More Stories

Informist, Monday, Aug. 25, 2025

--SBI Setty: Slow corporate credit growth demand issue, not supply issue 
--CONTEXT: Punjab National Bank's MD Chandra at FIBAC 2025 event in Mumbai 
--Punjab National Bk MD: Turnaround time of loans painpoint for MSMEs 
--CONTEXT: IDFC First Bank's MD Vaidyanathan at FIBAC 2025 event in Mumbai 
--IDFC First Bank MD: India should move to daily reporting of credit defaults 

MUMBAI – Indian banks should move towards reporting credit defaults on a daily basis, IDFC FIRST Bank Managing Director and Chief Executive Officer V. Vaidyanathan said Monday while speaking at FIBAC 2025, organised by the Federation of Indian Chambers of Commerce & Industry and the Indian Banks' Association. "We have moved from 30 days to 15 days but the system is so current," Vaidyanathan said.

"Daily reporting system, of course, means upgrades of lenders and NBFCs equally. So, if you want to report daily, but even if three-day delay shows, clients should be able to adjust for that and not pay the big defaulter fee," Vaidyanathan said.

Speaking at the same session, State Bank of India Chairman C.S. Setty said that slow corporate growth in the country is not a supply side issue but rather a demand side problem. "I don't think it is about supporting the corporate credit growth and not about supply issue. In my view, it's more of a demand issue and hopefully that demand for corporate-credit comes back," Setty said.

Adding to the point of slow corporate credit demand, Punjab National Bank Managing Director Ashok Chandra said that the pain point for micro small and medium enterprises is the slow turnaround time of bank loans. "The turnaround time was one very critical point for every institution. "For the last two years, as part of the digital initiative, where up to a segment of particular limits of 25 lakhs to 1 crore (INR 2.5 million to INR 10 million), we have processed within half an hour," Chandra said.  End

Reported by Kabir Sharma ad J. Navya Sruthi

Edited by Nishant Maher

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000 

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.