular income stream.
- Low Risk: FDs are a low-risk investment option, making them ideal for senior citizens.
- Flexibility: FDs offer flexible tenure options, allowing senior citizens to choose the investment period that suits their needs.
- Tax Benefits: Interest earned on FDs is taxable, but senior citizens can claim a deduction of up to Rs. 50,000 under Section 80TTB.
In conclusion, senior citizens can earn up to 8% annual return on their investments by opting for the best FDs offered by various banks and financial institutions. It’s essential to compare the interest rates and tenure options before making an investment decision.
India Plans to Consolidate State-Run Banks in Next Phase of Mergers, Aiming to Create Lenders of Global Proportions
The Government of India is preparing for the next round of consolidation of public sector banks (PSU banks) with the goal of creating large, globally competitive lenders. The aim is to support India’s long-term economic ambitions and achieve the vision of a developed India by 2047. Finance Minister Nirmala Sitharaman has emphasized the need for several large, world-class banks to raise capital, compete globally, and finance large infrastructure and development projects.
Currently, India has 12 public sector banks, with the State Bank of India (SBI) being the largest, ranking 43rd among the world’s top 50 banks. PSU banks account for nearly 60% of the country’s total banking business, making them strategically important in India’s financial system. The government is considering merging small and mid-sized PSU banks with larger lenders, with banks such as Indian Overseas Bank, UCO Bank, and Bank of Maharashtra potentially being merged with larger banks like SBI, Punjab National Bank, or Bank of Baroda.
This is not the first round of consolidation in the Indian banking sector. Since 2017, the number of PSU banks has decreased from 27 to 12 through a series of mergers. Key mergers include the merger of United Bank of India and Oriental Bank of Commerce with Punjab National Bank, and the merger of Dena Bank and Vijaya Bank with Bank of Baroda. SBI has also absorbed five associate banks and Bharatiya Mahila Bank, expanding its balance sheet and branch network.
In addition to consolidation, the government is also progressing with the strategic disinvestment of IDBI Bank. The Department of Investment and Public Asset Management (DIPAM) Secretary has indicated that the transaction is expected to be completed by March 2026. The government had sold a 51% stake in IDBI Bank to LIC in 2019, and the remaining stake is now slated for sale to private investors. The goal of these efforts is to create a stronger and more competitive banking sector that can support India’s economic growth and development.
Among the prominent banks are SBI, HDFC Bank, Axis Bank, ICICI Bank, Kotak Mahindra, and Bank of Baroda.
Several major Indian banks have announced changes to their fixed deposit (FD) interest rates, affecting customers who invest in these instruments. The changes vary by bank and tenure, but overall, they offer returns ranging from 5.9% to 6.95% for different terms.
State Bank of India (SBI), the country’s largest lender, has been offering 6.25% returns on FDs with a tenure of one year to less than two years, and 6.40% for two to less than three years. Senior citizens receive higher returns, with 6.75% on one-year to two-year FDs and 6.90% on two-year to less than three-year FDs. These changes took effect on December 15.
HDFC Bank, another major player, introduced new interest rates on December 17. The bank offers 6.25% for one-year tenures, 6.35% for 15 months to less than 18 months, and 6.45% for two years. Senior citizens are eligible for 6.75% on one-year tenures and 6.95% on two-year tenures.
Axis Bank also revised its FD interest rates, effective December 26. The bank now offers 6.25% for one-year tenures and 6.45% for two years. Senior citizens can earn 6.75% on one-year FDs and 6.95% on two-year FDs.
Canara Bank has also revised its interest rates, with a new rate of 5.9% for FDs with a maturity period of one year to 15 months. Senior citizens, however, can earn 6.40% for the same period.
These changes reflect the ongoing evolution of the Indian banking sector, with lenders adjusting their interest rates to stay competitive and respond to market conditions. Customers can take advantage of these revised rates to maximize their returns on fixed deposits, depending on their individual investment goals and preferences. It is essential for investors to review the updated interest rates and terms offered by each bank to make informed decisions about their investments.
Senior citizens can earn up to 8% interest rate for a 3-year investment; check the complete list of participating banks.
For senior citizens investing for a period of three years, several banks are offering a fixed deposit (FD) rate of up to 8%. This is a significant incentive for seniors who are looking to grow their savings while minimizing risk.
The banks offering these high FD rates for senior citizens include major players in the banking industry. Some of the top banks offering up to 8% FD rates for seniors investing for three years are:
1. Bank of Baroda: Offering 7.75% to 7.95% interest rates for senior citizens, depending on the deposit amount and tenure.
2. Canara Bank: Providing 7.75% to 7.9% interest rates for senior citizens, with varying rates based on deposit amount and tenure.
3. Indian Bank: Offering 7.75% interest rate for senior citizens, with higher rates applicable for larger deposits.
4. Punjab National Bank: Giving 7.75% to 7.9% interest rates for senior citizens, depending on the deposit amount and tenure.
5. State Bank of India (SBI): Offering 7.6% to 7.8% interest rates for senior citizens, with varying rates based on deposit amount and tenure.
6. ICICI Bank: Providing 7.75% to 7.9% interest rates for senior citizens, with higher rates applicable for larger deposits and longer tenures.
7. HDFC Bank: Offering 7.75% to 7.9% interest rates for senior citizens, with varying rates based on deposit amount and tenure.
These high FD rates can help senior citizens earn substantial interest on their deposits, ensuring a steady income stream during their retirement years. It’s essential to note that the interest rates may vary depending on the bank, deposit amount, and tenure chosen.
Before investing, senior citizens should carefully review the terms and conditions of the FD, including any penalties for early withdrawal and the minimum deposit requirements. They should also consider their individual financial goals, risk tolerance, and liquidity needs before making a decision.
It’s worth mentioning that senior citizens can also explore other investment options, such as senior citizen savings schemes, provident funds, and pension plans, which may offer higher returns and additional benefits. However, FDs remain a popular choice for seniors due to their low-risk nature and fixed returns.
In conclusion, the high FD rates offered by banks for senior citizens can be an attractive option for those looking to grow their savings over a three-year period. Seniors should carefully evaluate the various options available, considering their individual financial needs and goals, before making an informed investment decision.
Tamilnad Mercantile Bank Names Visvanathan Srinivasan as New Additional Director, Reports scanx.trade
Tamilnad Mercantile Bank (TMB) has announced the appointment of Visvanathan Srinivasan as an Additional Director on its Board, effective from March 25, 2023. This development is part of the bank’s efforts to strengthen its leadership and governance structure.
Visvanathan Srinivasan is a seasoned banker with over three decades of experience in the financial services industry. He has held various leadership positions in prominent banks, including State Bank of India (SBI) and Axis Bank. His expertise spans across areas such as corporate banking, risk management, and compliance.
During his tenure at SBI, Srinivasan played a key role in shaping the bank’s corporate banking strategy and was instrumental in driving business growth. He also served as the Chief Risk Officer at Axis Bank, where he was responsible for overseeing the bank’s risk management framework.
The appointment of Srinivasan as Additional Director is expected to bring significant value to TMB’s Board. His extensive experience and expertise in banking will enable the bank to leverage his insights and guidance to drive business growth, improve risk management, and enhance overall governance.
TMB’s Chairman, K Venkatramanan, welcomed Srinivasan’s appointment, stating that his experience and expertise would be invaluable to the bank. The bank’s Managing Director and CEO, S Krishnan, also expressed his enthusiasm about Srinivasan’s joining, saying that his presence would strengthen the bank’s leadership team.
The appointment of Srinivasan is also seen as a positive move by TMB to enhance its governance and leadership structure. The bank has been focusing on strengthening its board composition, with a mix of experienced professionals and independent directors.
With Srinivasan’s appointment, TMB’s Board now comprises 11 members, including 6 independent directors. The bank’s Board is chaired by K Venkatramanan, and the Managing Director and CEO is S Krishnan.
TMB is a private sector bank with a strong presence in Tamil Nadu and other parts of India. The bank has been expanding its operations and has a network of over 500 branches and 900 ATMs. With Srinivasan’s appointment, the bank is expected to further strengthen its position in the banking industry and drive growth in the coming years. Overall, the appointment of Visvanathan Srinivasan as Additional Director is a significant development for TMB, and his expertise and experience are expected to contribute to the bank’s growth and success.
Budget Announcement on PSU Bank Consolidation: Expectations for IOB, UCO, BOI, BOM, and Central Bank Merger Plans
The Indian government is expected to make significant announcements regarding the merger of Public Sector Banks (PSBs) in the upcoming budget. The merger of banks such as Indian Overseas Bank (IOB), UCO Bank, Bank of India (BOI), Bank of Maharashtra (BOM), and Central Bank of India is anticipated to be a key aspect of the budget.
The government’s plan to merge PSBs aims to create larger and more efficient banks, which can compete with private sector banks. The merger is expected to lead to improved financial health, increased lending capabilities, and enhanced customer services. Additionally, the merger will help in reducing the number of PSBs, making them more manageable and allowing for better allocation of resources.
The merger of IOB, UCO, BOI, BOM, and Central Bank is seen as a significant step towards consolidation in the banking sector. The government has already merged several PSBs in the past, resulting in the creation of larger banks such as State Bank of India (SBI), Punjab National Bank (PNB), and Canara Bank. The upcoming merger is expected to further strengthen the banking sector and improve its overall performance.
The budget announcement is expected to provide details on the merger, including the timeline, structure, and benefits for customers and employees. The government may also announce measures to support the merged banks, such as capital infusion, rationalization of branches, and implementation of new technologies. The merger is likely to have a significant impact on the banking sector, and the budget announcement will be closely watched by stakeholders, including customers, employees, and investors.
In recent years, the government has taken several steps to strengthen the banking sector, including the implementation of the Insolvency and Bankruptcy Code (IBC) and the establishment of the National Company Law Tribunal (NCLT). The merger of PSBs is seen as a key aspect of this effort, aimed at creating a more robust and efficient banking system. The upcoming budget announcement is expected to provide further details on the government’s plans for the banking sector and the merger of PSBs.
Overall, the merger of PSBs is a significant development in the Indian banking sector, and the budget announcement is expected to provide important details on the government’s plans. The merger is likely to have a positive impact on the banking sector, leading to improved financial health, increased lending capabilities, and enhanced customer services. The government’s efforts to strengthen the banking sector are expected to continue, with the merger of PSBs being a key aspect of this effort.
An investigation into the alleged Union Bank fraud case, involving Anmol Ambani, is currently underway by the Central Bureau of Investigation (CBI)
The Central Bureau of Investigation (CBI) has filed a fraud case against Jai Anmol Ambani, the elder son of Anil Ambani and chairman of the Reliance Group, for allegedly defrauding Union Bank of India of ₹228.06 crore. The case claims that companies linked to Reliance Home Finance Limited (RHFL) and Reliance Commercial Finance Limited (RCFL) obtained general-purpose corporate loans from the bank, but instead of using the funds as specified, they were diverted elsewhere, violating loan conditions. Jai Anmol, who was serving as Executive Director of Reliance Home Finance at the time, is accused of providing misleading information to the bank and breaching loan terms, along with other directors.
This is the first time Jai Anmol has been named as a direct accused in a significant criminal investigation. The CBI has filed a case against RHFL, RCFL, Jai Anmol, and other unidentified individuals under various sections of the Indian Penal Code (IPC) and the Prevention of Corruption Act. The complaint was filed directly by Union Bank.
The Anil Ambani-led ADA Group is already facing several fraud-related allegations involving multiple banks, including SBI, Yes Bank, and Punjab National Bank. In June 2025, SBI classified Reliance Communications (RCOM) and Anil Ambani as “fraud” accounts, citing loan defaults exceeding ₹40,000 crore. The Securities and Exchange Board of India (SEBI) has also barred Anil Ambani and 24 others from the securities market for five years, alleging diversion of over ₹5,000 crore from RHFL under the guise of loans.
The Enforcement Directorate (ED) has attached assets worth ₹10,117 crore related to the Reliance Group, including properties worth ₹1,120 crore belonging to companies associated with Anil Ambani, as part of an ongoing money-laundering probe. The ED has also summoned Anil Ambani in connection with a separate investigation into an alleged ₹17,000 crore loan fraud. Multiple cases are pending against Anil Ambani’s companies, including Reliance Communications, which has already gone bankrupt, and Reliance Capital and Reliance Infrastructure, which are undergoing insolvency proceedings in the National Company Law Tribunal (NCLT).
OneCard halts new credit card issuances amid RBI’s request for clarification from its partner banks
OneCard, a popular credit card issuer, has stopped issuing new credit cards due to regulatory issues with the Reserve Bank of India (RBI). The RBI has sought clarifications from partner banks that have collaborated with OneCard, regarding their credit card business model. As a result, OneCard has temporarily halted the issuance of new credit cards until the matter is resolved.
OneCard, which is operated by FPL Technologies, is a mobile-based credit card platform that allows users to apply for and manage their credit cards through a mobile app. The company has gained popularity in recent years due to its ease of use and innovative features. However, the RBI’s move has raised concerns about the company’s business model and its compliance with regulatory requirements.
The RBI has asked partner banks, including State Bank of India, ICICI Bank, and Axis Bank, to provide clarifications on their arrangement with OneCard. The regulator is seeking to understand how OneCard’s credit card business operates and whether it complies with existing regulations. The partner banks have been given a deadline to respond to the RBI’s queries, and until then, OneCard will not be issuing new credit cards.
The development has caused uncertainty among existing OneCard customers, who are concerned about the impact on their credit card services. However, OneCard has assured its customers that the move will not affect their existing credit card services, and they can continue to use their cards as usual.
The RBI’s move is seen as a regulatory crackdown on new-age credit card issuers, which have been growing rapidly in recent years. The regulator is seeking to ensure that these companies comply with existing regulations and do not pose a risk to the financial system. The development highlights the challenges faced by fintech companies in India, which often operate in a gray area between traditional banking regulations and innovative business models.
In conclusion, OneCard’s decision to stop issuing new credit cards is a temporary measure until the regulatory issues are resolved. The company is working with its partner banks to address the RBI’s concerns and ensure that its business model complies with existing regulations. The development highlights the importance of regulatory compliance for fintech companies in India and the need for clear guidelines on innovative business models.
Major Development in PSU Bank Consolidation: IOB, UCO, BOI, BOM, and Central Bank Under Consideration for Merger – What’s the Timeline for the Next Phase of PSB Consolidation?
The Indian government is planning to initiate the next phase of public sector bank (PSB) mergers, with several banks on the radar, including Indian Overseas Bank (IOB), UCO Bank, Bank of India (BOI), Bank of Maharashtra (BOM), and Central Bank of India. The merger of these banks is expected to be a significant step towards consolidation in the Indian banking sector.
The government had earlier merged 10 PSBs into four large banks, resulting in the creation of mega banks such as State Bank of India (SBI), Punjab National Bank (PNB), Bank of Baroda (BoB), and Canara Bank. The merger aimed to create stronger and more competitive banks, with improved financial health and increased lending capacity.
The next phase of the merger is expected to be more challenging, as it involves banks with weaker financials. The government is likely to consider factors such as the banks’ financial performance, asset quality, and regional presence before deciding on the mergers. The merger process is expected to be completed in a phased manner, with the first phase likely to involve the merger of smaller banks.
The banks on the radar, including IOB, UCO Bank, BOI, BOM, and Central Bank of India, have been struggling with high non-performing assets (NPAs) and weak financial performance. The merger is expected to help these banks improve their financial health and increase their lending capacity.
The government has not yet announced a specific timeline for the next phase of the merger. However, it is expected to happen soon, as the government is keen to complete the consolidation process in the banking sector. The merger is also expected to lead to job losses, as the merged entity will likely have a reduced workforce.
The PSB merger is part of the government’s broader plan to reform the banking sector and improve its efficiency. The government has also announced several other measures, including the establishment of a bad bank to take over stressed assets and the introduction of a new bank licensing policy. The measures aim to strengthen the banking sector and improve its ability to support economic growth.
In conclusion, the next phase of the PSB merger is expected to involve the merger of several smaller banks, including IOB, UCO Bank, BOI, BOM, and Central Bank of India. The merger is expected to be a significant step towards consolidation in the Indian banking sector and is likely to lead to the creation of stronger and more competitive banks. However, the process is expected to be challenging, and the government will need to carefully consider the financial performance and asset quality of the banks involved.
India’s First Integrated Financial City to be Amaravati, Announces Nirmala Sitharaman
Union Finance Minister Nirmala Sitharaman has announced that Amaravati, the capital city of Andhra Pradesh, will become India’s first integrated Financial City. This initiative aims to bring all major financial institutions together in one location, providing a unique opportunity for banks to design and construct top-class facilities from scratch. Sitharaman, along with Chief Minister Chandrababu Naidu, laid the foundation for the construction of nationalized banks and financial institutions in Amaravati.
Several institutions, including State Bank of India, Union Bank of India, and LIC, have begun construction activities. This financial hub is expected to generate direct employment for over 6,500 people and boost future investments and economic activity across the state. Naidu urged the banking leadership to complete the projects in record time and contribute to the growth of Amaravati and Andhra Pradesh.
Sitharaman emphasized that building a new capital city is an extraordinary task, and Prime Minister Narendra Modi has extended complete support to resume the construction of Amaravati. She appreciated the vision of bringing all financial institutions together in the newly planned Financial District, which will provide strong economic backing to the city.
The minister also stressed the importance of ensuring that farmers have access to credit and other financial services. She urged banks to extend wider economic benefits to the farming community, beyond just offering Kisan Credit Card loans. Sitharaman highlighted the need for banks to adopt futuristic thinking and integrated ideas, such as promoting industries like packaging and cold-chain infrastructure, to support horticulture farmers in the region.
The Centre is also establishing training hubs in districts for Quantum Valley and AI-related projects, which will help boost the economy and create new opportunities. Overall, the development of Amaravati as a Financial City is expected to have a significant impact on the state’s economy and provide new opportunities for growth and development. With the support of the Centre and the state government, Amaravati is poised to become a major financial hub in the country.
Should SBI, PNB, and BOB Lead the Next PSU Bank Merger, and What’s the Future for BOI, IOB, BOM, and UCO?
The Indian government’s plan to merge public sector banks (PSBs) has been a topic of discussion in recent years. The goal is to create larger, more efficient banks that can compete with private sector banks. The recent merger of 10 PSBs into four larger banks has been seen as a success, with the merged entities showing improved financial performance. Now, the question is whether the big banks, such as State Bank of India (SBI), Punjab National Bank (PNB), and Bank of Baroda (BOB), should take part in the next merger.
The government has indicated that the next phase of mergers will involve smaller banks, with Bank of India (BOI), Indian Overseas Bank (IOB), Bank of Maharashtra (BOM), and UCO Bank being considered. These banks have been struggling with high non-performing assets (NPAs) and low capital adequacy ratios. Merging them with larger banks like SBI, PNB, and BOB could help them gain scale and improve their financial health.
However, there are arguments against involving the big banks in the next merger. One concern is that it could lead to cultural and operational challenges, as the merged entities would have to integrate different systems and processes. Additionally, the big banks may not want to take on the burden of the smaller banks’ NPAs and other legacy issues.
On the other hand, involving the big banks in the merger could bring several benefits. It could help them expand their reach and customer base, and gain access to new markets and products. It could also help the government achieve its goal of creating fewer, larger banks that can compete with private sector banks.
The potential benefits of the merger for the smaller banks are clear. BOI, IOB, BOM, and UCO Bank would gain access to more resources, expertise, and technology, which could help them improve their financial performance and competitiveness. The merger could also help them reduce their NPAs and improve their capital adequacy ratios.
In conclusion, while there are valid arguments for and against involving the big banks in the next merger, the potential benefits of the merger for the smaller banks are significant. The government should carefully consider the pros and cons and make a decision that is in the best interest of the banking sector and the economy as a whole. If the big banks are involved in the merger, it could lead to the creation of even larger, more efficient banks that can compete with private sector banks and support the country’s economic growth.
Consolidation of PSU Banks: SBI Chief Suggests Additional Mergers Could Be Beneficial As Government Considers Major Overhaul | Business News
The chairman of the State Bank of India (SBI), CS Setty, has expressed support for the Indian government’s plan to merge smaller public sector banks with larger lenders. In an interview with Bloomberg, Setty stated that there is a need for further rationalization in the banking sector, as some smaller banks are still sub-scale. He suggested that another round of consolidation may not be a bad idea, which could lead to the next level of growth and scale in India’s financial space.
The government is considering a plan to merge several small lenders, including Indian Overseas Bank (IOB), Central Bank of India (CBI), Bank of India (BOI), and Bank of Maharashtra (BOM) with larger public sector banks such as Punjab National Bank (PNB), Bank of Baroda (BoB), and SBI. This proposed mega merger is aimed at supporting the next phase of credit expansion and financial sector reforms.
The plan is expected to be taken up at the Cabinet level and then examined by the Prime Minister’s Office (PMO). This renewed merger push diverges from NITI Aayog’s earlier suggestion to privatize or restructure smaller public sector banks. NITI Aayog had recommended that only a few large state-run lenders, including SBI, PNB, BoB, and Canara Bank, be retained under government control, while the remaining PSBs should either be merged, privatized, or have their government stake reduced.
The proposed merger is expected to drive growth and increase the efficiency of the banking sector. Setty’s support for the plan indicates that the banking industry is open to consolidation, which could lead to the creation of larger, more competitive banks. The government’s plan to merge smaller banks with larger lenders is a significant step towards achieving this goal.
The merger plan is also expected to support the next phase of credit expansion and financial sector reforms. The Indian government has been working to strengthen the banking sector and improve its efficiency, and the proposed merger is a key part of this effort. The plan is expected to be implemented in the near future, and it will be interesting to see how it unfolds and what impact it has on the banking sector.
Overall, the proposed merger of smaller public sector banks with larger lenders is a significant development in the Indian banking sector. It is expected to drive growth, increase efficiency, and support the next phase of credit expansion and financial sector reforms. The support of the SBI chairman for the plan indicates that the banking industry is open to consolidation, and the government’s plan is a significant step towards achieving this goal.
Latest Bank Update: Will Indian Overseas Bank, Central Bank of India, and Bank of India Merge with SBI and Canara Bank?
The Indian government is planning a major overhaul of the country’s banking system by merging smaller public sector banks with larger ones. Finance Minister Nirmala Sitharaman emphasized the need for a world-class banking system, with the goal of expanding Indian banks to become among the top global banks. The proposed mega-merger plan aims to create larger, more reliable public sector banks. Except for the State Bank of India, Canara Bank, Punjab National Bank, and Bank of Baroda, all other banks in the country could be merged.
Sitharaman stated that discussions have begun with banks to determine how they wish to proceed with the merger. The Reserve Bank of India is also being consulted to gather their views on creating larger banks. According to media reports, the second phase of the merger plan may involve merging Indian Overseas Bank, Central Bank of India, Bank of India, and Bank of Maharashtra with larger banks like Punjab National Bank, Bank of Baroda, and State Bank of India.
This is not the first time the government has undertaken bank mergers. In 2017, five associate banks of SBI and Bharatiya Mahila Bank were merged with the State Bank of India. In 2019, Vijaya Bank and Dena Bank were merged with Bank of Baroda, and in 2020, Oriental Bank of Commerce and United Bank of India were merged with Punjab National Bank.
The merger is expected to have significant implications for both employees and account holders. While banking deposits, fixed deposits, interest rates, loans, and other services will remain unaffected, account holders may need to obtain new passbooks, chequebooks, and account numbers. Additionally, branch names and addresses may change, requiring customers to visit their bank branches to update their records. Overall, the government’s goal is to create a more robust and efficient banking system that can compete with global banks.
Fixed Deposit rates soar up to 8.05% for general public with 5-year investment term; Check out the complete list of banks
Fixed Deposit (FD) Rates Up to 8.05% for General Citizens Investing for Five Years
In a move to encourage savings and investments, several banks in the country have increased their fixed deposit (FD) interest rates. For general citizens investing for a period of five years, the interest rates can go up to 8.05%. This is a significant increase, making FDs an attractive option for those looking to grow their savings.
List of Banks Offering High FD Rates
Here is a list of banks offering high FD rates for a five-year investment period:
- DCB Bank: 8.05% interest rate for a five-year FD
- Yes Bank: 7.75% interest rate for a five-year FD
- IndusInd Bank: 7.75% interest rate for a five-year FD
- Kotak Mahindra Bank: 7.70% interest rate for a five-year FD
- Axis Bank: 7.60% interest rate for a five-year FD
- HDFC Bank: 7.55% interest rate for a five-year FD
- ICICI Bank: 7.50% interest rate for a five-year FD
- State Bank of India (SBI): 7.40% interest rate for a five-year FD
- Bank of Baroda: 7.35% interest rate for a five-year FD
- Punjab National Bank (PNB): 7.30% interest rate for a five-year FD
Benefits of Investing in FDs
Investing in FDs offers several benefits, including:
- Guaranteed returns: FDs offer a fixed interest rate, ensuring that your investment grows at a guaranteed rate.
- Low risk: FDs are a low-risk investment option, making them suitable for conservative investors.
- Liquidity: FDs can be easily liquidated, allowing you to access your funds when needed.
- Tax benefits: Interest earned on FDs is taxable, but you can claim a tax deduction on the interest income.
How to Invest in FDs
To invest in an FD, you can visit the website of the bank or visit a branch in person. You can also invest through mobile banking or online banking platforms. The minimum deposit amount and investment period may vary depending on the bank and the type of FD.
Overall, investing in FDs can be a great way to grow your savings and earn a fixed income. With interest rates up to 8.05% for a five-year investment period, now is a good time to consider investing in an FD.
Groundbreaking Research from SBI and QuadSci Reveals Alarming SaaS Customer Losses, and Unveils AI-Driven Solution to Identify At-Risk Accounts
A new study by SBI Growth Advisory and QuadSci has revealed a costly SaaS retention crisis, where most SaaS companies are losing ground on retention despite record spending on customer success. The study analyzed 160 billion data points across 9,100 accounts and found that solution usage alone accounts for 80% of commercial outcomes, outweighing pricing, competition, or satisfaction scores. The research identified six usage patterns that determine renewal and expansion outcomes, including Power Users, Enthusiastic Adopters, Converts, Explorers, Strugglers, and Disconnected accounts.
The study found that Net Revenue Retention (NRR) is slipping across the industry, with 58% of SaaS companies reporting lower NRR than two years ago. However, the research also showed that AI can now forecast renewal and expansion decisions with 90% accuracy up to a year in advance by tracking these usage patterns. The study’s findings suggest that growth doesn’t hinge on luck or loyalty, but rather on behavior, and that usage behavior tells the real story of commercial outcomes.
The study’s methodology involved analyzing telemetry data points tied to customer accounts, tracking usage behavior across the full lifecycle, and benchmarking NRR trends against financial documents from public subscription companies. The research has significant implications for SaaS companies, as it suggests that by leveraging AI to analyze usage behavior, they can predict and prevent churn, and improve their NRR.
The study’s findings have been endorsed by industry leaders, including Deanne Branham, Chief Customer Officer at Reltio, who noted that the AI insights are now built directly into Reltio’s platform, enabling the company to support its customers more effectively. The research suggests that SaaS companies that act on these insights now will set the pace for 2026, and that the use of AI to analyze usage behavior will become increasingly important for companies looking to improve their retention and growth.
Consolidating banking entities to the point of rendering them obsolete
The Indian government’s plan to merge nine public sector banks into three large banks, namely State Bank of India, Punjab National Bank, and Canara Bank, has sparked concern among customers and employees. The move, aimed at enabling these banks to compete with foreign banks, is expected to begin by the end of the next financial year. However, this merger could have far-reaching consequences, including making banking inaccessible to common people, increasing workload, and worsening bank environments.
Bank mergers are not new in India, with several state banks having merged with SBI in the past. Recently, Andhra Bank and Corporation Bank merged with Union Bank, while Dena and Vijaya Banks merged with Bank of Baroda. The real objective behind these mergers was to shift the liability of banks in debt from giving loans to billionaires. Apart from mergers, the privatization of banks is also underway, with IDBI Bank being privatized and Yes Bank being taken over by Japan’s Sumitomo Mitsui Banking Corporation.
The central government’s move to privatize and merge public sector banks has been criticized for forgetting the role that these banks played in keeping the country safe during the global financial crisis. Big banks have no interest in ordinary, rural, and farmer accounts, and have recently imposed minimum balance requirements, making it difficult for ordinary people to access banking services. This could lead to a shift from mass banking to class banking, where only the wealthy have access to banking services.
The merger is expected to lead to widespread closure of branches, voluntary retirement, and compulsory retirement, which will adversely affect services. Customers will be forced to accept unilaterally imposed service charges and penalties. The banking sector is heading from nationalization to privatization and eventually to foreignization, which will have adverse effects on the economy and common people. The government’s move has been criticized for being anti-poor, as it will only benefit the wealthy and large corporations.
The privatization of banks will also lead to a loss of benefits that society achieved through nationalization of banks. Small borrowers are being tied up with laws like SARFAESI, while corporate loans worth crores continue to be written off. The decline in the number of banks will also adversely affect services, and customers will be forced to accept poor services and high charges. The government’s move has been criticized for being a shift from pro-people policies to pro-corporate policies, which will have far-reaching consequences for the economy and common people.
You are required to comply with these new SBI regulations, as failure to do so may result in account suspension.
The State Bank of India (SBI) has announced new rules that will come into effect on October 31, 2025, affecting its numerous customers. The primary objective of these rules is to enhance account security and prevent banking fraud. To avoid any inconvenience, customers must update their Know Your Customer (KYC) information and ensure their accounts are active. Inactive accounts or those with incomplete information may be blocked or deactivated if not updated on time.
The new rules include a requirement for customers to update their KYC documents, such as passports, Aadhaar, and PAN cards, to prevent account closure. Additionally, SBI has imposed daily ATM cash withdrawal limits, effective October 31, 2025. Classic and Maestro debit cardholders will have a limit of ₹20,000, while Gold and Platinum cardholders will have limits of ₹50,000 and ₹100,000, respectively.
To comply with these new rules, customers must take the following steps before October 31:
1. Update their SBI account KYC documents to ensure they are current and verified.
2. Make regular transactions to prevent their account from becoming inactive.
3. Complete the necessary process for cash loans or overdraft facilities by contacting the bank.
4. Adjust their withdrawal behavior according to the new ATM cash withdrawal limits.
5. File their free Income Tax Return (ITR) using SBI’s YONO app or Tax2win app.
It is essential for customers to be cautious of suspicious messages or calls that may ask for personal details or threaten to block their account, as these can be scams. Customers should contact their bank’s official branch or customer care to understand and comply with the terms and conditions. By taking these steps, customers can ensure a seamless banking experience and avoid any potential issues with their accounts. The new rules aim to increase security and prevent banking fraud, and customers must take the necessary steps to comply with these regulations.
SBI UPI Service Experiences Outage: Bank Acknowledges Sporadic Technical Glitches Leading to Failed UPI Transactions
The State Bank of India’s (SBI) Unified Payments Interface (UPI) services have been affected by technical issues for the second time in the last 10 days. On October 7, the UPI system was briefly impacted, resulting in a spike in complaints from users. According to DownDetector, a website that tracks outages, over 1,200 users reported issues between 5:30 pm and 7:00 pm, with 51% of them experiencing trouble with fund transfers. It is unclear whether all of these transfers were attempted via UPI.
SBI acknowledged the issue on social media platform X, stating that they were experiencing “intermittent technical issues” with their UPI services, which may cause temporary declines in service for some customers. The bank assured users that the issue would be resolved by 7:00 pm on Tuesday. In the meantime, SBI suggested that customers use UPI Lite services for uninterrupted transactions. The bank apologized for the inconvenience caused to its customers.
This is the second time in a short span that SBI’s UPI services have been affected by technical issues, raising concerns about the reliability of the system. The outage may have caused difficulties for customers who rely on UPI for their daily transactions. SBI’s UPI services are widely used, and any disruption can have a significant impact on users.
The bank’s prompt response to the issue and suggestion to use UPI Lite services are positive steps towards mitigating the problem. However, the frequency of technical issues with SBI’s UPI services is a cause for concern, and the bank needs to take steps to ensure the stability and reliability of its systems. The incident highlights the importance of having a robust and reliable payment infrastructure, especially in a country like India, where digital payments are becoming increasingly popular.
In conclusion, the technical issues affecting SBI’s UPI services are a cause for concern, and the bank needs to take steps to address the problem and prevent such outages in the future. The bank’s response to the issue and suggestion to use alternative services are positive steps, but more needs to be done to ensure the reliability and stability of its systems.
Reserve Bank of India (RBI) and State Bank of India (SBI) launch awareness drive in Dimapur to reunite citizens with their unclaimed bank deposits.
A district-level awareness campaign was held in Dimapur on Monday to promote the settlement of unclaimed deposits. The event, themed “Your money, your right,” was organized by the Reserve Bank of India (RBI) and the State Bank of India (SBI) as part of a nationwide campaign. The campaign aims to ensure that unclaimed deposits and investments are returned to their rightful owners. Imtijungla Lemtur, EAC Dimapur, chaired the meeting and encouraged participants to spread awareness in their communities to facilitate the process and ensure financial transparency.
The District Lead Manager, Rongsenyangla, highlighted the growing concern of unclaimed deposits and stressed the importance of financial awareness among the public. She explained that many individuals are unaware of dormant or forgotten accounts, matured fixed deposits, unclaimed insurance proceeds, or dividends left unattended due to lack of knowledge or documentation. The ongoing campaign is structured around the three pillars of Awareness, Accessibility, and Action (3 A’s) to make the process of tracing and reclaiming unclaimed funds simple, transparent, and citizen-friendly.
As of August 31, 2025, unclaimed assets in India amounted to INR 1.82 lakh crore. Rongsenyangla urged citizens to take proactive steps in identifying their unclaimed assets and encouraged stakeholders such as village councils, GBs, and community leaders to assist in spreading this vital information. The RBI has launched an online portal, udgam.rbi.org.in, where individuals can check the status of unclaimed deposits.
The campaign is part of the Government of India’s broader efforts to strengthen financial inclusion and literacy through schemes such as the Pradhan Mantri Jan Dhan Yojana (PMJDY), National Strategy for Financial Education (NSFE), National Centre for Financial Education (NCFE), and Financial Literacy Centres (FLCs). The programme was attended by representatives from various sectors, and the organizers hope that it will help raise awareness and facilitate the settlement of unclaimed deposits in the region.
The event emphasized the importance of financial awareness and the need for citizens to take an active role in identifying and reclaiming their unclaimed assets. By providing a platform for awareness and education, the campaign aims to promote financial inclusion and literacy, ultimately benefiting the citizens of Dimapur and the wider community. The success of the campaign will depend on the active participation of stakeholders, including citizens, community leaders, and financial institutions, in spreading awareness and facilitating the settlement of unclaimed deposits.
A consortium consisting of KB Securities, UAMCO, and SBI Investment Korea has been formed to purchase PicosTech for approximately 40 billion won, as reported by Chosun Biz.
KB Securities and UAMCO have formed a consortium with SBI Investment Korea to acquire PicosTech, a South Korean semiconductor manufacturer, for 40 billion won (approximately $30 million USD). This move is seen as a strategic investment in the semiconductor industry, which has been experiencing significant growth in recent years.
PicosTech is a leading manufacturer of semiconductor packaging and testing services, providing solutions for a wide range of applications, including 5G, artificial intelligence, and the Internet of Things (IoT). The company has established itself as a key player in the industry, with a strong portfolio of patents and a skilled workforce.
The consortium, led by KB Securities and UAMCO, will acquire a majority stake in PicosTech, with SBI Investment Korea also participating as an investor. The acquisition is expected to be completed in the coming months, subject to regulatory approvals.
The investment in PicosTech is seen as a strategic move by the consortium to expand its presence in the semiconductor industry. The company’s expertise in semiconductor packaging and testing services is expected to complement the consortium’s existing portfolio of investments, which includes companies involved in semiconductor manufacturing and related fields.
The acquisition of PicosTech is also expected to provide the consortium with access to new technologies and markets, as well as opportunities for collaboration and synergies with other companies in the industry. The investment is seen as a positive development for the South Korean semiconductor industry, which has been experiencing significant growth in recent years, driven by increasing demand for advanced semiconductors.
The 40 billion won investment in PicosTech is a significant transaction in the South Korean semiconductor industry, and demonstrates the confidence of investors in the sector’s growth prospects. The acquisition is expected to have a positive impact on PicosTech’s business, enabling the company to expand its operations and invest in new technologies and research and development.
Overall, the formation of the consortium and the acquisition of PicosTech is a significant development in the South Korean semiconductor industry, and demonstrates the growing interest of investors in the sector. The investment is expected to have a positive impact on the industry, and is seen as a strategic move by the consortium to expand its presence in the market.
Government greenlights major shakeup in public sector bank leadership, opening SBI Managing Director position to candidates from private sector
The Indian government has introduced significant reforms in the appointment process for top leadership positions in public sector banks (PSBs) and state-owned insurance companies. The Appointments Committee of the Cabinet (ACC) has approved revised guidelines for appointing Whole-Time Directors, including Managing Directors, Chairpersons, and Executive Directors. This move aims to enhance leadership diversity, meritocracy, and transparency in the public banking sector.
One of the key changes applies to the State Bank of India (SBI), where three out of four Managing Director positions must now be filled by candidates from other PSBs, and one position is open to private sector professionals who meet the eligibility criteria. To be eligible, private sector candidates must have at least 21 years of professional experience, 15 years in banking, and have served at the board level of a bank or at the highest level below the board.
The Financial Services Institutions Bureau (FSIB) will lead the selection process with the help of independent HR agencies to evaluate private sector candidates. The government has also eliminated the requirement for Annual Performance Appraisal Reports (APARs) during the selection process, shifting the focus towards performance-based assessment.
The Department of Financial Services (DFS) has communicated the revised guidelines to all PSBs and state-owned insurance companies, which are expected to reshape the way top talent is attracted and appointed across India’s public financial institutions. Senior officials believe that this reform will enhance transparency, foster competition, and bring in a merit-based selection culture at the highest levels of India’s banking sector.
The government hopes that these new guidelines will encourage a broader talent pool and strengthen the professionalism and accountability of PSB leadership. The reform is part of a larger initiative to modernize top-level hiring in India’s financial institutions and align public sector recruitment with global best practices in banking leadership. With a strong domestic and international presence, SBI is expected to play a critical role in India’s economic growth and financial inclusion initiatives.