......... The RBI has all through been maintaining that it needs to be empowered suitably before licensing new banks, especially those promoted by large corporates who should not be allowed to view them as captive fund pools. If the Government was really keen that new banking players be allowed – which it still is – there was nothing stopping it from amending the banking regulations as desired by the RBI. It can still do so, rather than try and browbeat the banking sector regulator.
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