Current Affairs - Banking

Karnataka Bank faced a major leadership change when both its Managing Director & CEO, Srikrishnan Hari Hara Sarma, and Executive Director, Sekhar Rao, submitted their resignations citing personal reasons. Sarma plans to relocate to Mumbai, while Rao is unable to move to Mangaluru, the bank's headquarters. These resignations, effective from July 2025, come during the bank’s strategic transformation efforts aimed at digitization and operational modernization. In response, a search committee has been formed to identify new leadership, and a Chief Operating Officer will temporarily oversee operations. The development underscores the importance of succession planning in sustaining institutional momentum and investor confidence.

Punjab National Bank (PNB) took a notable step by disbursing ₹17.02 crore under its Rakshak Plus Scheme to support the families of 26 martyred soldiers and paramilitary personnel. The scheme is designed exclusively for defence and paramilitary personnel, providing comprehensive insurance benefits such as ₹1 crore for accidental death or permanent disability and ₹1.5 crore for air travel-related fatalities. PNB's initiative is not just financial in nature; it symbolizes a larger gesture of national solidarity and gratitude. The prompt and tailored support highlights the bank’s ongoing commitment to those serving in high-risk roles for the country’s safety and sovereignty.

Maruti Suzuki India has signed a Memorandum of Understanding (MoU) with Equitas Small Finance Bank to provide vehicle financing solutions, aiming to enhance accessibility and affordability for its customers. Through this strategic partnership, Equitas will leverage its extensive customer base and financial products to support Maruti Suzuki’s wide-ranging vehicle portfolio. The collaboration not only benefits potential car buyers with easier loan options but also helps both companies expand their market presence. By combining Maruti Suzuki’s automotive leadership with Equitas’s financial outreach, the move is expected to improve customer satisfaction and accelerate growth in both the automobile and banking sectors.

DFCC Bank PLC of Sri Lanka made history by becoming the first foreign corporation to list a green bond on India’s NSE International Exchange (NSE IX) at GIFT City. This move marked a significant milestone in cross-border financial cooperation and sustainable development, aligning with India’s aspirations for GIFT City as a global financial hub. The LKR 2.5 billion green bond, primarily aimed at financing solar PV projects, demonstrates DFCC Bank's commitment to green financing and regional market integration. The listing also reinforces the bank’s multi-exchange strategy, having previously listed on the Luxembourg Stock Exchange.

Scapia, a travel-focused fintech company based in Bengaluru, teamed up with Federal Bank to launch the Scapia Federal RuPay Credit Card. This innovative card combines the domestic UPI-enabled RuPay network with the globally accepted Visa network, offering users a seamless credit experience. Targeted at mobile-first travellers, it includes benefits like zero forex markup, integrated UPI-credit functionality, a unified credit statement, and generous reward programs in the form of Scapia Coins. The card also offers airport perks such as complimentary lounge access, making it a unique solution for modern financial and travel needs across India and internationally.