.......Even
when the Reserve Bank of India (RBI) came out with the discussion paper on the issue of new bank licenses, it was known that the idea of setting up some more private sector banks was loaded with compulsions much beyond the governmentfs stated intention to give a greater role for private sector in banking to promote financial inclusion and reduce governmentfs financial commitments for running banks. The role so far played...........
The very purpose of VITALINFO is to provide a platform for wider dissemination of updated information related to and happening of events in and around RBI.
Monday, April 7, 2014
KYC norms need a relook: RBI chief
.........According to media reports, D. Subbarao faced problems opening a bank account in Hyderabad, where he has settled down post-retirement, as he could not provide proof of residence. Ironical as it may sound, it was Dr. Subbarao who made KYC (know-your-customer) norms for opening bank accounts and other financial transactions stringent.................
RBI Firm on Scrapping Pre-payment Penalty
........“The philosophy of not charging prepayment penalty on floating home loan account should be mutatis mutandis applied to other floating retail loan,” said AC Mahajan, chairman of Banking Codes and Standard Board of India. “If a customer is unable to maintain minimum account, banks should migrate such accounts to basic banking accounts, where they phase out value-added services,” said Mahajan.
Read - ET
Minimum balance: Better to maintain than risk high fees
...........So as banks suggest, the charges that you may have to pay for the bank’s services may be more than the penalty and hence it may be useful to still maintain the minimum balance requirement in the account and not become a habitual offender. Not to forget that your saving’s bank account earns you an interest ..................
Thirsty, hungry and sick - Dr.Subir Gokarn
.........On others, most particularly on the agricultural productivity front, even intense efforts at adaptation still leave the continent - and, presumably, the subcontinent - extremely vulnerable, with the risks only increasing over time. Clearly, these are issues that will become increasingly central to the overall economic policy debate.
VITALINFO - The mythical Phoenix
DEAR MANGESH,
It is indeed a great feeling to see and feel that your brainchild VITALINFO has come back. As I did the forecast sometime back that VITALINFO will re-emerge and fly again like the mythical Phoenix, I am doubly happy that you have indeed made it come true. I am sure that thousands of your followers across the country and even in foreign shores are feeling the same joy and happiness. Many kudos to you and I wish that your endeavours will go on achieving many more milestones in days to come.
LONG LIVE VITALINFO !!!!!!!!!!!!!!!!!!!!!
- Prabal Sen, KOLKATA
Comparative Facts About DA in Banks Vs Central Government - A Wake Up Call for UFBU
.............We must also remember that the central government staff enjoy stagnation-free running scale of pay, throughout their career. Bank staff reach their stagnation too early in their life – many of them before they attain 40 years of age. This is a great injustice to the bank staff, considering the fact that as one gains more knowledge, skills and experience as one moves forward in the organisation, his salary does not change and he gets stuck at a position for decades.......
Read.........
DEAP Shock - Obituary
It is with great sorrow that I am informing you that Dr. N.A.Mujumdar, former
Principal Adviser DEAP passed away in the early hours of April 6, 2014.The
family is waiting for his son to come from the US. May his soul rest in
peace.
- Dr.S.S.Tarapore
(forwarded by K.U.B.Rao)
Dr.Mujumdar
served RBI for over three and a half decades and retired as
Principal Adviser in charge of the prestigious Credit Planning Cell, considered
as the RBI's Brains Trust. Dr.Mujumdar was an authority on
Agricultural Economics and was the Editor of the Indian Journal of
Agricultural Economics and the Honorary Professor at the Society for
Development Studies. He was Lecturer in the highly respected School of Economics of the University of Bombay. The I.M.F appointed him as Adviser to
the five Central Banks of Zambia, Mauritius, Belize and Cambodia. He is author of a number of
books including two volumes on Indian Agriculture. His latest book,
released only six months ago, is "India’s New Development Agenda." He had to
his credit a number of seminal articles published in the Economic and Political
Weekly. He had a wide circle of friends, admirers and students.
- P.P.Ramachandran
Raghuram Rajan may face showdown if Narendra Modi comes to power
........Strategists in Modi’s Bharatiya Janata Party (BJP), confident that his jobs-first policy pitch will secure a strong voter mandate, suggest that they would prefer to have one of their own at the helm of the RBI. That sets the stage for a confrontation with Rajan, who since being appointed last September has enjoyed an unusually smooth ride in a country where governments often treat the RBI as a punchbag for their own policy failings....................
Proposal to club wages with basic pay rejected; trade unions to move Election Commission
Trade unions will approach the Election Commission against the government decision to reject the proposal to club allowances with basic pay for PF deductions.............
RBI to issue Rs 5 coins on Acharya Tulsi birth centenary
Reserve Bank will shortly issue Rs 5 coins to commemorate the birth centenary of Acharya Tulsi. "The Government of India has minted the above mentioned coins which the Reserve Bank of India will shortly put into circulation," ...........
Keep it down
..........That is why the Reserve Bank of India's (RBI's) failure to prevent the rupee from appreciating (by buying up enough dollars) in recent weeks has been disconcerting. The RBI governor said the other day that the rupee would be too strong if it climbed to 55 against the dollar - the level that prevailed before the currency slide began a year ago. One wishes he had put the bar lower. More than one ............
Manmohan Singh the ‘reluctant’ politician
Politics was never his cup of tea. But former prime minister late P.V. Narasimha Rao had closely studied Manmohan Singh’s track record as the Reserve Bank of India governor and as the deputy chairperson of the Planning Commission and was convinced that Manmohan was indeed the man he needed to change the form and substance of Indian economy – lock, stock and barrel. In fact, when word first reached Manmohan that the ‘PM’ had included him on his list of cabinet ministers and that he wanted him to be the nation’s next finance minister, he ignored it as some kind of a joke making its rounds in the corridors of South Block..........
Managing or destroying wealth?
...........So, here is what we need to do to prevent consumers being taken for a ride, especially by banks. The regulators need to approve fewer and simpler products. They need to regulate financial advice by banks in all its forms. Finally, banks need to be put under the direct supervision of the RBI. Failing that, the rules that govern banking ombudsmen must be modernised, making them applicable to all "services" sold irrespective of regulatory domain - and there should also be severe penalties attached. Neither customers nor financial services.............
Merchanting needs more RBI realism
...........Instructions to put the names of merchant traders in a caution list where the dues reach five per cent of their annual export earnings is too harsh -- Indian exporters placed in a similar position are not subject to such treatment. RBI seems to treat merchant traders with more suspicion than necessary. A more pertinent issue is that in these matters, .......
Financial Scene: No policy action, but big news
............It is in this context that the RBI gives a kind of assurance that if inflation decelerates as intended, there will not be any need to tighten monetary policy. Explaining the reasons behind holding rates, it says that past rate increases should be allowed to work through the system. The Urjit Patel Committee’s report figures prominently in the statement. Its suggestion to reduce liquidity access to overnight repos while making a corresponding increase in term repos has been accepted. Other recommendations accepted include..............
New licences: Opposition questions timing, ‘RBI hurry’
...........“We have been very clear all through that when the model code of conduct is in force, when General Elections are a month away, then what is the hurry by the RBI to issue new bank licences? It would have made more sense to wait for the new government,” ...............
FinMin not stamping postal bank plan
........"A bank is not set up in a hurry. As far as we are concerned, India Post has been the brainchild of the postal department but we have been doing banking for years. We have some idea on how difficult it is to set up a bank. It's not a passing fancy. A bank needs to have several functions in place such as risk management, credit and treasury," ..............
Private sector lessons
..........Their public sector counterparts, despite long-standing presence in the system, have many new things to learn. Thus, granting new banking licences to more private players in a systematic manner will automatically help public sector banks deliver more efficiently.
RBI Must Speak its Mind on Bank Licences
............Against this reality, what is the game plan of the RBI and the government? Do they have one? What kind of “banks” do we need? Should one rewrite the rule book to foster low-cost financial institutions that interface with the rural and urban poor and design products to suit them? Rajan has assured that in future, RBI would give licences on-tap as well as create differentiated licences. This could give birth to institutions that are not universal banks but serve certain segments. Hopefully, one would find ...............
Read - ET
Subscribe to:
Posts (Atom)