All articles by Meghna Mukerjee
Meghna Mukerjee
HDFC Bank to set up loan kiosks in 500 corporate offices
HDFC Bank, Indias second largest private sector lender, plans to open kiosks at corporate houses with the aim of making borrowing a personal loan easier for the employees. HDFC Bank plans to set up 1,500 priority desks across 500 companies in nine cities by August 2012. The process aims to cut-down the time for getting personal loans to just one or two days, unlike the current process where most banks may take up to two weeks. Using the kiosk facility, customers can apply for a loan at their office and ideally receive money in 24 hours.
Barclays launches money payment service using mobile phone numbers – Barclays Pingit
Barclays has launched Barclays Pingit a person-to-person service for sending and receiving money free of cost using mobile phone numbers. Barclays Pingit a first in the UK enables anyone with a UK current account and UK mobile phone number to send or receive money without sharing bank details, and by using the mobile phone number. Customers do not need to have a current account with Barclays to recieve money at present, and a Barclays current account user can send money through the Barclays Pingit to a current account users of any other UK bank or building society, using mobile phone details. Starting at £1, the maximum payment amount for the total daily send limit through Barclays Pingit goes up to £300. Each user has £5,000 as the total daily receive limit.
Handelsbanken posts 12% rise in FY11 net profit
Swedish lender Handelsbanken has posted a 12% increase in full year net profit to SEK12.3bn ($1.84bn).Net interest income increased by 11% for the 12 months to 31 December to SEK23.6bn.Handelsbankens total assets increased by 14% in 2011 to SEK2.45trn. The banks cost to income ratio improved year-on-year by 90 basis points percentage points to 47.1% (2010: 48%).
Swedbank posts strong FY11 results as profits surge by 58%
One of Swedens four largest retail lenders, Swedbank, has posted a strong 58% increase in full year profit to SEK11.7bn at the end of 31 December 2011, compared to SEK7.4bn in the same period a year ago. Net interest income increased by 17%year-on-year to SEK19.1bn, while credit impairments fell sharply by over 30% year-on-year to SEK1.9bn. Swedbanks retail banking division performed strongly; net profit soared by 31% to SEK7bn from SEK5.3bn. The retail unit was boosted by net interest income increasing by 22% compared with the previous year to SEK12.3bn, as a result of higher interest rates and the re-pricing of lending.
SBI posts 15.4% jump in net profit in 3Q11
Indias largest lender State Bank of India (SBI) has reported a 15.4% jump in standalone net profit INR32.6bn ($663m) for the three months to 31 December 2011, up from INR28.3bn in the same year ago period. SBIs net interest income increased by 26.7% year-on-year to INR114.7bn in December 2011 from INR90.5bn. SBIs Net Interest Margin has also grown strongly by 44 basis points year-on-year to 4.05% compared to 3.61% in Q3FY11. Total deposits increased by almost 14% to INR10trn at the end of this third quarter.
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Citi opens branch with Digitalised Smart Banking technology in the US
Citibank (Citi) has opened a flagship branch in Manhattan, US, featuring the lenders Digitalised Smart Banking technology that was pioneered at branches in Asia. According to Citi, the new branch reflects Citis efforts to deliver modern solutions and invest in retail banking in key global markets. The new branch offers Citi customers interactive sales and media walls. The branch also features ten enhanced image ATMs that eliminate the need for envelopes when making cash or check deposits and free online access to Citi online.
Nedbank deploys FICO optimisation solutions
South Africas fourth-largest banking group, Nedbank, has deployed decision modelling and optimisation services by analytics and decision management technology provider FICO with the aim to make better credit decisions in a demanding regulatory environment. According to FICO, South African credit grantors are increasingly adopting decision modelling and optimisation analytics to improve their credit strategies. Gavin Payne, chief risk officer for Nedbank Retail, said, Nedbanks goal is to be world class at managing risk.
Akbank to open 70 new branches in Turkey
Turkeys third largest private lender by assets, Akbank, has plans of opening 70 new branches and recruit 1,000 more people across Turkey in 2012. Akbank had opened 35 new branches in turkey in 2011 and plans to add 70 more across the country over the course of the year. The lender currently employs over 15,000 people in Turkey. According to the general manager of Akbank, Hakan Binbagil, the amount of loans that banks in Turkey extends to people is expected to grow by 15% in 2012, and Akbanks growth prospects are likely to be better than the sectors average.
Standard Chartered in talks to buy HSBC’s Bangladesh retail units
Standard Chartered (StanChart) is reportedly in talks to buy HSBCs consumer banking operations in Bangladesh and the negotiations are still at an early stage. HSBC opened its first branch in Bangladesh in 1996 and has 13 offices in the country. StanChart is the largest overseas bank in Bangladesh with a network of 26 branches and 57 ATMs. StanChart is the biggest foreign lender in India, Pakistan, Sri Lanka and Bangladesh.
Tesco Bank delays current account launch
Tesco Bank has delayed plans of launching its current accounts until 2013. In June 2011, Tesco Bank CEO Benny Higgins told RBI about the lender’s plans of penetrating the UK retail banking market further with the launch of its current accounts in 2012 and its first mortgage product slated to roll out in the third quarter of 2012. But Tesco Bank will not be launching its current account till next year, according to the lender. However, Tesco Bank still plans to enter the mortgage market in the coming months, the lender has confirmed in a statement.