RBI raises the limit for borrowing from NBFC-MFIs

Effective from November 08, 2019 the eligibility criteria for classification under ‘Qualifying Assets’ for NBFC-MFIs are revised. The Reserve Bank of India (RBI) in it’s circular dated November 08, 2019 increased the household income limits for borrowers of NBFC-MFIs from the current level of ₹1,00,000 for rural areas and ₹1,60,000 for urban/semi-urban areas to ₹1,25,000…

RBI announces On-tap Authorisation of Payment Systems

In order to benefit from diversification of risk as also to encourage innovation and competition, Reserve Bank on 15th October 2019 announced to offer on-tap authorisation for the following entities:   Bharat Bill Payment Operating Unit (BBPOU).  Trade Receivables Discounting System (TReDS).  White Label ATMs (WLAs). The entities desirous to function / operate / provide platforms…

Gold Monetization Scheme (GMS) updated

On Friday (16.08.2019), Reserve Bank of India updated several amendments made to Gold Monetization scheme 2015 till date and advised all designated banks to give adequate publicity to the Scheme through their branches, websites and other channels. Gold Monetization Scheme (GMS) which includes the revamped ‘Gold Deposit Scheme’ (GDS) and revamped ‘Gold Metal Loan Scheme…

Direct Benefit Transfer (DBT) Scheme – Seeding of Aadhaar in Bank Accounts

On the subject of the use of Aadhaar to facilitate delivery of social welfare benefits by direct credit to the bank accounts, Reserve Bank of India vide its circular RBI/2015-16/289/FIDD.CO.LBS.BC. No.17/02.01.001/2015-16 dated January 14, 2016 had clarified that the use of Aadhaar Card and seeding of bank accounts with Aadhaar numbers is purely voluntary and…

Availability of 24×7NEFT service to the public from Dec’19

The Statement on Developmental and Regulatory Policies released by RBI yesterday set out various developmental and regulatory policy measures in the areas of Financial Markets; Payment and Settlement Systems; Banking Regulation, Financial Inclusion and Credit flow to NBFCs. Highlight of policies statement are as follows; Payment and Settlement Systems: As cited in the Payment System…