India

Bad loan ratios in Indian banks are expected to worsen after falling to multi-year lows as stretched asset valuations, high public debt and prolonged geopolitical conflicts pose risks to financial stability, the Reserve Bank of India said in a report, Bloomberg News reported. Gross non-performing assets ratio of Indian banks will likely climb to 3% in March 2026, from 2.6% in September this year, according to the Financial Stability Report published by RBI on Monday.

Billionaire Mukesh Ambani's Reliance Industries has acquired technology-driven and oncology-focused healthcare platform Karkinos for Rs 375 crore, the firm said on Saturday. Reliance Strategic Business Ventures (RSBVL), a wholly-owned subsidiary of Mumbai-listed India's most valuable company, completed the acquisition of Karkinos Healthcare Pvt Ltd with allotment of requisite shares, the firm said in a stock exchange filing, the Economic Times of India reported.

The National Company Law Tribunal (NCLT) has begun insolvency proceedings against Hero Electric, following a plea by operational creditor Metro Tyres over an alleged default of Rs 1.85 crore, Devidiscourse reported. The tribunal also appointed Bhoopesh Gupta as Interim Resolution Professional to manage the company after the board's suspension. Hero Electric's defense, citing a pre-existing dispute with Metro Tyres, was rejected by the Delhi-based NCLT bench.

India is considering cutting income tax for individuals making up to 1.5 million rupees ($17,590) a year in February's budget to provide relief to the middle class and boost consumption as the economy slows, two government sources told Reuters. The move could benefit tens of millions of taxpayers, especially city dwellers burdened by high living costs, if they opt for a 2020 tax system that strips exemptions like housing rentals. Under that system, annual income of 300,000 rupees to 1.5 million rupees is taxed at between 5% to 20%. Higher income draws 30%.

A group of Indian lenders has asked the central bank to approve a new benchmark for overnight indexed swaps, Bloomberg News reported. The banks want the swaps to reference the newly-proposed Secured Overnight Rupee Rate (SORR) instead of the prevailing Mumbai Interbank Outright Rate (MIBOR). The move is intended to improve price discovery in the interest-rate swap market, an opaque but important part of the financial system that helps banks and corporations manage their risks. An industry body reached out to banks this month to start work on the formulation of the SORR, the people said.

The Supreme Court on Friday restored China Development Bank, Exim Bank of China, Asset Care and Reconstruction Enterprises and others as financial creditors in the insolvency process of Reliance Infratel Ltd, which is now acquired by Reliance Project & Property Management Services, a subsidiary of Reliance Jio Infocomm, the Economic Times of India reported.

The National Company Law Appellate Tribunal (NCLAT) on Friday rejected Jaiprakash Associates Ltd's petition challenging the insolvency proceedings initiated against the company, the Economic Times of India reported. A three-member bench led by Chairperson Justice Ashok Bhushan has upheld the orders passed by the National Company Law Tribunal (NCLT), which had directed to initiate Corporate Insolvency Resolution Process (CIRP) against the company.

India’s central bank kept its policy rate unchanged as it walks the line between curbing inflation and boosting growth after a surprisingly weak quarter, the Wall Street Journal reported. Reserve Bank of India Gov. Shaktikanta Das said Friday that the monetary-policy committee decided to maintain its policy repo rate at 6.50%, with four of six members voting in favor of the move. That marks an 11th consecutive hold by the Indian central bank, keeping the benchmark rate at the same level it has been at since February 2023.