IFSCA allows finance companies and units to function as Credit Institutions
These entities are allowed to Lend in the form of loans, commitments and guarantees, credit enhancement, securitisation, financial lease, sale and purchase of portfolios and Factoring and forfaiting of receivables.
RBI revises Master Direction – Risk Management and Interbank Dealings
RBI has amended the Master Direction – Risk Management and Interbank Dealings dated July 5, 2016 to revise the provisions regarding Risk Management and Inter-Bank Dealings – Hedging of foreign exchange risk. These Directions shall come into effect from April 05, 2024
Master Direction – Reserve Bank of India (Internal Ombudsman for Regulated Entities) Directions, 2023
RBI has issued Master Direction – Reserve Bank of India (Internal Ombudsman for Regulated Entities) Directions, 2023 which mandates regulated entities to appoint an internal ombudsan and explains his obligations.
RBI revises Master Direction – Reserve Bank of India (Commercial Paper and Non-Convertible Debentures of original or initial maturity upto one year) Directions, 2024
The roles and responsibilities of the IPA, Debenture Trustee and Credit Rating Agency (CRA) with respect to the operations in CP and NCD markets are set out in the directions.
RBI releases draft circular on declaration of dividend by banks and remittance of profits to Head Office by foreign bank branches in India
Comments on the draft circular are invited from banks, market participants, and other stakeholders by January 31, 2024 by email.
RBI issues revised instructions for Inoperative Accounts /Unclaimed Deposits in Banks
RBI has issued comprehensive guidelines on the measures to be put in place by the banks covering various aspects of classifying accounts and deposits as inoperative accounts and unclaimed deposits, as the case may be, periodic review of such accounts and deposits, measures to prevent fraud in such accounts/deposits, grievance redressal mechanism for expeditious resolution of complaints, steps to be taken for tracing the customers of inoperative accounts/ unclaimed deposits including their nominees/ legal heirs for re-activation of accounts, settlement of claims or closure and the process to be followed by them.
Revised methodology for assessing the systemic importance of banks and identification of the D-SIBs
2. Detailed guidelines as per the revised methodology will be shared in the Guidance Note and Excel Sheet provided to banks included in the annual assessment each year.
Reclassification of MSMEs
For Priority Sector Lending to MSMEs, banks shall be guided by the classification recorded in the Udyam Registration Certificate (URC).
RBI releases Draft Directions on Bond Forwards under Section 45W of the RBI Act, 1934
The Reserve Bank of India has released the Draft Reserve Bank of India (Bond Forwards) Directions, 2023. Comments on the draft directions are invited from banks, market participants, investors and other interested parties by January 25, 2024.
MHP Exemption for Transfer of Receivables by banks
In order to develop secondary market operations of receivables acquired as part of ‘factoring business’ as defined under the Factoring Regulation Act, 2011, has decided that transfer of receivables by eligible transferors will be exempted from Minimum Holding Period requirement.
