Source: Business Standard and Livemint What is the News? The Reserve Bank of India(RBI) has released the report of the Expert Committee on Primary Urban Co-operative Banks(UCBs). About the Expert Committee on UCBs: The committee was set up under the chairmanship of former RBI deputy governor N.S. Vishwanathan. Mandate: To examine the issues and to… Continue reading RBI panel suggests umbrella body for helping smaller UCBs scale up
Tag: money and banking
Reserves: The RARE model in India
Source: Business Standard Relevance: Foreign Exchange reserves in India and issues related to it Synopsis: India should do away with the prevailing RARE model of reserves in a phased manner. Context The foreign exchange reserves in India are close to $620 billion. Recently, a parliamentary panel and the Union Minister Nitin Gadkari observed that the Reserve Bank… Continue reading Reserves: The RARE model in India
The silent rise of Small Finance Banks (SFBs)
Source: Live Mint Relevance: Financial inclusion and measures taken by RBI Synopsis: Challenges faced by SFBs and Criticism against them Background SFBs have grown rapidly since RBI first carved out this category half a decade ago in Indian financial system. In Financial Year (FY) 2018 – 2020, SFBs registered a phenomenal growth by doubling the… Continue reading The silent rise of Small Finance Banks (SFBs)
New licensing regime for UCBs in the pipeline
Source: Business Standard What is the news? A brand-new licensing regime for urban co-operative banks (UCBs) is on the cards for financially sound and well-managed co-operative credit societies. This comes 17 years after the Reserve Bank of India (RBI) stopped issuing them. Expected Reforms in UCBs Constituting a board of management (BoM) for UCBs with… Continue reading New licensing regime for UCBs in the pipeline
Everything you want to know about CBDC
Source: Business Standard Relevance: CBDC, its potential impact, relevant suggestions Synopsis: The central bank digital currency will neither substitute nor compete with cryptocurrency; it’s just a wallet. An analysis of its inherent problems and a way forward. Background The RBI has been working towards a phased implementation of a central bank digital currency (CBDC) with… Continue reading Everything you want to know about CBDC
Avoid arbitrary regulation
Source : Business Standard Relevance : Issues with the latest decision of RBI on deferment of the guidelines Synopsis : The deferment of RBI’s guidelines on Overdrafts and current accounts, which were laid down in August last year, has been criticized as an arbitrary regulation. The deadline for implementation of the circular has been pushed… Continue reading Avoid arbitrary regulation
A rupee wish for India@100
Source: Indian Express Relevance: An ambitious goal for India’s 100th year of Independence in 2047. Synopsis: Prosperity is possible and best accomplished by the goal of making the rupee a global reserve currency by 2047. Conditions are opportune. An analysis. Characteristics of Reserve currency A reserve currency has to serve as a medium of exchange,… Continue reading A rupee wish for India@100
