TOP NEWS IN BANKING & FINANCIAL SERVICES
* India's Ministry of Finance said the government lifted the restriction that had barred private sector banks from conducting government-related banking transactions such as taxes and other revenue payment facilities. The move is envisioned to improve efficiency and spur competition, but transactions remain subject to the approval of the central bank.
* The Australian Securities and Investments Commission released an immunity policy for serious offenses such as market manipulation, insider trading and dishonest conduct. It said the policy will assist the regulator in identifying and taking enforcement action against breaches in specific markets and financial services.
➤ Hong Kong bourse counts on China, IPO pipeline for 2021 performance boost
The exchange will continue to count on the internationalization of the yuan, the gradual opening-up of China to global investors and a solid IPO pipeline, according to an earnings announcement.
➤ HSBC's Asia pivot may put it in path of rivals seeking a share of the same pie
Asia has already been pulling the weight of the three business divisions HSBC plans to grow in the region, an indication that the "pivot" toward the region has already been happening for the bank.
EARNINGS SPOTLIGHT
* Pakistan's National Bank of Pakistan recorded an 83.9% year-over-year increase in its consolidated profit attributable to shareholders for full year 2020 to 30.49 billion rupees from 16.58 billion rupees as interest income and net gains on securities surged.
BANKING
* China CITIC Bank Corp. Ltd. obtained approval from the China Banking and Insurance Regulatory Commission to issue up to 40 billion yuan of open-ended capital bonds, Yicai reported. The fresh funding will be added to the lender’s tier-one capital.
* Credit Suisse Group AG and UBS Group AG are moving bankers to mainland China from Hong Kong following Beijing's relaxation of curbs on foreign financial firms, Bloomberg News reported, citing people in the know.
* South Africa-based online lender Tyme Bank Ltd. raised US$110 million to finance its expansion and a partnership with JG Summit Holdings Inc. in the Philippines where the pair is applying for a local digital bank license.
* The Reserve Bank of India included FINO Payments Bank Ltd. in its list of scheduled commercial banks, allowing the company to improve its banking position in the treasury and its participation in the liquidity adjustment facility window, The Economic Times reported, citing the central bank and a company release.
* Macgregor Duncan, corporate and business development general manager at Westpac Banking Corp., said the Australian group is discussing potential partnerships amid inquiries from its large institutional customers and other fintech firms after it announced tie-ups with SocietyOne Australia Pty. Ltd. and Afterpay Ltd., The Australian reported.
FINANCIAL SERVICES
* Chinese private equity firm Boyu Capital is raising a new China-focused fund targeting US$6 billion, Reuters reported, citing three people with knowledge of the matter. The fund would be the largest U.S. dollar-denominated fund and is likely to close in the near term.
* The Fair Trade Commission of Taiwan approved Fubon Financial Holding Co. Ltd.'s application to acquire a 50.01% to 100% stake in Jih Sun Financial Holding Co. Ltd.
* Nagoya Stock Exchange Inc. President Masaki Takeda said the regional stock exchange is considering reconfiguring its stock market, Tokyo's The Nikkei reported. Its Tokyo Stock Exchange Inc. peer will revise trading section designations in April 2022.
* The Securities and Exchange Board of India ordered the National Stock Exchange of India Ltd. to conduct a detailed root cause analysis of a trading halt on the bourse that was associated with issues with links with telecom service providers," Mint reported.
* IIFL Securities Ltd. won the bid for demat accounts held by Karvy Stock Broking Ltd. Meanwhile, Axis Securities Ltd. placed the winning bid for Karvy's broking accounts with the NSE, BSE and Metropolitan Stock Exchange, Mint reported, citing a statement from the Indian financial services provider.
* Srei Infrastructure Finance Ltd. lenders hired KPMG to assist in evaluating the Indian firm's loan restructuring proposal, The Economic Times reported. The nonbank financial firm is struggling to meet repayment obligations for loans estimated to reach 310.00 billion rupees due to cash-flow problems.
* Australia-listed digital credit business and technology company MoneyMe Ltd. disclosed that it received an unsolicited, confidential and nonbinding indicative proposal from a third party to acquire its business in the first half of 2021.
POLICY AND REGULATION
* South Korea's Securities & Futures Commission approved a combined fine of 685 million won for 10 unnamed financial institutions based overseas for violating a ban on naked short selling under the Financial Investment Services and Capital Markets Act between January 2018 and July 2019.
* The Securities and Exchange Commission of Thailand said it revised regulations on real estate-backed initial coin offerings to protect investors. The new rules will take effect March 1.
* Indonesia's Deposit Insurance Corporation reduced the guaranteed interest rate at commercial banks to 4.25% for rupiah deposits and 0.75% for foreign currencies in line with a recent reduction in the Bank Indonesia benchmark rate, Bisnis Indonesia reported.
* The Monetary Board of the Bangko Sentral ng Pilipinas updated its prudential reporting guidelines for supervised nonbank financial institutions in the Philippines. The changes take effect 15 days after Feb. 24.
* Bangladesh Bank capped dividends for listed nonbank financial institutions in the country at 15% for full year 2020 in preparation for a surge in default loans as a result of the pandemic that may trigger a capital shortfall, Dhaka Tribune reported, citing an order from the central bank.
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Eden Estopace, Emily Lai, Jonathan Cheah, James Lim and Santibhap Ussavasodhi contributed to this report.
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