SEBI Chief Madhabi Puri Buch Vows to Address Overvalued IPOs Introduction Madhabi Puri Buch, the Chief of the Securities and Exchange Board of India (SEBI), has made a commitment to combat the issue of inflated valuations in Initial Public Offerings (IPOs). As numerous companies flood the market with their share sales, Buch recognizes the need to address this concern and ensure fair pricing. Record-Breaking IPOs Recently, several companies, including Tata Technologies, launched their IPOs, accumulating […]

SEBI Plans T+0 and Instantaneous Settlement Trades by 2025 Introduction The Securities and Exchange Board of India (SEBI) is taking significant steps towards introducing faster settlement options for trades in the Indian market. SEBI Chief Madhabi Puri recently announced that the regulatory body is working on a roadmap for the implementation of T+0 settlement trades by March 2024, followed by an optional parallel system for instantaneous settlement by 2025. Importance of Immediate Settlement During a […]

RBI Governor Highlights Concerns Over Lending Practices and Fintech Models Reserve Bank of India (RBI) governor Shaktikanta Das has issued a cautionary statement regarding lending exuberance and overreliance on fintech models by financial institutions. In a recent speech at an event organized by industry lobby Ficci and the Indian Banks’ Association (IBA), Das emphasized the need for banks, non-banking financial companies (NBFCs), and other financial entities to account for risks while pricing loans and avoid […]

Stricter Norms for Sustainable Lending, According to RBI Governor Shaktikanta Das Introduction RBI Governor Shaktikanta Das recently addressed the annual FIBAC event, where he emphasized the necessity of stricter norms on unsecured lending for sustainable growth. He explained that while certain sectors such as housing and vehicle loans, as well as small business credits, were exempted from these norms due to their positive impact on the economy, the focus remained on sustainability. This article delves […]

Can the RBI Slow India’s Retail Lending Binge? Introduction and Background In a recent statement, Shaktikanta Das, the governor of the Reserve Bank of India (RBI), expressed concern over the rapid growth of retail loans, particularly personal loans and credit card receivables. These types of loans are unsecured, meaning they lack underlying assets that can be sold off in case of default. As a result, they pose a higher risk to banks and non-banking financial […]