Current Affairs - Banking

The State Bank of India (SBI) has introduced a TAB-based, fully digital onboarding process for Non-Resident Indians (NRIs) to open NRE and NRO accounts. Launched on January 2, 2025, this initiative eliminates the need for physical paperwork by enabling digital document verification. It ensures faster account setup and enhances convenience for NRIs. SBI’s commitment to integrating advanced technology into its services highlights its focus on efficiency and customer satisfaction in global banking.

The Reserve Bank of India (RBI) has mandated the implementation of a name lookup facility for NEFT and RTGS transactions by April 1, 2025. This feature aims to reduce fraud and errors by allowing remitters to verify beneficiary names before initiating payments. Developed by the National Payments Corporation of India (NPCI), this system will function similarly to UPI and IMPS. Banks will integrate the feature into their digital and physical banking platforms to enhance transaction security and accuracy.

Amitava Chatterjee, previously serving as Deputy Managing Director at State Bank of India, has been appointed as the new Managing Director and Chief Executive Officer of J&K Bank. He will succeed Baldev Prakash, whose term concludes on December 29, 2024. Chatterjee's tenure as MD & CEO will span three years, beginning December 30, 2024.

Tata Power Renewable Energy has partnered with Canara Bank to offer affordable loans for rooftop solar installations as part of the PM Surya Ghar Scheme. This initiative provides financing options with favorable terms, including low-interest rates and long repayment periods, for systems ranging from up to 3 kW to 10 kW capacity. The collaboration aims to promote clean energy adoption, supporting India’s renewable energy targets and enabling residential customers to transition to sustainable energy solutions.

The Reserve Bank of India (RBI) imposed penalties on IndusInd Bank (₹27.3 lakh) and Manappuram Finance (₹20 lakh) due to non-compliance with regulatory norms. Inspections revealed deficiencies, such as the opening of savings accounts for ineligible entities by IndusInd Bank and failure to verify customer PANs or assign Unique Customer Identification Codes by Manappuram Finance. These actions highlight the importance of strict adherence to RBI’s regulatory guidelines.