In the world of banking, auditing, and regulatory compliance, the terms inspection and scrutiny are often used interchangeably. However, while both involve detailed examination, they differ in purpose, process, and depth of analysis. Inspection * Purpose: To verify that activities, processes, or documents meet prescribed criteria or standards. * Process: A systematic, formal review*of records,…
Efficient record management is one of the cornerstones of banking. Banks are legally required to preserve financial and customer records for specific periods, ensuring compliance, operational continuity, and customer trust. In India, the Reserve Bank of India (RBI) and other regulators mandate clear timelines for record retention, alongside procedures for secure destruction after expiry. This…
Audits and auditors form the backbone of accountability in the banking sector. By ensuring compliance, detecting risks, and fostering transparency, they safeguard public trust while reinforcing the stability of the financial system. Let’s break down this vital subject in a clear, reader-friendly way for banking professionals and enthusiasts alike. ## What Is an Audit in…
The banking industry is constantly evolving, and behind its stability and growth lie key processes such as winding up, mergers, and acquisitions (M\&A). These mechanisms don’t just affect banks—they influence financial stability, market competitiveness, and customer trust. To ensure fairness and resilience, they are governed by strict regulatory frameworks, primarily the Banking Regulation Act, 1949,…
A company’s balance sheet, also known as a “statement of financial position,” reveals the firm’s assets, liabilities, and owners’ equity (net worth) at a specific point in time. It’s used by investors, creditors, and analysts to assess a company’s financial strength, ability to pay debts, and growth potential liabilities, current liabilities, contingent liabilities & assets.)…
The Banking Regulation Act, 1949 prescribes various statutory returns that banking companies must submit to the Reserve Bank of India (RBI), and in some cases to NABARD (for cooperative banks). These returns ensure that the regulator has accurate, timely, and consistent data to monitor the financial health of banks and to safeguard the stability of…
Loans and advances form the backbone of the Indian financial system. To ensure responsible lending and safeguard both borrowers and institutions, they are governed by a robust regulatory framework. At the center of this framework is the Reserve Bank of India (RBI), which issues detailed guidelines for banks, Non-Banking Financial Companies (NBFCs), and digital lenders.…
India’s financial system stands on the foundation of robust regulation and forward-looking reforms. With the Reserve Bank of India (RBI), the Securities and Exchange Board of India (SEBI), and the government working in tandem, the country continues to reinforce stability, transparency, and resilience in the face of global and domestic challenges. RBI’s Role in Safeguarding…
The money market is a vital segment of India’s financial system, providing short-term funding and liquidity solutions for corporates, banks, and the government. To ensure stability, transparency, and investor confidence, money market instruments are closely regulated—primarily by the Reserve Bank of India (RBI), with the Securities and Exchange Board of India (SEBI) playing a complementary…
The Reserve Bank of India’s (RBI) latest guidelines for Internet Banking in 2025 focus on enhancing security, protecting consumers, improving transparency, and maintaining customer choice in digital banking services. Customer Consent and Service Choice RBI now mandates that banks cannot force customers to enroll in digital banking just to access other banking facilities such as…
