{"id":124869,"date":"2021-08-09T20:16:05","date_gmt":"2021-08-09T14:46:05","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=124869"},"modified":"2021-08-10T10:28:41","modified_gmt":"2021-08-10T04:58:41","slug":"new-licensing-regime-for-ucbs-in-the-pipeline","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/new-licensing-regime-for-ucbs-in-the-pipeline\/","title":{"rendered":"New licensing regime for UCBs in the pipeline"},"content":{"rendered":"<p><strong>Source<\/strong>: <span style=\"color: #0000ff;\"><a style=\"color: #0000ff;\" href=\"https:\/\/www.business-standard.com\/article\/finance\/new-licensing-regime-for-urban-co-operative-banks-in-the-pipeline-121080900030_1.html\" target=\"_blank\" rel=\"noopener\">Business Standard<\/a><\/span><\/p>\n<p><span style=\"background-color: var(--global--color-background); color: var(--global--color-primary); font-family: var(--global--font-secondary); font-size: var(--global--font-size-base);\"><b>What is the news?<\/b><\/span><\/p>\n<p><span data-contrast=\"auto\">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. <\/span><span data-contrast=\"auto\">This comes 17 years after the Reserve Bank of India (RBI) stopped issuing them.<\/span><span data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<h5><b><span data-contrast=\"auto\">Expected Reforms in UCBs<\/span><\/b><\/h5>\n<ul>\n<li><strong>Constituting a board of management (BoM)<\/strong> for UCBs with deposits of over Rs 100 crore. BoM would have specialists drawn from accountancy, agriculture and rural economy, banking, co-operation, economics, finance, law, small-scale industry, and information technology<\/li>\n<li>Framing of modalities for a <strong>national umbrella organization<\/strong><\/li>\n<li>Refresh of the <strong>National Cooperative Development Policy (2002)<\/strong><\/li>\n<\/ul>\n<h5><b><span data-contrast=\"auto\">N S Vishwanathan committee\u00a0<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/h5>\n<ul>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"2\" aria-setsize=\"-1\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">The expert committee on primary (urban) co-operative banks, headed by former RBI deputy governor N S Vishwanathan,\u00a0is expected\u00a0to submit its report within a fortnight.\u00a0<\/span><span data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"2\" aria-setsize=\"-1\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">Its mandate is to take stock of the regulatory measures taken by the RBI and other authorities for UCBs and assess their impact over the past five years.<\/span><span data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"2\" aria-setsize=\"-1\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">It will also identify key constraints and enablers in fulfillment of their socio-economic objective, and review the current regulatory and supervisory approach.<\/span><span data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<\/ul>\n<p><b><span data-contrast=\"auto\">The RBI\u2019s Report on Trend and Progress of Banking in India\u00a0about UCB\u2019s<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<ul>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" aria-setsize=\"-1\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">Co-operative banks, with their grass-root level customer base and domain knowledge, can attract new customers and retain existing clientele<\/span><b><span data-contrast=\"auto\">.<\/span><\/b><span data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" aria-setsize=\"-1\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">However, A change in outlook, processes, business model, and strategy are, required to achieve goals in a new development strategy that is in sync with the fast-changing landscape<\/span><span data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<li data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" aria-setsize=\"-1\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">On the technology front, more than 99% of them are now compliant with the adoption of core banking solutions norms.<\/span><span data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/li>\n<\/ul>\n<p><strong><span style=\"text-decoration: underline;\"><span class=\"TextRun SCXW136075511 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW136075511 BCX0\">Terms to know<\/span><\/span><\/span><span class=\"TextRun SCXW136075511 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW136075511 BCX0\">:<\/span><\/span><\/strong><\/p>\n<ul>\n<li><span style=\"color: #0000ff;\"><strong><a class=\"Hyperlink SCXW136075511 BCX0\" style=\"color: #0000ff;\" href=\"https:\/\/forumias.com\/blog\/banking-regulation-act-1949\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"TextRun Underlined SCXW136075511 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW136075511 BCX0\" data-ccp-charstyle=\"Hyperlink\">Banking Regulation Act, 1949<\/span><\/span><\/a><\/strong><\/span><\/li>\n<li><span style=\"color: #0000ff;\"><strong><a class=\"Hyperlink SCXW136075511 BCX0\" style=\"color: #0000ff;\" href=\"https:\/\/forumias.com\/blog\/urban-cooperative-banks\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"TextRun Underlined SCXW136075511 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW136075511 BCX0\" data-ccp-charstyle=\"Hyperlink\">Urban Cooperative Banks (UCBs)<\/span><\/span><\/a><span class=\"EOP SCXW136075511 BCX0\" data-ccp-props=\"{&quot;134233279&quot;:true,&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/strong><\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>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.\u00a0 Expected Reforms in UCBs Constituting a board of management (BoM) for UCBs with&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/new-licensing-regime-for-ucbs-in-the-pipeline\/\">Continue reading <span class=\"screen-reader-text\">New licensing regime for UCBs in the pipeline<\/span><\/a><\/p>\n","protected":false},"author":10328,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1566,3127,9],"tags":[3984,8716,8787,3992],"class_list":["post-124869","post","type-post","status-publish","format-standard","hentry","category-daily-factly-articles","category-economy","category-public","tag-cooperative-banks","tag-money-and-banking","tag-ucb","tag-urban-cooperative-banks","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":1700783156,"cached_date":1701815925},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/124869","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10328"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=124869"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/124869\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=124869"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=124869"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=124869"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}