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Parsec Loans Jobs
Industry : Financial Services
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Banks told to share interest burden on crop loans
Amid hardening interest rates, the government has ruled out in a easing the subsidy to crop loans and instead asked PSU banks to share the burden of 1 -2% rise in interest rates.
"There is no proposal to raise interest subsidy of 2% on short-term crop loans, We have asked banks to share the burden and provide crop loans up to Rs 3 lakh at 7%," said a senior finance ministry official. Sources said banks had recently urged the finance ministry to raise interest subsidy on farm loans, but without
ICICI to sell 5% in Arcil to First Rand of S Africa
ICICI Bank will sell 5% of its equity stake in Asset Reconstruction Company of India (Aral) to an African bank. First Rand Bank, for little less than Rs 40 crore. Aral deals in bad loans, and the development reflects a growing interest among foreign players in the local stress asset business.
Last year, ICICI Bank had decided to sell 10% of its stake to British bank Barclays Bank. However, this was rejected by the Reserve Bank of India (RBI) on the grounds that the bank would overstep its capital market
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