BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Systematix Research Report
Based on the movement in lending and deposit rates in November 2021, public sector banks’ proportion of eligible loans (floating-rate retail and micro, small and medium enterprise loans) on external benchmark based lending rate was significantly lower than that of private banks.
Since end-June 2021, private banks’ spread has been at 182 basis points (versus 188 bps in the pre-pandemic time) due to their ability to underwrite unsecured loans, while the banking group’s proportion of loans on EBLR has been much higher.
Meanwhile, public sector banks’ spread contracted by 20 bps to 115 bps month-on-month (versus 131 bps in the pre-pandemic time) and it remains to be seen if they can maintain or improve this spread by switching eligible loans on EBLR.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
POPULAR