Balance growth with equity, inclusiveness, says Speaker

The Lok Sabha Speaker, Ms Meira Kumar; flanked by the Chief Economic Advisor, Mr Kaushik Basu, and the Director, Centre for Advanced Financial Research and Learning, Ms Usha Thorat, releasing a book during the Golden Jubilee celebrations of the Indian Economic Service, in the Capital on Tuesday.

HBL

SB accounts to get interest on end-of-day balance

The Reserve Bank of India (RBI) on Wednesday said that interest rates applicable on the domestic savings bank deposits will be determined on the basis of end-of-day balance in the account. While calculating interest on domestic savings bank deposits, banks are required to apply the uniform rate set by them on end-of-day balance up to Rs.1 lakh.  For any end-of-day balance exceeding Rs.1 lakh, banks could apply the differential rates as fixed by them. “Banks may ensure that interest rate is applied on the end-of-day balances of all domestic savings deposit accounts and no discrimination is made at any of its offices. Prior approval of the Board/Asset Liability Management Committee (if powers are delegated by the Board) may be obtained by a bank while fixing interest rates on such deposits,” the Reserve Bank added.

HBL

RBI monetary policy: It's time to change three gears

We welcome the Reserve Bank of India's growing focus on protecting growth from fighting inflation. Monetary policy should change in three ways. First , policy rates need to cycle down to support growth. Second, RBI needs to reduce the money market liquidity deficit to ease pressure on lending rates instead of adding to it.............. 

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NSMs must for banks with over 50 L transactions

PUDUCHERRY: The Reserve Bank of India (RBI) has made the desktop note sorting machines (NSM) compulsory in all banks, where the average daily receipts exceed Rs 50 lakh, to filter fake notes at the entry point, said S Nandhakumar, Assistant Manager,............

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Govt banks to have more EDs in FY13

Starting next financial year, six large public sector banks, with business of more than Rs 3 lakh crore, are set to get a third executive director each. The finance ministry wants the new executive directors to focus exclusively on human resources and information technology. The government would also appoint a second executive director in small public sector banks that have just one executive director. Currently, except for four government banks, all others have two executive directors. As a result, two dozen executive directors’ posts need to be filled up in the next financial year. The finance ministry has shortlisted around 48 general managers for interviews. General managers who have completed two years at the post and have three years of residual service are eligible for these posts. While the finance ministry had relaxed the eligibility criteria while selecting chairmen and managing directors in public sector banks, the eligibility criteria for the post of executive directors has not been relaxed. The interview panel includes banking secretary in the finance ministry, D K Mittal, Reserve Bank of India (RBI) Deputy Governor Anand Sinha, and former RBI Deputy Governor J Capoor. The interviews would be conducted by the end of this month. Punjab National Bank, Bank of Baroda, Canara Bank, Bank of India, Union Bank of India and Central Bank of India that would get a third executive director each, while smaller banks like United Bank of India, Dena Bank, Bank of Maharashtra and Punjab and Sind Bank are likely to get a second executive director. The finance ministry had recently finalised the candidates for the top posts of public sector banks. Banks that would get new chiefs in the next financial year are Canara Bank, Bank of Baroda, Bank of India, United Bank of India, Dena Bank and Allahabad Bank. The finance ministry has done away with the system of lateral transfers while appointing chiefs of large public sector banks. Earlier, for large banks like Bank of Baroda and Bank of India, a chairman of a smaller bank was given charge. However, this time, executive directors have been promoted and are set to take up the roles of chiefs.

BS

Bulk deposit rates near 10% despite cut in CRR

With banks fearing another cash shortage bank bulk deposit rates moved close to 10 per cent, despite the Reserve Bank of India’s (RBI) half per cent cut in the cash reserve ratio (CRR)...........

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RBI advises govt to stick to fiscal consolidation road-map

RBI Governor D Subbarao said, “If the government goes beyond the (targeted) number and gives details about how the number is going to rollout next year and beyond, I think that would be very credible not only for the RBI but also for all those people who are planning investments in India”..........

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Obtaining Coop Bank Licence won’t be tough: Abhyankar

...... Umbrella Organisation shall be a co-operative society registered under the Multi-State Co-operative Societies Act, 2002 of the Government of India. Even though the Malegam Committee recommendations regarding the Umbrella Organisation if accepted by the RBI, suitable amendments in the Banking Regulation Act 1948 will have to be made, which shall be the duty of the RBI and the Government of India.............

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'Investor-friendly' Sebi to launch ad campaign next month

... In the past, the banking regulator Reserve Bank of India (RBI) has regularly used the print and the electronic media to alert the public about various fictitious schemes and fake currencies......

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RBI lists ways to identify fake notes

CHENNAI: In order to sensitise residents of Kovilambakkam village panchayat in Pallikaranai on counterfeit currency, officials of the Reserve Bank of India visited the area on Monday and conducted a workshop at the panchayat office. Residents, panchayat officials and councillors learnt many basic and simple methods of differentiating genuine and fake currency notes. RBI officials, in co-ordination with the village pan­chayat president A Ranganathan, decided to conduct the workshop after Express reported that Pallikaranai locals feared the inflow of fake currency into their area after three labourers from West Bengal were held by the National Investigation Agency. RBI officials emphasised the importance of knowing the features of genuine currency notes to help identify fake notes as they said that possession and passing on of fake notes not only brings economic loss to both the individual and the country, but also could land a person in prison for three to seven years, with fine. Besides explaining the six basic features of a genuine note that can help differentiate it from a fake note, pamphlets were also distributed. RBI officials said they would be imparting more detailed training to bank officials as well as conducting workshops for staff of petrol bunks and TASMAC outlets.  Several residents who enthusiastically participated in the workshop, said it was the first time they knew that a currency note had such special features. “We never knew or checked notes for all these features. This is the first time we are hearing that genuine and fake notes have so many differences,” said Saraswati, a resident of the area. “Even when we go to banks, we never had the patience to read posters,” another resident, Vikramasimhan, said.

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