Money market: Rupee firms up - G-Secs in range
Mumbai: The rupee closed stronger against the greenback at 43.68/69 per dollar on Thursday against its previous closing at 43.7250/7350 on Wednesday.

Forwards market: The six-month forward closed higher at 1.61 per cent (1.45 per cent), while the one-year forward closed at 1.43 per cent (1.30 per cent).

G-Secs: Prices remained range-bound amid thin volumes in a lacklustre Government securities market. The 7.38 per cent 2015 paper ended at Rs106.68/70 at 6.50 per cent yield to maturity.
The paper had closed at Rs 106.60 on Wednesday.

Call rates: remained steady between 4.75 per cent and 4.80 per cent.

CBLO market: 144 trades were conducted, amounting to volumes of Rs5,291.60 crore in the rate range of 4.50-4.83 per cent.
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IOB to use 'InstaRemit' RTGS facility
Chennai: Objectfrontier Software Private Ltd has deployed its RTGS (real time gross settlement) Payment Gateway Interfacing Server Solution, InstaRemit, for the Indian Overseas Bank.

This solution enables the bank to interface TBA (total branch automation)/core banking system and treasury applications with RTGS system through a single point of entry for real time gross settlement.

It also enables funds transfer and settlement of money between banks and customer transactions in less than five minutes.

IOB plans to extend the system to 170 branches by this month-end and to all its ABB (any branch banking) branches (currently about 600) by June, the release said.
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Sundaram Mutual signs distribution pact with IOB
Chennai: Sundaram Mutual Fund has signed a distribution agreement with the Indian Overseas Bank (IOB) for the distribution of its entire range of products through select IOB branches.

IOB operates 1,700 branches throughout the country with over 60 per cent of these situated in the southern States.

"A bank has phenomenal reach and trust with the average retail investor. Retail is the way forward for our business. We hope this initiative will help us broaden our retail presence," said T.P. Raman, Managing Director of Sundaram Mutual Fund, speaking on this occasion.

The fund will be imparting training to IOB staff in the distribution of mutual fund products. IOB, in turn will use in-house IT to provide customer service.

Sundaram Mutual Fund's products will initially be made available through 33 key branches of the bank. The business will be scaled up over the next couple of years.
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Crisil: Banks will meet Basel II capital adequacy norms
Mumbai: Crisil is of the view that banks will comfortably meet the incremental capital requirements for the implementation of the Basel II norms, through internal accruals and fresh capital issuances.

The proposed framework is more comprehensive in its coverage of risks than the one currently in force. Operational risk will be addressed for the first time and market risk will be measured more scientifically under the proposed framework. It will also encourage better risk appreciation and foster risk-based pricing. In the long term, the implementation of these norms will encourage banks to be more risk-sensitive, leading to an improvement in risk management systems.

It is expected, that had the proposed framework been applied on the banking sector's March 31, 2004 portfolio, the sector would have gained 0.7 percentage point on capital adequacy as a result of the implementation of the standardised approach for credit risk.
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