The <keyword id="20018890" type="General" weightage="20" keywordseo="digital-infrastructure" source="keywords">digital infrastructure</keyword> has made the <keyword id="20572901" type="General" weightage="20" keywordseo="loan-sanctioning" source="keywords">loan sanctioning</keyword> system adopt an online mode, but the <keyword id="21614839" type="General" weightage="20" keywordseo="loan-recovery" source="keywords">loan recovery</keyword> still requires a 'feet on the street' approach, says <keyword id="20506781" type="General" weightage="20" keywordseo="swaminathan-j" source="keywords">Swaminathan J</keyword>, Deputy Governor of Reserve Bank of India (RBI). Speaking at a media event in Mumbai, the deputy Governor of RBI noted that with the digital infrastructure at place, many <keyword id="22721545" type="General" weightage="20" keywordseo="fintech-players" source="keywords">fintech players</keyword> are giving loans to customers with poor credit profiles, and up on default, use aggressive recovery tactics. "While loan sanctioning and disbursement have become increasingly digital, effective collection and recovery still require a 'feet on the street' and empathetic approach. Many fintech platforms operate on a business model that involves extending <keyword id="22791879" type="General" weightage="20" keywordseo="small-value-loans" source="keywords">small-value loans</keyword> to customers who often have a poor credit profiles" said the deputy governor. He emphasized that the business model of many fintech platforms involves offering small-value loans to customers who often have poor credit profiles. This has led to the adoption of aggressive recovery strategies, which on many occasions also crosses ethical boundaries. He also highlighted one particularly concerning practice that involves the invasion of customers' privacy, where recovery agents access the personal data and contacts of borrowers and use that as a threat practice. Swaminathan cautioned that such tactics not only infringe on individuals right to privacy, but also risk damaging the reputation of regulated lenders associated with these fintech platforms. He also highlighted RBI's regulations on outsourcing, that even though regulated financial entities delegate certain activities to third parties, they remain ultimately accountable for the actions of their outsourced agents. The deputy governor also noted that the digitisation allows banks and NBFCs to leverage data for greater insights into their customers' requirements and behaviour, which can be used for developing bespoke products apart from facilitating better risk management and compliance. He stated that the role of RBI as a regulator is to establish guardrails or a balanced framework that encourages innovation while ensuring that risks are managed prudently. The deputy governor also indicated the primary goal of RBI is to ensure the stability and integrity of the financial system and not to hinder business operations.

Loan sanctioning has gone digital, but recovery still needs a 'feet on the street' approach, says RBI Deputy Governor

<keyword id="19922074" type="General" weightage="20" keywordseo="Reserve-Bank" source="keywords" meta.keywordsubtype="org" meta.entityname="Reserve Bank" meta.hostid="261" meta.entityid="Reserve Bank">Reserve Bank</keyword> Deputy Governor <keyword id="19918795" type="General" weightage="20" keywordseo="Swaminathan" source="keywords">Swaminathan</keyword> J on Wednesday said implementation of <keyword id="22784242" type="General" weightage="100" keywordseo="risk-based-premium" source="keywords">risk-based premium</keyword> for <keyword id="20132734" type="General" weightage="20" keywordseo="deposit-insurance" source="keywords">deposit insurance</keyword> merits consideration as it will ensure that institutions with higher risk profiles contribute more to the insurance fund. Speaking at a conference in Jaipur, he also said that as the financial sector becomes more digitised, deposit insurers must work closely with regulators and supervisors to strengthen oversight mechanisms. This includes regularly updating <keyword id="19946068" type="General" weightage="20" keywordseo="regulatory-frameworks" source="keywords">regulatory frameworks</keyword> to incorporate emerging risks associated with <keyword id="19989657" type="General" weightage="20" keywordseo="digital-payments" source="keywords">digital payments</keyword>, <keyword id="19906883" type="General" weightage="20" keywordseo="cybersecurity" source="keywords">cybersecurity</keyword>, and <keyword id="22180855" type="General" weightage="20" keywordseo="fintech-innovations" source="keywords">fintech innovations</keyword>. By adopting a proactive stance, deposit insurers can help ensure that <keyword id="19912054" type="General" weightage="20" keywordseo="financial-institutions" source="keywords">financial institutions</keyword> under their purview are adequately prepared to manage these risks, thereby safeguarding depositor confidence. Swaminathan was addressing the International Conference of the International Association of Deposit Insurers- Asia Pacific Regional Committee (IADI-APRC) hosted by the Deposit Insurance Credit Guarantee Corporation (DICGC). He further said the implementation of risk-based premium for deposit insurance "merits consideration". "By tying insurance premiums to the level of risk posed by individual financial institutions, deposit insurers can incentivize banks to adopt stronger risk management practices. "This approach not only enhances the overall stability of the financial system but also ensures that institutions with higher risk profiles contribute more to the insurance fund," the deputy governor said. He also emphasised that deposit insurers can further mitigate technology risks by relying on supervisory rating assessments that incorporate evaluation of a financial institution's technological and operational resilience. By using these assessments as a basis for setting insurance premiums or determining intervention strategies, deposit insurers can ensure that their actions are informed by a comprehensive understanding of each institution's risk profile, Swaminathan added. The senior <keyword id="19899808" type="General" weightage="20" keywordseo="RBI" source="keywords">RBI</keyword> official also asked deposit insurers to prioritise crisis preparedness and develop comprehensive contingency plans that account for technology-induced disruptions. This includes conducting regular stress tests and simulations to assess the potential impact of cyber incidents or fintech failures on financial institutions and the broader financial system, he said. The evolving technological landscape presents both significant challenges and opportunities for deposit insurers. By adopting a proactive, risk-based approach, including enhanced oversight, risk-based premiums, reliance on supervisory ratings, faster claim settlements, and industry collaboration, deposit insurers can effectively manage these risks, the deputy governor said.

Risk-based premium for deposit insurance merits consideration: RBI Deputy Governor Swaminathan

<keyword id="19922074" type="General" weightage="20" keywordseo="Reserve-Bank" source="keywords" meta.keywordsubtype="org" meta.entityname="Reserve Bank" meta.hostid="153" meta.entityid="Reserve Bank">Reserve Bank</keyword> Deputy Governor Swaminathan J has said State Level Bankers' Committees (SLBC) can play a more effective role in <keyword id="20377974" type="General" weightage="20" keywordseo="financial-inclusion" source="keywords">financial inclusion</keyword> through better <keyword id="20331879" type="General" weightage="20" keywordseo="coordination" source="keywords">coordination</keyword> with government and <keyword id="19944971" type="General" weightage="20" keywordseo="NGOs" source="keywords" meta.keywordsubtype="org" meta.entityname="NGOs" meta.hostid="153" meta.entityid="NGOs">NGOs</keyword> in <keyword id="22163854" type="General" weightage="20" keywordseo="credit-planning" source="keywords">credit planning</keyword> and promoting <keyword id="22122561" type="General" weightage="20" keywordseo="digital-financial-literacy" source="keywords">digital financial literacy</keyword>. Observing that the role of <keyword id="22163853" type="General" weightage="100" keywordseo="SLBCs" source="keywords">SLBCs</keyword> in fostering inclusive and <keyword id="20289318" type="General" weightage="20" keywordseo="sustainable-growth" source="keywords">sustainable growth</keyword> is crucial and multifaceted, he said, it can drive significant progress in bridging the gap between financial services and the underserved populations. "By focusing on effective coordination with government and NGOs, adopting a scientific approach to credit planning, and emphasising digital financial literacy, SLBCs can create a more inclusive financial ecosystem," he said at the Conference of Convenors of SLBCs at Pune on June 19. "As we move forward, it is essential to monitor and measure the tangible outcomes of our efforts, ensuring that the benefits of financial inclusion reach every corner of our country," he said. By tailoring initiatives to local conditions and needs, and by fostering a culture of financial literacy, he said there is a need to empower individuals to actively participate in the formal economy, thereby contributing to the broader goal of inclusive and sustainable economic development that is essential for a Viksit Bharat 2047. "I urge all stakeholders to continue working collaboratively, leveraging the strengths of each sector, and harnessing the power of technology to create a financially inclusive society," he said. As part of aspirational goals for <keyword id="19899808" type="General" weightage="20" keywordseo="RBI" source="keywords" meta.keywordsubtype="org" meta.entityname="RBI" meta.hostid="153" meta.entityid="RBI">RBI</keyword>'s centenary, referred to as RBI@100, he said, among these targets are deepening financial inclusion and expanding credit availability. Deepening financial inclusion is not merely about increasing the number of bank accounts but about ensuring that every individual has access to a comprehensive range of financial services tailored to their needs, he said. This includes savings, credit, insurance, and investment products that can enhance their economic well-being, he said. Expanding credit availability, particularly to underserved sectors such as micro, small and medium enterprises (MSMEs), agriculture, and marginalised communities, is crucial for fostering <keyword id="20421749" type="General" weightage="20" keywordseo="inclusive-growth" source="keywords">inclusive growth</keyword> and sustainable development, he added. While these may appear as part of RBI@100 objectives, they are, in fact, the goals of every stakeholder in the financial ecosystem aligned with national interest, he said, adding, achieving these aspirations requires a collective effort involving government agencies, non-governmental organisations, financial institutions, and the banking community. The role of SLBCs in this journey is pivotal, as they are the linchpin connecting various stakeholders and ensuring that the financial system works seamlessly at the grassroots level, he added.

SLBCs can play effective role in financial inclusion by better coordination with govt, NGOs: RBI DG

<ul><li>Indias largest lender <keyword id="6354731" type="General" weightage="50" keywordseo="state-bank-of-india" source="Orion">State Bank of India</keyword> said on Friday that its exposure to the <keyword id="6367820" type="General" weightage="80" keywordseo="adani-group" source="Orion">Adani Group</keyword> was well below the Reserve Bank of India's Large Exposure Framework.</li><li>The statement comes at a critical juncture with markets tanking on the basis of a short selling report from <keyword id="191733" type="General" weightage="80" keywordseo="hindenburg" source="Orion">Hindenburg</keyword> Research with the <keyword id="76451" type="General" weightage="100" keywordseo="adani" source="Orion">Adani</keyword> Group caught in a maelstrom.</li><li>The conglomerate has called the report "maliciously mischievous, unresearched".</li></ul> Indias largest lender State Bank of India (SBI) said on Friday that its exposure to the Adani Group was well below the Reserve Bank of Indias (RBIs) Large Exposure Framework and was secured by cash generating assets. The statement comes at a critical juncture with <a href="https://www.businessinsider.in/stock-market/news/adani-group-companies-lose-3-22-lakh-crore-in-market-value-amidst-tussle-with-hindenburg-research/articleshow/97374612.cms" data-type="tilCustomLink">markets tanking</a> on the basis of a short selling report from Hindenburg Research with the Adani Group caught in a maelstrom losing Rs 4.18 trillion in market cap in two trading sessions. The report by US-based investment research firm Hindenburg Research alleged that the group was engaged in "a brazen stock manipulation and accounting fraud scheme". The conglomerate has called the report "maliciously mischievous, unresearched". It has said that it is "evaluating the relevant provisions under US and Indian laws for remedial and punitive action against Hindenburg Research". Indian banks have an exposure of around Rs 80,000 crore to the Adani Group, which is 38 per cent of the group's total debt. "While as a matter of policy, we don't comment on individual clients, in the interest of setting the context right, we wish to clarify that SBI's exposure to Adani Group is well below the Large Exposure Framework. All exposure to the group from SBI is secured by cash generating assets with adequate TRA/Escrow mechanism in place, hence debt service will not be a challenge," said Swaminathan J., MD of corporate banking and subsidiaries at SBI, in a statement. The SBI, however, did not comment on the amount of its exposure to the group. With Indian equity markets roiled by a research report emerging from the US, everyone is curious as to what short selling actually means? A 32,000-word report by American short-seller Hindenburg Research has left a Rs 4 lakh crore gash on the portfolios of bulge bracket Adani bulls which have been enjoying the gravity defying valuations since the Adani Wilmar public issue more or less a year ago. Every word shaving off Rs 12.5 crore from the valuation. So, what is short selling? Simply put, someone takes position by selling stock or other securities or commodities which one does not own at the time, in the hope of buying at a lower price before the delivery time. Investopedia describes it in the following manner - selling is an investment or trading strategy that speculates on the decline in a share or other security's price. It is an advanced strategy that should only be undertaken by experienced traders and investors. Traders may use short selling as speculation and investors or portfolio managers may use it as a hedge against the downside risk of a long position in the same security or a related one. Speculation carries the possibility of substantial risk and is an advanced trading method. Hedging is a more common transaction involving placing an offsetting position to reduce risk exposure. In short selling, a position is opened by borrowing shares of a stock or other assets that the investor believes will decrease in value. The investor then sells these borrowed shares to buyers willing to pay the market price. Before the borrowed shares must be returned, the trader is betting that the price will continue to decline and they can purchase the shares at a lower cost. The risk of loss on a short sale is theoretically unlimited since the price of any asset can climb to infinity. Taking a contrarian position, top of the line broking and research firm CLSA said it doesn't see a major downside risk to Indian banks from Adani group's debt, in which the overall exposure for domestic public and private sector lenders remains well within the mangeable limits with adequate ring fencing. InGovern Research Services issued a note on Friday - On Short Selling and Shareholder Activism - providing a perspective on the whole issue: Hindenburg, as a short seller, should be considered as just another market participant which has a motivated view to release a negative report with aim to bring down the stock price. 1. Short selling is not new in Indian markets. 2. Short selling is a market mechanism and NOT wrong. 3. Short selling is healthy for Indian capital markets. 4. Short selling is a view on a stock price, it may NOT work. 5. Shareholder activism should be welcomed in Indian markets. 6. Indian companies should learn to take such reports in their stride. 7. There is a need for more investor activism in India. 8. As Indian market matures, it should get used to these kinds of activist investors taking interest in domestic companies. 9. However, short selling is not shareholder activism. 10. Short sellers are opportunist and very short-term focused. Such activism could be disruptive for management and companies. 11. Short sellers are not held in high regard in global capital markets and even in the US, many short sellers, including Hindenburg, are under investigation by the SEC and DoJ, as the short sellers are thought to achieve their objectives at all costs and detrimental to the interests of other investors. 12. Positive shareholder activism, like ValueAct Capital does, is when investors engage positively with the management and work towards bringing about change. On Data in Hindenburg Report There are no new facts in the Hindenburg report, and, at best, it is a compilation of all past allegations levelled against the Adani group. 1. Hindenburg has 3 types of data: a) Easily verifiable data on Marcap, P/E multiples, debt, shareholding patterns etc. available to all investors. b) Data points that cannot be easily verified: Mauritius entities, etc. c) Aspersions based on past (some over 20+ years), some of which were fully disclosed as part of various offering documents by the Adani group. 2. Some of the allegations in the Hindenburg report have been the subject of regulatory scrutiny in the past. 3. There are no specific complaints made to SEBI for investigation by Hindenburg. SEBI, the Indian securities market regulator, or the MCA, largely acts on specific complaints of fraud or market manipulation. Timing of Release of Hindenburg Report The strategically-timed release of the Hindenburg report on the eve of the follow-on public offering (FPO) by Adani Enterprises Ltd seems to indicate that there was some objective to scare investors. 1. However, the Hindenburg report itself may not impact the FPO share sale. 2. The anchor book has already been oversubscribed on January 25, 2023, given that the objective of many of the long-term investors would be to hold the stock for many years. 3. There could be some sentimental hit among retail investors when the FPO opens on January 27 On Valuations and Leverage Though the Hindenburg report talks of high valuations and over leverage by the Adani group, the nature of the industries in which Adani group companies operate and data on debt holding in Adani group companies indicate otherwise. 1. Valuations is in the eyes of those who have a position and are willing to bet on it. 2. These days, there are many new age companies with no revenue model and with no earnings, Adani stocks may appear to be inexpensive. SEE ALSO: <a href="https://www.businessinsider.in/stock-market/news/adani-group-companies-lose-3-22-lakh-crore-in-market-value-amidst-tussle-with-hindenburg-research/articleshow/97374612.cms">Adani Group companies lose ₹3.22 lakh crore in market value amidst tussle with Hindenburg Research</a> <a href="https://www.businessinsider.in/business/corporates/news/adani-enterprises-20000-crore-fpo-now-open-analysts-maintain-cautious-optimism/articleshow/97369358.cms">Adani Enterprises’ ₹20,000 crore FPO now open, analysts maintain cautious optimism</a> <a href="https://www.businessinsider.in/business/corporates/news/tata-motors-in-top-gear-reports-net-profit-of-2958-crore-in-q3-its-first-after-seven-quarters/articleshow/97319081.cms">Tata Motors In Top Gear: Reports net profit of ₹2,958 crore in Q3, its first after seven quarters</a>

State Bank of India defends exposure to the Adani Group as short-selling report roils markets

<ul class="summary-list"><li>The FDA and CDC <a href="https://www.businessinsider.com/cdc-advisors-yes-to-boosters-for-older-americans-no-for-healthcare-workers-2021-9">recommended this week</a> that people 65 years and older and others at high risk of severe COVID-19 get <a href="https://www.businessinsider.com/cdc-advisors-yes-to-boosters-for-older-americans-no-for-healthcare-workers-2021-9">Pfizer booster shots</a> at least 6 months after their second dose.</li><li>Here's a rundown of how, where, and when to get a booster based on your eligibility.</li></ul>Booster shots are here - for some Americans, at least.US regulators published their recommendations this week as to who should get a third dose of <keyword id="11897118" type="UNKNOWN" weightage="60" keywordseo="pfizer" source="Orion">Pfizer</keyword>'s vaccine. But there were slight differences between the guidelines from the Food and Drug Administration (FDA) and the Centers for Disease Control and Prevention (CDC).The FDA <a href="https://www.businessinsider.com/fda-authorizes-booster-shot-pfizer-biontech-covid-coronavirus-vaccine-2021-9">authorized Pfizer boosters on Wednesday</a> for people 65 years and older and others at high risk of severe COVID-19. That includes people who are more likely to get sick because of their health status, as well those who are at high risk of exposure to the virus due to where they live and work - such as healthcare workers, teachers and daycare staff, grocery store workers, and residents of homeless shelters or prisons.Then on Thursday, the CDC recommended Pfizer boosters for people 65 years and older, nursing home residents, and people ages 50 to 64 with underlying medical conditions. The agency said younger adults with underlying medical conditions or those at increased risk of COVID-19 exposure because of their job or living arrangement could consider a booster.Here's a rundown of how, where, and when to get a third shot based on your eligibility.<h2>Who should get a <keyword id="11896085" type="UNKNOWN" weightage="60" keywordseo="booster-shot" source="Orion">booster shot</keyword>, and when?</h2>The FDA authorized a third dose of the <keyword id="11901412" type="UNKNOWN" weightage="60" keywordseo="moderna" source="Orion">Moderna</keyword> or Pfizer vaccine last month for <a href="https://www.businessinsider.com/fda-expands-covid-19-vaccine-authorization-eua-booster-rollout-2021-8">people with severely weakened immune systems</a> - including people receiving cancer treatment, those with advanced HIV infections, or organ transplant patients. Third doses are necessary for this group, since immunocompromised people <a href="https://www.businessinsider.com/covid-vaccines-less-effective-immunocompromised-cdc-document-2021-7">don't develop the same protection from two shots</a> as others do.Scientists also agree that elderly people - those 65 years and older - require boosters, since their <keyword id="11895016" type="UNKNOWN" weightage="60" keywordseo="immunity" source="Orion">immunity</keyword> from vaccines tends to wane more quickly than average.But there's less consensus when it comes to the rest of the population.An <a href="https://www.cdc.gov/vaccines/acip/members/index.html">independent group</a> of advisors to the CDC out forth its own guidance on Thursday, which recommend Pfizer boosters for nursing home residents, people 65 and older, and all adults with underlying medical conditions. But they do not suggest the shot for healthcare workers, teachers, or prisoners.Scientists do agree, however, that nobody needs a booster until at least six months after their second dose. Pfizer's <a href="https://www.businessinsider.com/booster-shot-data-coronavirus-vaccine-effectivness-drops-over-time-2021-8">data suggests</a> that its vaccine is highly protective against symptomatic COVID-19 for at least six months. The third dose may <a href="https://www.businesswire.com/news/home/20210816005494/en/Pfizer-and-BioNTech-Announce-Submission-of-Initial-Data-to-U.S.-FDA-to-Support-Booster-Dose-of-COVID-19-Vaccine">help maintain that protection</a> when given 6 to 12 months out. <h2>How do you book a booster appointment?</h2>Roughly 80,000 vaccination locations will offer boosters across the country, according to Jeff Zients, the White House <keyword id="11893194" type="UNKNOWN" weightage="60" keywordseo="coronavirus" source="Orion">coronavirus</keyword> response coordinator. For the most part, the shots are available at the same locations where people got their first and second doses - including pharmacies like CVS and Walgreens. Many states have closed their large clinics and drive-through sites, though. Just like the first vaccines, booster shots are free."It will be easy. Just show your vaccination card, and you'll get a booster," President Joe Biden said last month. "No other ID, no insurance, no state residency requirement."Both Walgreens and CVS are asking people to confirm that they meet either the FDA or CDC's eligibility requirements, though the pharmacies don't require specific documentation. CVS said boosters will be available at 6,000 of its pharmacies and clinics starting Friday.Walgreens said people can book appointments over the phone or online starting Saturday. Eligible people can either bring their <keyword id="11896806" type="UNKNOWN" weightage="60" keywordseo="covid-19-vaccine" source="Orion">COVID-19 vaccine</keyword> card to the appointment or provide evidence of their last two vaccine doses and receive a new card. (People who lost their cards can typically retrieve their record by contacting their state health department or the site where they got vaccinated.)<h2>What about those who got J&amp;J?</h2>People who got the <keyword id="11898740" type="UNKNOWN" weightage="60" keywordseo="johnson-johnson" source="Orion">Johnson &amp; Johnson</keyword> shot will likely need second shots in the future, even though the company has said its jab offers <a href="https://www.businessinsider.com/johnson-jj-covid-vaccine-extra-booster-dose-shot-delta-variant-2021-7">"strong" protection against Delta</a> and other variants of concern.This week, <a href="https://www.businessinsider.com/2-shots-johnson-johnson-vaccine-effective-pfizer-moderna-study-2021-9">J&amp;J announced</a> that a second dose of its vaccine led to 94% protection against moderate to severe COVID-19.Some health experts who got the J&amp;J shot, however, have <a href="https://www.businessinsider.com/expert-johnson-vaccine-extra-shot-pfizer-moderna-delta-variant-2021-6">"topped off"</a> with a shot from Moderna or Pfizer, even though that approach goes against the recommendations.<h2>But do we really need boosters?</h2>For most people, there's no need to run to the pharmacy for a booster right away. Vaccines are still highly effective in preventing severe disease, hospitalization, and death."The real problem in this country is not that we need to boost the vaccinated - it's that we need to vaccinate the un-vaccinated," Dr. Paul Offit, who sits on the FDA's vaccine advisory committee, told Insider. "That's the problem. Until we do that, we're going to suffer in this country."The World Health Organization also opposes any move to offer boosters to the general public while so many people in the world remain unvaccinated."It's too soon, really. There isn't enough evidence from enough countries around the world to suggest that the vaccines are indeed failing," Soumya Swaminathan, the WHO's chief scientist, said at a Physicians for Human Rights panel on Monday."The main goal of the vaccines is to prevent severe disease and death," she added. "The main goal is not to prevent infection."

You Searched For "swaminathan j" and got 5 results

Loan sanctioning has gone digital, but recovery still needs a 'feet on the street' approach, says RBI Deputy Governor

ANI

Risk-based premium for deposit insurance merits consideration: RBI Deputy Governor Swaminathan

PTI

SLBCs can play effective role in financial inclusion by better coordination with govt, NGOs: RBI DG

PTI

State Bank of India defends exposure to the Adani Group as short-selling report roils markets

IANS

How, where, and when to get your COVID-19 booster shot

Andrea Michelson,Aria Bendix