RBI publishes the Statement on Developmental and Regulatory Policies.
RBI has simplified the Process Flow for Small Value Transactions over UPI. One of the initial objectives of UPI was to replace cash for low value transactions.
Banking units licensed by the IFSCA is permitted to undertake investment banking activities
The banking unit operating as an investment banker shall comply with all the provisions applicable to an investment banker in the IFSC, including obligations and responsibilities prescribed in the CMI Regulations, the requirements prescribed in this circular and such requirements as may be specified by the Authority from time to time.
The Credit Information Companies (Amendment) Regulations, 2021.
The Reserve Bank of India on 10th November 2021 has notified the Credit Information Companies (Amendment) Regulations, 2021 to further amend the Credit Information Companies Regulations, 2006. As per regulation 3, Certain companies are notified and termed as “specified users” under the Credit Information Companies (Regulation) Act,2005 namely: (a) an insurance company as defined under […]
Ministry of Finance appoints 30th November 2021 as the date on which certain provisions of National Bank for Financing Infrastructure and Development Act, 2021 shall come into force.
Section 15 deals with the Committees of Board in which sub-section (1)(2)(4)(5) shall come into force from 30th November 2021.
NITI Aayog Releases Discussion Paper on Digital Banks Seeking Comments
The Paper starts by defining the concept of “Digital Bank” and points out the promise it holds while mapping the prevalent business models. It goes on to highlight the challenges presented by the “partnership model” of neo-banking that has emerged in India as a function of regulatory vacuum and absence of a Digital Bank license.
RBI warns against use of the word ‘bank’ in some cooperative societies.
It has come to the notice of RBI that some Co-operative Societies are using the word “Bank” in their names and accepting deposits from non-members/ nominal members/ associate members which tantamount to conducting banking business in violation of the provisions of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies) (the BR Act, 1949).
Report of RBI Working Group on digital lending
RBI working group recommends separate legislation to prevent illegal digital lending activities.
Continuation of New AMI Scheme (F.Y. 2021-22)
The claims in respect of projects where bank loan has been sanctioned from 1st April 2021 to 31st March 2022 can be submitted in the portal up to 31st December 2021 or within 60 days of disbursal of 1st installment of loan, whichever is later
RBI directs NBFCs to appoint Internal Ombudsman within six months.
The NBFC may appoint more than one IO depending on the number of complaints received/branch network. In such a case, the NBFC shall define the jurisdiction of each IO.
RBI issues clarification on prudential norms on Income Recognition, Asset Classification and Provisioning pertaining to Advances.
RBI has observed that some lending institutions upgrade accounts classified as NPAs to ‘standard’ asset category upon payment of only interest overdues, partial overdues, etc. In order to avoid any ambiguity in this regard, it is clarified that loan accounts classified as NPAs may be upgraded as ‘standard’ asset only if entire arrears of interest and principal are paid by the borrower.
