Highlights of RBI’s important Statement on Developmental and Regulatory Policies

On Friday (May 22, 2020), in its statement on developmental and regulatory policy measures, RBI announced several measures to improve the functioning of markets and market participants; measures to support exports and imports; efforts to further ease financial stress caused by COVID-19 disruptions by providing relief on debt servicing and improving access to working capital;…

SC rules SARFAESI act applies to cooperative banks as well

The Supreme Court on Tuesday (May 05, 2020) held that cooperative banks come under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Act 2002 (SARFAESI Act). The SARFAESI Act law empowers lenders to seize and sell defaulters’ assets. A five members constitution bench of Justices Arun Mishra, Indira Banerjee, Vineet Saran, M.R.…

RBI Governor held meeting with MD/CEOs of banks to discuss on three months moratorium

Today (May 2, 2020), RBI Governor Shaktikanta Das held meeting with the MD/CEOs of major public and private sector banks in two separate sessions through video conference. The meetings were attended by Deputy Governors and other senior officers of RBI. The move comes after an apex court direction to the regulator that the intended beneficiaries…

RBI asks banks to claim regulatory benefit under SLF-MF scheme irrespective of source of funds

On Thursday (April 30, 2020) RBI announced that the regulatory benefits under the special liquidity facility for mutual funds (SLF-MF) scheme being extended to all banks irrespective of whether they avail funding from the Reserve Bank or deploy their own resources under the scheme. As per RBI circular April 27, 2020, RBI would conduct repo…

Franklin fallout: RBI Announces ₹ 50,000 crore Special Liquidity Facility for Mutual Funds (SLF-MF)

Today (April 27, 2020) Reserve Bank of India announced ₹50,000 crores of special liquidity facility for mutual funds. This was in view of liquidity constraints faced by the Mutual Funds intensified in the wake of large redemptions and high exposure to low-rated illiquid debt securities. The move follows in a bid to support mutual funds…