Mr.M.K.Jain, Deputy Governor of Reserve Bank of India while speaking at the inaugural session of the Small Industries Development Bank of India (SIDBI) National Microfinance Congress 2019 at Mumbai, said that “Microfinance, involving the extension of small loans and other financial services to low-income groups, is a very important economic conduit designed to facilitate financial…
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…
In order to further Digital Payments in the country, RBI announced today (Nov 08, 2019) that it has mandated the Banks not to charge for NEFT online transactions of SB customers. The new rule is effective from 1st January 2020. The Central Bank statement said that the new order is to “empower every citizen with…
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…
Today October 4, 2019, RBI decided to cut interest rate by 25 basis points. With this cut RBI reduced Repo rate for the fifth time in a row. While releasing the fifth Bi-Monthly Monetary Policy Rates for 2019-20 the MPC said that the rate is reduced on the basis of an assessment of the current…
The Central Board of the Reserve Bank of India (RBI) on August 26, 2019 approved to transfer a sum of ₹1,76,051 crore to the Government of India (Government) comprising of ₹1,23,414 crore of surplus for the year 2018-19 and ₹52,637 crore of excess provisions identified as per the revised Economic Capital Framework (ECF). What consists…
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…
Reserve Bank of India on Wednesday (14th August 2019) in its notification to all Scheduled Commercial Banks including Regional Rural Banks, Urban Co-operative Banks, State Co-operative Banks, District Central Co-operative Banks, Small Finance Banks, Payment Banks, White Label ATM Operators clarified that banks should not count failed transactions at ATMs due to technical reasons and…
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…
RBI decided to cut interest rate by 35 basis points. With this cut RBI reduced Repo rate for the fourth time in a row. The Monitory Policy Committee (MPC) of RBI released its third Bi-Monthly Monetary Policy Rates for 2019-20 today (August 7, 2019). The revised key policy rates are as under. CRR (Cash Reserve…