India is eyeing a mega revamp of its regional rural banks (RRBs) and the plan includes consolidation of these lenders for better operational efficiencies in line with the government’s big rural focus. The plan that the finance ministry is drawing up also envisages RRBs adopting differentiated banking strategies, such as targeting specific sectors, for a…
RBI Governor Shri Shaktikanta Das held a meeting today with the CEOs of the public sector banks and the Chief Executive of Indian Banks Association (IBA) on the 19th July 2019. The Governor acknowledged discernible improvements in the banking sector while underscoring that several challenges still remain to be addressed, particularly with regard to the…
The Union Cabinet cleared seven amendments to the Insolvency and Bankruptcy Code (IBC) during its meeting on Wednesday 17th July which will allow the government to stick to strict timelines, and simultaneously, maximise the value of an insolvent entity from the resolution plan as a going concern. The amendments will also aid decision-making in the…
The Union Minister for Finance and Corporate Affairs Smt. Nirmala Sitharaman made her maiden Budget Speechon 5th July 2019 and presented the Union Budget 2019-20 before the Parliament. The key highlights of Union Budget 2019 are as follows: 10-point Vision for the decade 1. Building Team India with Jan Bhagidari: Minimum Government Maximum Governance. 2. Achieving green…
The Reserve Bank of India today released the 19th issue of the Financial Stability Report (FSR). The FSR reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC) on risks to financial stability, as also the resilience of the financial system. The Report also discusses issues relating to development and regulation…
RBI Governor launched Complaint Management System on 24th June 2019. Complaint Management System(CMS) is a software application to facilitate RBI’s grievance redressal processes. Members of public can access the CMS portal at RBI’s website “Complaint Management System by RBI” to lodge their complaints against any of the entities regulated by RBI. It symbolizes RBI’s commitment…
Security Measures for ATMs
The apex bank eased regulations for Basic Savings Bank Deposit (BSBD) Accounts, popularly known as ‘no-frills’ accounts. As part of the financial inclusion drive, the RBI had asked banks to provide BSBDA as a savings account offering – certain minimum facilities, free of charge. The Reserve Bank of India (RBI) on Monday said commercial banks need to…
Reserve Bank of India has issued a new framework on 7th June 2019 for resolution of bad loans, replacing the previous norms quashed by the Supreme Court in April, offering a 30-day gap for stress recognition instead of the one-day default earlier. The apex court had on April 2 struck down the stringent RBI circular, issued…
RBI has released Statement on Developmental and Regulatory Policies on 6th June 2019 which sets out various developmental and regulatory policy measures for strengthening regulation and supervision; broadening and deepening the financial markets; and improving payment and settlement systems. I. Regulation and Supervision 1. Leverage Ratio for Banks In order to mitigate risks of excessive leverage,…