Morning Buzz: PhonePe to launch consumer lending, sales of two-wheeler makers rise, and more

Image: Shutterstock

PhonePe to launch consumer lending

PhonePe plans to launch consumer lending by January 2024. Initially it will work as a distributor of loans while it builds its own underwriting capability. The final underwriting will be provided by the regulated entity (bank or NBFC) but PhonePe will provide a robust customer base that can lead to a high approval rate.
(Economic Times)

Prospects of two-wheeler makers rise along with sales

Listed two-wheeler makers have delivered returns of 12-17 percent compared with the 7 percent gain for the BSE Auto Index on account of strong sales in the festive season. This growth has come mainly on the back of domestic demand as exports continue to be sluggish. What is key to watch now is whether this demand sustains over the course of the fourth quarter of FY24.
(Business Standard)

RBI steps up scrutiny on digital lending

The RBI is checking to see if the digital lending norms introduced last year are being followed in both letter and spirit. It had been assumed that, since the capping of the 5 percent on the first loss default guarantee, banks and non banks would be more careful in lending. But that has not happened and there has hardly been any moderation in loan growth. Most fintechs are still to implement the guidelines and this has led to some evergreening of loans.
(BusinessLine)

Centre to improve logistics for tomato, onion and potatoes

Battered by volatile prices, farmers may get some relief as the Centre plans to improve the logistics of transporting onions, tomatoes and potatoes. While storage is not an issue, transporting these vegetables is plagued with challenges. Once the scheme is operational, storage facilities would take care of inadequate harvests and better transportation would take care of bumper harvests.
(Mint)