AGP Executive Report

Retail Banking Awards: Bahrain’s National Bank of Bahrain (NBB) won “Best Retail Bank in Bahrain” for a fifth straight year, citing digital upgrades and social housing finance support. Core Banking Modernization: McClain Bank signed with Zelus to roll out SNAP for faster, guided new account opening across branches. Payments & AI Rails: Quant joined the x402 Foundation to connect agent-driven payments with regulated banking infrastructure using stablecoins or digital tokens. Capital Markets Expansion: Regions Financial closed its bolt-on purchase of Frazer Lanier to expand municipal and corporate securities capabilities. Banking Regulation (US): The Fed ordered Small Business Bank in Kansas to raise capital within 30 days after finding it “significantly undercapitalized.” Crypto Regulation (Brazil): Brazil’s central bank tightened prudential rules for virtual asset service providers starting Jan. 1, 2027. Stablecoin Banking (G-SIB): Standard Chartered and Circle launched USDC minting/redemption for institutions via traditional banking rails in Dubai. Consumer Support: Canada’s rebranded Canada Groceries and Essentials Benefit (CGEB) is set to land in eligible bank accounts Friday. Fraud & Security: Customers Bank integrated Qualia Shield to reduce wire fraud risk in title and escrow workflows. Community Banking & Inclusion: Ghana’s Anum Community Bank opened a new branch in Atimpoku with digital platforms for local customers.

ATM Fee Waiver Watch (Malaysia): Communications Minister Fahmi Fadzil urged customers still charged RM1 for interbank cash withdrawals at bank-owned ATMs to complain to Bank Negara Malaysia, saying the waiver covers about 84% of bank ATMs in the shared network while the rest are run by private operators. Central Banking Appointments (New Zealand): Reserve Bank of New Zealand confirmed Angus McGregor as assistant governor for financial stability, after an acting stint since last March. EU Crypto Enforcement (EBA): The European Banking Authority opened a consultation on how it will calculate fines for issuers of “significant” tokens that breach MiCA, ahead of the July 1 licensing deadline. Nigeria Microfinance Crackdown: Nigeria’s central bank revoked operating licences of 46 microfinance banks for regulatory and operational failures, effective July 1. World Bank Energy Push (Morocco): The World Bank approved a $265m loan for a 300MW pumped hydropower storage project to boost grid resilience and enable more solar and wind. Saudi Finance Deal: Amlak International Finance sold consumer finance contracts to Saudi National Bank for $35.6m to strengthen liquidity. Banking Sector Signals (Switzerland): The Swiss National Bank said UBS is well capitalised for tougher capital requirements after Credit Suisse’s collapse. Australia Banking Awards & Deals: Macquarie swept multiple Money awards (including Bank of the Year) while Kotak agreed to buy Deutsche Bank’s India retail and wealth business.

Central Banking & Regulation: The Central Bank of Nigeria revoked the operating licences of 46 microfinance banks effective July 1, citing under-capitalisation, insolvency, inactivity, and operating without approvals, while also issuing guidance limiting suspensions of payment obligations involving troubled banks to two business days. Monetary Policy Outlook: Nepal Rastra Bank is urged to prioritise financial stability, credit classification and non-banking asset management to restore private-sector confidence as liquidity piles up and loan defaults rise. World Bank Financing: The World Bank approved a $1.25bn Nigeria package under its 2026–2032 framework to back reforms in power, digital, agriculture and revenue, and separately approved $100m for Uzbekistan’s primary education. Banking Sector Moves: Türkiye’s state-owned participation banks are set to merge, potentially reshaping the interest-free banking landscape; Ethiopia’s Awash Bank seeks approval to expand regionally. Payments & Banking Tech: Firelands FCU launched Mahalo’s Thoughtful Banking platform, while a new Qi2.2 MagSafe power bank highlights ongoing consumer device upgrades tied to charging ecosystems. Local Banking & Community: Halifax’s brand is being phased out in the UK after 173 years, and Sterling Bank awarded scholarships to area graduates.

Mortgage Policy Shock in Australia: After the Federal Budget, ING says it’s updating serviceability for negative gearing: for established investment properties bought after 12 May 2026, benefits will be limited to rental income for borrowing tests, with early estimates pointing to an 8%–12% hit to investor borrowing capacity. Fraud Watch: India’s “life certificate” pension scams are escalating, with criminals using fake bank links to harvest OTPs, CVVs and PINs. UK Banking Access: Lloyds will restore cheque deposits at post offices and banking hubs until end-2030 after pressure from MPs, aiming to help older customers who still rely on cheques. Central Banking & Regulation: The Bank of England warns agentic AI could outpace regulation and raise cybersecurity and market risks. Digital Banking Push: OCBC is launching an AI-avatar wealth app and plans to hire 600 relationship managers for its wealth push. World Bank Moves: The World Bank will phase out lending to China by 2031, shifting toward a “knowledge partner” role. Ghana Flood Funding: The World Bank blames Ghana’s Ministry of Finance fiscal controls for delays to the $350m GARID flood-resilience project.

Court Ruling: The Investment and Trade Court cleared a client of further liability in a long-running Murabaha financing dispute, ordering the Islamic bank to pay legal costs. UK Banking: The Court of Appeal rejected UK banks’ bid to halt mass motor-finance mis-selling litigation, keeping large claims in play. Central Banking/Reserves: Reuters reports the ECB is debating raising minimum cash reserve requirements to cut its own interest bill and drain excess liquidity. World Bank Climate Shift: The World Bank extended its climate framework but dropped key climate co-financing targets, citing a move from inputs to outcomes. World Bank Flood Risk: A new World Bank paper urges faster climate-proofing and energy-efficiency upgrades for Philippine firms facing recurrent flooding. Bangladesh Monetary Policy: Bangladesh Bank held its policy rate at 10% and reaffirmed a flexible exchange-rate regime to manage inflation and external shocks. Bank Holiday: Bangladesh banks and stock exchanges will suspend transactions on July 1 for half-year closing. Fraud/Payments: Javelin says identity fraud losses hit $27.3bn in 2025, with mid-market banks increasingly targeted. Crypto Banking: Binance integrated Anchorage Digital’s Atlas triparty platform, pledging collateral at Anchorage while trading on Binance. ECB/Banking Costs: ECB reserve debate could reshape liquidity economics for euro-area lenders. Corporate Finance: HDFC Bank approved Jigar Shah as general counsel-designate and general counsel later in 2026. Banking Dispute: A Sint Maarten court lifted Telem’s bank account seizures after they crippled operations. Regional Investment: EIB plans €700m financing in Morocco in 2026, including transport, private sector support and education. Auto Finance Deal: Attijariwafa Bank and AMICA signed a strategic partnership to back Morocco’s automotive ecosystem with financing, guarantees and training. Banking Sector Health (India): RBI said India’s gross NPAs hit a multi-decadal low of 1.8% at end-March 2026, with resilience supported by capital and liquidity buffers.

HDFC Bank Leadership Shake-up: India’s HDFC Bank named former Finance Secretary and ex-Chief Election Commissioner Rajiv Kumar as part-time chairman for three years (RBI approval pending) and approved Puneet Sharma as CFO from Dec 1, 2026, after the abrupt March resignation of Atanu Chakraborty. Banking Oversight & Cybersecurity: Australia’s Treasurer called alleged access to PM Anthony Albanese’s bank details “incredibly concerning” as two Sydney men face charges after an EY graduate allegedly accessed Commonwealth Bank data. Court Orders & Frozen Accounts: A St. Maarten court ordered Flow to lift conservatory attachments on TELEM’s accounts at multiple banks, saying the freeze crippled operations. World Bank Climate Pivot: The World Bank will retire its 45% climate-lending target and shift to “smart development,” while still reporting climate indicators. Payments Modernisation: Singapore’s MAS and ABS plan PayNow Generation 2 enhancements, including QR interoperability and smoother online checkout. Regional Finance Moves: Saudi’s Bidaya Finance renewed an $80m shariah loan with Al Jazira Bank; Qatar’s Lesha Bank deployed $85m via a PE fund. Inclusion & Lending Access: Papua New Guinea’s Wau Waria reopened formal banking via a Mama Bank access point; Sri Lanka’s Seylan Bank launched “Seylan Athwela” farm financing at 5% interest. Banking Sector Risk Watch: Nuvama said new India measures like FCNR(B) relaxations and ECLGS should help banks manage West Asia and El Nino risks.

Cannabis Banking Reform: U.S. lawmakers reintroduced the Secure and Fair Enforcement Banking Act of 2026 after medical cannabis was reclassified, aiming to give banks legal clarity to serve state-legal cannabis businesses. Stablecoin Regulation: Thailand’s central bank is nearing completion of a 1:1 baht-backed stablecoin framework, with pilots shaping rules and public consultation expected before end-2026. FX Pressure in Pakistan: Pakistan’s State Bank said foreign exchange reserves fell $1.305bn in the week to June 19 due to heavy external debt repayments, though it expects inflows by month-end. Bank Lending Costs in Bangladesh: Bangladesh Bank ordered banks to cap the weighted lending-deposit intermediation spread at 4 percentage points (with exceptions), to curb borrowing costs. Stablecoin Risk Warning: The BIS said dollar-pegged stablecoins fail key “money” tests and can create FX risk, likening them more to ETFs than cash. Digital Assets in Traditional Finance: BNY expanded its digital asset custody to add USDC minting, redemption, custody and transfers for institutional clients. South Africa Fraud Alert: Capitec warned of a scam using fake fraud alerts to trick customers into approving actions in banking apps. Corporate Banking Moves: Home Bancorp separated CEO and president roles at Home Bank, while Catalyst Bank’s acquisition of Lakeside Bank won shareholder approval.

HDFC Bank Leadership Shake-up: HDFC Bank is set to pick a new chairman next week, with interim chair Keki Mistry staying on until mid-September; CEO Sashidhar Jagdishan is also expected to be reappointed after an external legal review found no substance in former chair Atanu Chakraborty’s allegations. Kotak Mahindra CEO Exit: Kotak Mahindra Bank shares slid after CEO Ashok Vaswani said he won’t seek reappointment at year-end, triggering a succession search even as Nomura and Jefferies kept “Buy” calls. Regulator Watch: APRA framed proposed bank capital settings as a “calibration” to better match risk, aiming for safety without choking efficiency. Capital Markets: RAKBANK mandated a syndicate of major banks to arrange meetings ahead of a planned 5-year USD bond. Digital Lending Expansion: RoCapital IFN launched the Wonga brand in Romania, bringing a Poland-developed consumer lending model to the market. Policy & Consumer Costs: India’s July 1 changes include an Aadhaar email update fee waiver and new RBI rules on mis-selling, alongside ITR deadline reminders. AI Boom Caution: The BIS warned that AI investment exuberance could end like past booms, with reversals that hit the wider economy. Ukraine Risk Insurance: The US DFC and World Bank’s MIGA agreed a political risk insurance framework for a US-Ukraine reconstruction fund.

Regulatory Watch (Bangladesh): The Bangladesh Securities and Exchange Commission (BSEC) trained 208 merchant banking and portfolio management professionals on capital market laws and compliance, covering rules on public offers and debt securities. Central Banking (Qatar/Europe): Qatar Central Bank Governor Sheikh Bandar met the Bank of England and ECB chiefs in Basel to discuss financial and banking cooperation. Banking Performance (South Africa): African Bank flagged a technology gap and is overhauling its digital platforms after reporting a wider after-tax loss, with credit impairments rising. Leadership Moves (Bangladesh): Mutual Trust Bank named AKM Tareq deputy managing director and head of branch banking, while Forward Bank promoted Breann Eitrem to regional retail manager. Cross-Border Payments (Africa/China): Standard Bank won approval to clear renminbi payments across 19 African countries as a “Renminbi Clearing Bank of Africa” with ICBC. Islamic Finance (Bangladesh): Bangladesh’s first-ever short-term sukuk drew demand over 10x the target, highlighting liquidity constraints for Islamic banks. Fraud Alerts (India/J&K): J&K’s Crime Branch registered FIRs over alleged fake loan accounts and unauthorised transactions at Grameen Bank branches.

ATM Access Reversal: Ireland’s Bank of Ireland says it’s making a “U-turn” on ATMs, moving back into the cash machine market after years of retrenchment and branch closures. Consumer Protection: The RBI has flagged 11 marketing and sales “tricks” in new guidance, including countdown timers and pre-ticked boxes that steer customers. Fraud Alerts: Gardaí warn of a sophisticated text-message scam that tricks victims into handing over online banking access, while Kerala’s court ordered a bank to repay a matured Rs 5 lakh FD with 12% interest after non-payment. Digital Banking Push: Singapore banks have agreed to place an ATM, cashpoint or branch within 500m of every HDB block by end-2027 to help seniors during the shift to digital payments. Banking Sector Moves: Nepal bankers are urging NRB to let banks earn income by leasing non-banking assets, and Kotak Mahindra Bank’s CEO Ashok Vaswani is set to step down by year-end as succession begins. Deals & Markets: Uzbekistan Airways is preparing a landmark IPO backed by the Uzbekistan National Investment Fund, targeting a post-reform valuation around $2.3bn. Security & Crime: A masked gunman robbed a Chase Bank in Boonton, New Jersey, stealing about $12,000.

Leadership Change: Kotak Mahindra Bank says CEO Ashok Vaswani won’t seek reappointment after his term ends Dec 31, 2026, and the board has started the succession process. Regulation & Markets: RBI expanded India’s credit derivatives market, adding total return swaps on corporate bonds plus credit index products, replacing the 2022 framework. Banking Disputes: Bank of America faces a $2.25m ATM fee settlement tied to alleged multiple out-of-network charges at 7-Eleven ATMs; claims are due June 29. Insolvency Watch: India’s NCLT admitted insolvency proceedings against Supreme Engineering Limited on Bank of India’s ₹117.50 crore petition. Central Banking & Gold: Central banks’ gold buying is at a 50-year high, with official holdings topping 36,000 tonnes since 1975. Monetary Policy: Further tightening is expected after the Bank of Japan’s latest rate hike to 1%, as inflation dynamics shift. Islamic Finance & Inclusion: Bank Muamalat Malaysia launched a women-focused takaful product and a digital faraid calculator to boost Shariah-compliant financial literacy. Cyber & Consumer Risk: AYA Bank says an old application portal had limited data exposed, but core banking systems and services remain secure.

RMB Clearing Expansion: China’s central bank authorized Standard Bank and ICBC to jointly serve as the RMB clearing bank for Africa, extending ICBC’s network to 19 African countries and aiming to boost cross-border RMB payments. Banking Fraud & Accountability: India’s Haryana suspended IAS officer Pankaj Agarwal after CBI arrest in the Rs 657-crore IDFC First Bank fraud case; he’s now sought anticipatory bail. Governance Review at HDFC Bank: HDFC Bank says an external legal review found no basis for former chair Atanu Chakraborty’s claims, clearing the board after his resignation. Deposit Competition: Bandhan Bank raised fixed-deposit rates for seniors up to 7.95% (effective June 20), as banks compete for retail deposits. Payments Modernisation: Sampath Bank and Sri Lanka Ports Authority launched a real-time USD payment solution for port users, replacing manual processes. Consumer & Policy Pressure: Sri Lanka’s COPF plans to question central bank officials over alleged banking-linked fraud losses; in the US, a House Democrat urged limits on crypto in 401(k)s. Local Banking Moves: Queenstown Bank opened a new Cambridge branch; NCBA Group reported 2025 profit up 7% and lifted dividends.

Stablecoin Rules Shift: The Bank of England replaced proposed stablecoin holding caps with a £40bn issuance guardrail for each systemic stablecoin product, aiming to keep GBP payment rails usable while limiting risk leaving the banking system. Healthcare Payments Push: U.S. Bank hired payments executive Eric Levine to lead AI-driven automation for healthcare billing and documentation, targeting faster, more flexible collections in a sector still heavy on paper processes. Banking Dispute in India: HDFC Bank said an external legal review found “no contemporaneous support” for former chairman Atanu Chakraborty’s resignation allegations, after a three-month review by Wilson Sonsini and Wadia Ghandy. UK Fintech M&A/IPO Talk: ClearScore hired JPMorgan to advise on inorganic growth and a potential IPO, with valuation expectations cited in the £1.5bn–£2.5bn range. Consumer Banking Error: A National Grid billing mistake led to a Massachusetts woman’s account being debited by more than $28,000 before the utility said it would take up to 10 days to fix. Food & Agribusiness Lending: Five Star Bank is expanding into California’s Central Valley with a new Lodi branch, leaning into food and agribusiness deals despite broader bank retreat from the sector.

AI Regulation: China’s NFRA issued new AI governance rules for insurance and banking, pushing transparency, trustworthiness and stronger oversight. RBI AI Oversight: India’s RBI proposed an “AI kill switch” for banks and NBFCs, requiring human control and board-level responsibility for AI model risk. Deposit Rates: RBI commentary highlights why banks are raising deposit rates, while warning against opaque incentives that discriminate among depositors. Fraud & Enforcement: CBI arrested a Punjab National Bank manager in Agra over an alleged Rs 52,000 bribe to clear solar loan files; separate reports also flag major bank fraud and tax-evasion concerns in China. Banking Operations: RBI told banks to use CCIL and end certain USD markup practices; it also released draft AI rules for financial firms. Consumer Finance: NTA opened the NEET UG 2026 fee refund window, asking candidates to update bank details by June 30. Payments & Inclusion: Seylan Bank enabled Google Pay for Mastercard cardholders in Sri Lanka, expanding contactless access. Corporate Finance: Vedanta’s unit accepted $1.75bn in bids for three-tranche dollar debt to refinance higher-cost obligations.

World Bank Deal: Ukraine will receive $3.39bn from the World Bank—$2.35bn in grants and a $1.04bn development policy loan backed by UK and Japan guarantees—to support macro-financial stability and priority budget spending. Central Banking & FX: Maldives Monetary Authority will temporarily boost USD sales to banks by 25% from June 28 for three months to ease tourism off-season foreign-exchange pressure. Banking Sector Performance: Kyrgyzstan’s banking assets rose 28.6% in the first four months to 1.56tn soms, while loans and deposits also climbed. AI in Banking: Sovcombank is measuring “AI income” and aims to reach a level equivalent to hiring a quarter of staff as “digital employees,” while a survey finds most executives see GenAI as a major opportunity but only 18% run it in day-to-day operations. Regulatory Action: Canada’s FCAC fined Royal Bank of Canada $4.25m over credit-card credit transfer failures affecting nearly 228,000 accounts. Cyber Risk: Researchers warn of the Rokarolla Android banking Trojan, which can take near-total control of infected devices to steal credentials and disrupt banking apps. Policy & Tax Debate: UK union leaders are urging a windfall tax on London banks to fund energy bill cuts.

Banking & Markets: India’s Sensex and Nifty rebounded sharply as crude eased and investors bought up banking and IT shares, with the BSE Private Banks index leading gains. Payments & Fraud: Mastercard says it’s targeting tokenized, biometric payments to replace card numbers by 2030, aiming to cut fraud and speed checkout—while raising new concerns around outages and access. Central Banking & Liquidity: China’s central bank will debut overnight reverse-repos to manage volatile short-term rates, injecting cash around June 29-30. Risk & Regulation: The Bank of Ghana urged journalists to verify economic and financial claims to curb misinformation that can destabilize markets and security. Banking Strategy & Capital: Nigeria’s Jaiz Bank won approval for an N150bn capital raise as it targets deeper retail and SME penetration. Precious Metals Controls: Chinese banks including ICBC are tightening or exiting agency precious-metals trading tied to the Shanghai Gold Exchange as gold volatility rises. Sanctions: Nigeria ordered financial institutions to freeze assets of terrorism financiers following US sanctions actions. Cyber Resilience: Axis Bank’s CRO argued cybersecurity must shift from “defence” to governance-led resilience in an AI threat landscape. Deal Watch: Fairfax’s reported $5bn bid for IDBI Bank sparked a split move—IDBI shares rose while CSB Bank fell.