The Department for Promotion of Industry and Internal Trade (DPIIT), Government of India, has signed a Memorandum of Understanding (MoU) with Paytm (One97 Communications Limited) to foster innovation and accelerate the growth of manufacturing and fintech startups in India.
As part of this collaboration, Paytm will provide mentorship, infrastructure support, market access, and funding opportunities to startups, helping them scale and innovate. This initiative aims to equip entrepreneurs with essential resources, enhancing their ability to develop cutting-edge payment and financial technology solutions.
The amount under operative Kisan Credit Card (KCC) accounts has more than doubled from ₹4.26 lakh crore in March 2014 to ₹10.05 lakh crore in December 2024. This indicates significant increase in quantum of affordable working capital loans provided to the farmers for agriculture and allied activities.
In 2019, the KCC scheme was extended to cover the working capital requirements of allied activities, viz. Animal Husbandry, Dairy and Fisheries. Government of India, under Modified Interest Subvention Scheme (MISS), provides interest subvention of 1.5% to banks for providing short-term agri loans through KCC up to Rs 3 lakh at a concessional interest rate of 7% per annum.
An additional Prompt Repayment Incentive of 3% is provided to farmers on timely repayment of loans, which effectively reduces the rate of interest to 4% for farmers. Loans up to ₹2 lakh are extended on a collateral-free basis, ensuring hassle- free access to credit for small and marginal farmers.
With bank loan growth slowing over the past year, the Reserve Bank of India (RBI) has decided to reverse its decision to increase the risk weight of bank loans to non-banking financial companies (NBFCs), which will result in a substantial release of capital for banks. In addition, it clarified that risk weights for microloans by banks will be 75 per cent or 100 per cent.
In a circular issued on 25th February, the banking regulator said: “Upon review, it has been decided to restore the risk weights applicable to such exposures (NBFC exposure), and the same shall be in line with the external rating.” This comes into effect from April 1, 2025.
According to RBI data, banks’ year-on-year loan growth to NBFCs dropped to 6.7 per cent by December 2024 from 15 per cent a year ago. Overall bank credit growth also slowed to 11.2 per cent from 20 per cent during the same period. On November 16, 2023, risk weights for bank loans to NBFCs were increased by 25 percentage points.
In a major relief to banks with large microfinance portfolios, including many small finance banks, the RBI clarified that the risk weight for microloans will be 75 % for loans that fall into the category of regulatory retail portfolio or business loans. Microloans that do not fall under regulatory retail and are classified as consumer credit will have a 100 % risk rate.
In a press release, the central bank stated that after assessing the bank’s liquidity situation in coordination with the appointed administrator, it has decided to ease withdrawal restrictions. This move will allow over 50% of depositors to withdraw their entire account balance, while others can access up to ₹25,000 from their deposits.
Withdrawals can be made through both branch and ATM channels, with the limit being the lesser of ₹25,000 or the available account balance, as per RBI guidelines. Earlier, on February 13, the RBI had imposed stringent restrictions on the bank, prohibiting it from issuing fresh loans, suspending withdrawals for six months, and appointing an administrator.
Defence Research & Development Organisation (DRDO) and Indian Navy carried out successful flight-trials of first-of-its-kind Naval Anti-Ship missile (NASM-SR) from Integrated Test Range (ITR), Chandipur on February 25, 2025. The trials demonstrated the missile’s capability against ship targets while launched from an Indian Naval Seaking Helicopter.
The missile uses an indigenous Fiber Optic Gyroscope-based INS and Radio Altimeter for its Mid-course guidance, an Integrated avionics module, Electro-Mechanical actuators for Aerodynamic and Jet vane control, thermal batteries and PCB warhead. It uses solid propulsion with an in-line ejectable booster and a long-burn sustainer.
The missile is developed by different labs of DRDO including Research Centre Imarat, Defence Research and Development Laboratory, High Energy Materials Research Laboratory and Terminal Ballistics Research Laboratory. The missiles are currently being produced by Development cum Production Partners with the help of MSME’s, start-ups and other production partners.
Madhya Pradesh signed initial agreements with investors promising to pour in a record Rs 30.77 lakh crore in sectors like clean energy as the state pivots path from a laggard to an investment hotspot. Of the Rs 30.77 lakh crore, memoranda of understanding for Rs 26.61 lakh crore were signed during the two-day Invest Madhya Pradesh Summit.
Companies ranging from Adani Group to state-owned NTPC committed Rs 8.616 lakh crore investment over the near term in setting up renewable energy projects such as solar plants and pumped hydro projects. Industrial manufacturing had the biggest draw with Rs 8.516 lakh crore. Among the international firms evincing interest in Madhya Pradesh included Japanese retailer Uniqlo.
The 8th edition of Invest Madhya Pradesh Summit aimed at attracting investments to the state and promoting its industrial growth. This summit served as a platform to showcase the state's potential for business and investment, highlighting its strategic advantages, economic opportunities, and industrial capabilities.
The Securities and Exchange Board of India (Sebi) on Tuesday imposed a total penalty of Rs 5.05 crore on Indian Clearing Corporation (ICCL), a wholly owned subsidiary of BSE, for alleged violations of cyber security and system audit-related norms. The market regulator conducted an inspection between December 2022 and July 2023.
Sebi's findings showed that ICCL had submitted the network auditor report to the regulator without any management or board comments. The norms prescribe that the audit report, along with the management’s comments, be placed before the governing board of the market infrastructure institutions
The market regulator added that the clearing corporation did not have a one-to-one correspondence between the disaster recovery site (DRS) or near site (NS) and the Primary Data Centre (PDC), which is mandated under regulatory norms.
Disbursement of microfinance loans has declined 35.8 per cent to Rs 22,091 crore during the third quarter ending December 2024 as compared to the similar previous corresponding period, Microfinance Institution Network (MFIN), an umbrella body of the microfinance institutions (MFIs), said in its report.
Assets under management (AUM) of the MFIs at the end of December 2024 stood at Rs 1,42,695 crore, showing a decrease of 0.1 per cent against the same period ending December 2023. The average loan amount disbursed per account during the third quarter was Rs 51,691 crore, registering an increase of 15.2 per cent in comparison to the same quarter of the previous fiscal.
Portfolio at risk (PAR), defined as unpaid loans of more than 30 days, deteriorated to 8.8 per cent as of December 31, 2024, compared to 3.5 per cent in the previous corresponding period ending December 31, 2023, the report said. During the current third quarter, NBFC-MFIs received debt funding of Rs 12,921 crore, mainly contributed by the banks.
the Reserve Bank released the data relating to financial performance of non-government non-financial (NGNF) public limited companies during 2023-24 based on audited annual accounts of 6,955 companies, which reported in the Indian Accounting Standards (Ind-AS) format for three accounting years from 2021-22 to 2023-24, received from the Ministry of Corporate Affairs, GoI.
Sales: -
The growth in net sales of the select NGNF public limited companies moderated to 5.5 per cent over the post-pandemic recovery led high growth of 17.8 per cent in the previous year; sales growth of manufacturing and services sectors also declined to 4.1 per cent and 6.8 per cent, respectively during 2023-24 from double digit growth recorded during the previous year
Expenditure: -
In line with the slowdown in sales growth, operating expenses recorded lower rise of 3.4 per cent during 2023-24 on the back of slower growth in manufacturing expenses as well as in renumeration to employees; this moderation was broad based within manufacturing and services sectors.
Profits: Despite lower growth in sales, cost rationalisation helped operating profits to rise by 15.3 per cent during 2023-24 from 4.2 per cent growth during the previous year, at aggregate level; operating profit growth of manufacturing and services sector stood at 13.2 per cent and 15.5 per cent respectively, during 2023-24.
The Reserve Bank of India (RBI) has increased the small value loan ceiling per borrower to Rs 3 crore per borrower for Urban Co-operative Banks (UCB), according to a circular issued on February 24. “On a review, it has been decided to revise the definition of small value loans as loans of value not more than Rs 25 lakh or 0.4 percent of their Tier I capital, whichever
whichever is higher, subject to a ceiling of Rs 3 crore per borrower. All other conditions, as well as the timelines and the intermediate targets, remain unchanged,” the RBI said. UCBs are required to follow the prescribed glide path to have at least 50 percent of their aggregate loans and advances comprising of small value loans whichever is higher, subject to a maximum of
Rs 1 crore per borrower – by March 31, 2026, the RBI said. In terms of extant instructions, aggregate exposure of a UCB to housing, real estate, and commercial real estate loans is capped at 10 percent of its total assets, the RBI said adding that the ceiling of 10 percent can be exceeded by an additional 5 percent of total assets for grant of housing loans to individuals.
