Blog - NewNerve

RBI Bulletin Forecasts: India’s Growth Potential Beyond 8%

20Mar

By Ankit1 Comment

BFSI

RBI Bulletin Forecasts: India’s Growth Potential Beyond 8%

The Reserve Bank of India’s (RBI) March Bulletin has expressed confidence in India’s economic growth, projecting the country can sustain an 8% annual GDP growth rate, with potential for even higher. The bulletin points to a conducive macroeconomic environment that could serve as a launching pad for further growth. Despite global economic headwinds, India’s GDP growth has averaged above 8% from 2021 to 2024. RBI Projects India Can Exceed 8% Growth Rate The October-December quarter of 2023-24 saw a six-quarter high in real GDP growth, driven by strong domestic momentum, robust indirect taxes, and lower subsidies. The bulletin also cites healthy corporate and bank balance sheets, a modest current account deficit, resilient external buffers, and ongoing fiscal consolidation as key factors su...

NABARD Forecasts Rs 2.43 Lakh Crore Credit Potential for Bihar in FY 2024-25

20Mar

By Ankit2 Comments

Fintech

NABARD Forecasts Rs 2.43 Lakh Crore Credit Potential for Bihar in FY 2024-25

The National Bank for Agriculture and Rural Development (NABARD) has projected a credit potential of Rs 2,43,093 crore for Bihar in the fiscal year 2024-25. This estimate takes into account the Reserve Bank of India’s priority sector-based guidelines, as well as central and state government policies related to sustainable agriculture and rural development. The State Focus Paper 2024-25 for Bihar, which compiles the assessed credit flow across all 38 districts, was unveiled during NABARD’s credit seminar. Notably, the total credit flow under the priority sector for the specified year is estimated at Rs 2,43,093 crore1234. Development Commissioner Chaitanya Prasad emphasized the importance of credit intensification through specific planning for various sub-sectors within agriculture ...

Why Credit on UPI Struggles to Gain Momentum: Unveiling the Challenges

20Mar

By Ankit2 Comments

Fintech, Payments

Why Credit on UPI Struggles to Gain Momentum: Unveiling the Challenges

Despite the initial promise, credit transactions on the Unified Payments Interface (UPI) have not gained significant traction. The slow adoption can be attributed to several key factors outlined in a recent article. Understanding Why Credit on UPI Lags Behind: One major obstacle is the absence of a defined interchange fee structure for credit on UPI. This lack of clarity creates uncertainty among banks and hinders their willingness to participate fully. Additionally, concerns about possible cannibalization of credit card balances by larger banks have further impeded widespread acceptance. Another deterrent is the imposition of fees, such as the merchant discount rate (MDR), on merchants for credit transactions. Many merchants, accustomed to free UPI payments through bank accounts, sho...

Paytm UPI: 5 Easy Steps to Set Up your Bank Accounts

20Mar

By Ankit1 Comment

Fintech

Paytm UPI: 5 Easy Steps to Set Up your Bank Accounts

In a recent development, Paytm Payments Bank has suspended its Paytm UPI and bill payment services in compliance with the directives of the Reserve Bank of India (RBI). However, users can still continue using UPI services on the Paytm app by linking their accounts from other banks. Paytm has been granted permission by the National Payments Corporation of India (NPCI) to operate as a Third-Party Application Provider (TPAP) under the multi-bank model. Axis Bank, HDFC Bank, State Bank of India, and YES Bank will serve as Payment System Provider (PSP) banks to facilitate transactions on the Paytm platform. To set up SBI, ICICI, HDFC, or any other bank account on Paytm UPI, users need to follow these 5 simple and easy steps: Update your Paytm app and open it. Tap on your profile icon l...

Cracking the Code: NPCI’s UPI Guidelines (2024) Demystified

20Mar

By Ankit1 Comment

Fintech, Payments

Cracking the Code: NPCI’s UPI Guidelines (2024) Demystified

Here is the brief summary of the of NPCI Circular on UPI Standardisation guidelines: The National Payment Corporation of India (NPCI) has issued guidelines to enhance the uniformity and branding of UPI (Unified Payments Interface) transactions across various platforms. Whether you’re a UPI app, an online merchant, or an offline merchant, compliance with these standards is crucial. Let’s break down the key points: For UPI Apps and Their Banks (PSP Banks): Display UPI ID: Ensure that the UPI ID is prominently visible on both the app home page and the payment home page. “Powered by UPI” Logo: Use the official “Powered by UPI” logo consistently across all app pages that access the UPI platform. Clear Messaging: Include text such as “Send Money to any UPI A...

The Evolution of Compliance in Banking and Fintech: A Reflection, 2024

19Mar

By Ankit2 Comments

Fintech, Payments, Regtech

The Evolution of Compliance in Banking and Fintech: A Reflection, 2024

In the dynamic landscape of financial services, compliance has emerged as a cornerstone, ensuring the integrity and stability of banking and fintech operations. The journey, however, has been fraught with lessons, some learned at a high cost. A striking example from 2006 highlights the gravity of compliance: a bank dismissed its entire current account team for opening over 700 accounts using the same template—a practice that was replicated across various banks over the years. As banks embarked on partnerships with fintech companies, the focus on regulatory compliance seemed to wane, overshadowed by business interests. The fintech sector’s vibrancy and innovation made traditional banking institutions appear outdated in comparison. From Template Troubles to Tech Triumphs: The Banking Com...

Paytm’s Market Rally: Hitting the Upper Circuit 2 Days in a Row

19Mar

By Ankit1 Comment

Fintech

Paytm’s Market Rally: Hitting the Upper Circuit 2 Days in a Row

Paytm’s stock has seen a notable uptick, hitting the upper circuit for two consecutive sessions, with the latest trading price reported at ₹389.20. This surge comes amidst a broader context of regulatory and business updates that have influenced investor sentiment. In recent news, the Reserve Bank of India (RBI) has made announcements that could potentially impact Paytm’s operations, leading to a fluctuation in stock prices. Additionally, advisory committees and financial analysts are closely monitoring Paytm’s business strategies and regulatory engagements to assess any potential issues. The Bullish Surge of Paytm: Analyzing Consecutive Upper Circuit Hits Investors are keeping a keen eye on the National Payments Corporation of India’s (NPCI) response to Paytm’s request to become a th...

Exploring NBFC Connect 2024: India’s Premier NBFC Summit

19Mar

By AnkitNo Comments

Events, NBFC

Exploring NBFC Connect 2024: India’s Premier NBFC Summit

NBFC Connect Summit, 2024: In the dynamic landscape of India's financial sector, the Non-Banking Financial Companies (NBFCs) play a crucial role in driving economic growth and providing financial services to various segments of the population. One event that brings together industry leaders, experts, and stakeholders to discuss emerging trends, collaborations, and innovations in the NBFC sector is the NBFC Connect Summit. In this blog post, we will delve into the key highlights and significance of the NBFC Connect 2024 Summit. Event Overview: The NBFC Connect Summit, organized by ET BFSI (Economic Times - Banking and Finance Services Intelligence), serves as a platform for knowledge-sharing, networking, and collaboration within the NBFC ecosystem. The upcoming edition, NBFC Connect 20...

RBI Organizes Annual Conference of the RBI Ombudsmen

19Mar

By Ankit1 Comment

Fintech, Payments

RBI Organizes Annual Conference of the RBI Ombudsmen

Annual Conference of RBI Ombudsmen: The Reserve Bank of India (RBI) recently conducted the Annual Conference of RBI Ombudsmen in Mumbai on March 15, 2024. The conference centered around the theme of "Protecting the Consumers – Building Robust Systems and Procedures." Prominent attendees included Chairman/Managing Director & CEOs of regulated entities from major banks, NBFCs, Non-bank Payment System Participants, NPCI, senior officials of RBI, as well as the RBI Ombudsmen and Deputy RBI Ombudsmen. Governor Shri Shaktikanta Das inaugurated the conference, while Shri Dipak Misra, former Chief Justice of the Supreme Court of India, delivered the keynote address. Shri Misra highlighted the unique features of the Reserve Bank – Integrated Ombudsman Scheme, 2021, which includes a broader ...

From Aadhaar to UPI: India’s DPI Fuels FinTech Revolution

19Mar

By Ankit1 Comment

Fintech

From Aadhaar to UPI: India’s DPI Fuels FinTech Revolution

India’s DPI, comprising matured digital entities like Aadhaar, UPI, and FASTag, has been a game-changer for the FinTech landscape. These robust platforms have contributed nearly 0.9% to India’s GDP in 2022. But it doesn’t stop there—India’s UPI now spans seven nations globally, including recent additions like Nepal, Sri Lanka, and Mauritius. The approach to DPI emphasizes scalability, interoperability, and innovation, guided by principles such as open APIs and a multi-layered architecture. As we look ahead, DPIs hold immense promise, with the potential to triple economic value by 2030. Buckle up—the FinTech revolution fueled by India’s DPI is just getting started! 🚀🌐💰 To Read More visit: ETBFSI Also Read: How to Navigate the Regulatory Landscape for Fintech in India: A Compr...