RBI
08:11
Showing posts with label RBI. Show all posts
Showing posts with label RBI. Show all posts
Tuesday, 9 October 2018
Monday, 17 September 2018
Saturday, 31 March 2018
Tuesday, 27 March 2018
Thursday, 1 March 2018
Thursday, 17 August 2017
Saturday, 24 June 2017
volume of transactions
20:05
RESERVE BANK OF INDIA:RECORDING OF DETAILS OF TRANSACTION IN PASSBOOK/STATEMENT OF ACCOUNT
RESERVE BANK OF INDIA:RECORDING OF DETAILS OF TRANSACTION IN PASSBOOK/STATEMENT OF ACCOUNT
RBI/2016-17/326
DBR.No.Leg.BC.76/09.07.005/2016-17
DBR.No.Leg.BC.76/09.07.005/2016-17
June 22, 2017
All Scheduled Commercial Banks (including RRBs)
All Small Finance Banks and Payments Banks
All Small Finance Banks and Payments Banks
Dear Sir/ Madam,
Recording of Details of Transactions in Passbook/ Statement of Account
Please refer to instructions contained in Paragraphs 6 and 7 of our circular DBOD.No.Leg.BC.74/09.07.005/2003-04 dated April 10, 2004 on "Committee on Procedures and Performance Audit on Public Services - Report No. 3 - Banking Operations : Deposit Accounts and Other Facilities Relating to Individuals (Non-Business)" advising banks to avoid inscrutable entries in passbooks/ statements of account and ensure that brief, intelligible particulars are invariably entered in passbooks/ statements of account with a view to avoiding inconvenience to depositors.
2. It has come to our notice that many banks still do not provide adequate details of the transactions in the passbooks and/ or statements of account to enable the account holders to cross-check them. In the interest of better customer service, it has been decided that banks shall at a minimum provide the relevant details in respect of entries in the accounts as indicated in the Annex. The list of the transactions mentioned in the Annex is indicative and not exhaustive.
3. Banks shall also incorporate information about ‘deposit insurance cover’ along with the limit of coverage, subject to change from time to time, upfront in the passbooks.
Yours faithfully
(Rajinder Kumar)
Chief General Manager
Chief General Manager
Source:RBI
Sunday, 9 April 2017
Reserve Bank of India
07:56
Reserve Bank Of India maintains key lending rate, frowns upon loan waiver
Reserve Bank Of India maintains key lending rate, frowns upon loan waiver
Mumbai; With inflationary concerns in mind, the Reserve Bank of India (RBI) on Thursday retained its key lending rate unchanged at 6.25 per cent, a move termed on expected lines by industry. The central bank also criticised loan waiver promises as a “moral hazard” that entails transfer of taxpayers’ money.
At its first bi-monthly Monetary Policy Review of the 2017-18 fiscal, the RBI preferred to maintain status quo on its repurchase (repo) rate, or the short-term lending rate it charges on borrowings by commercial banks, and said it awaited further macroeconomic data before deciding on any changes.
After the bank’s Monetary Policy Committee (MPC) meeting, RBI Governor Urjit Patel stressed the need to “eschew” loan waiver promises, and termed loan waiver as “a moral hazard”, which “can lead to higher cost of borrowing for others”.
The MPC decided to narrow by 25 basis points the policy rate corridor, or the difference between the repo and reverse repo rate, expected to check money flow into the banking system and to drain out additional liquidity.
The adjustment automatically hiked the reverse repo rate under the liquidity adjustment facility to six per cent. Conversely, the apex bank maintained the cash reserve ratio, or the quantum of liquid funds which commercial banks have to keep, at 4 per cent.
“The decision of the MPC is consistent with a neutral stance of monetary policy in consonance with the objective of achieving the medium-term target for consumer price index inflation of 4 per cent within a band of +/- 2 per cent, while supporting growth,” an RBI statement said.
The RBI said risks are evenly balanced around the inflation trajectory at the current juncture. “There are upside risks to the baseline projection,” it said.
“Inflation developments have to be closely and continuously monitored, with food price pressures kept in check so that inflation expectations can be re-anchored. At the same time, the output gap is gradually closing. Consequently, aggregate demand pressures could build up, with implications for the inflation trajectory,” it added.
All six members of the panel, chaired by Patel, voted in favour of the monetary policy decisions.
At its last policy review on February 8, the RBI, while holding rates at 6.25 per cent, had changed its stance from “accommodative” to “neutral”.
Expectations that the RBI will maintain status quo on rates had been fuelled by inflation numbers, with wholesale inflation soaring to over a three-year high of 6.55 per cent in February and retail inflation climbing to 3.65 per cent due to rise in food and fuel prices.
The RBI hinted that the fallout of demonetisation, whereby the banking system is flushed with liquidity adding to inflationary pressures, could be a factor in its holding rates.
The higher reverse repo rate will make it lucrative for commercial banks to park their excess funds with the RBI.
Referring to the new Uttar Pradesh government’s decision to waive farm loans, Patel told reporters: “There is a need to create consensus so that loan waiver promises are eschewed. It impacts credit culture and discipline. Farm loan waiver undermines the honest credit culture.
“It is a moral hazard. It entails transfer of taxpayers’ money to private borrowers. It can lead to higher cost of borrowing for others.”
The equity markets remained unmoved by the widely-expected decision. The barometer 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange closed on Thursday at 29,927.34 points — down 46.90 points or 0.16 per cent. The wider 51-scrip Nifty of the National Stock Exchange closed the day’s trade down 3.20 points or 0.03 per cent at 9,261.95 points.
“The RBI policy to keep the repo rate on hold was on expected lines, even though reverse repo rate was hiked to 6 per cent,” State Bank of India Chairman Arundhati Bhattacharya said in a statement.
“The GVA growth forecast for 2017-18 has been put at 7.4 per cent, which indicates that recovery is expected to gather pace in the current financial year,” said industry chamber Ficci President Pankaj Patel in a statement.
“The monetary policy rate corridor has been narrowed. From industry’s perspective, greater transmission of previous policy rate cuts and a further softening of the lending rates of banks is important as this would encourage both consumption and investment demand,” he added.
“Even as faced with a big challenge of managing excess liquidity following demonetisation, the RBI has rightly not really gone overboard and resorted to much feared measures like hike in cash reserve while leaving the policy interest rates unchanged is on the expected lines,” industry body Assocham said in a statement.
“Given the inflation risks highlighted by the MPC, including the monsoon dynamics, increased allowances related to the pay commission, one-off impact of GST and global reflation risks, as well as the assessed trajectory of CPI inflation, the repo rate appears highly likely to be on hold during 2017,” said rating agency Icra Group Chief Executive Naresh Takkar.
ICICI Bank Chief Executive Chanda Kochhar said the RBI’s continued focus on inflation targeting will reinforce confidence in the Indian economy and support capital inflows.
“RBI’s clear articulation on liquidity management is welcome and would ensure stability in markets by enforcing the sanctity of the operating rate while addressing temporary liquidity imbalances,” she said.
Source:URL
Monday, 13 March 2017
Reserve Bank of India
08:39
RESERVE BANK OF INDIA DIRECTIONS TO COMPLAINTS WITH CBI IN CASE OF FRAUDS BY BANKS,FINANCIAL INSTITUTIONS
RESERVE BANK OF INDIA DIRECTIONS TO COMPLAINTS WITH CBI IN CASE OF FRAUDS BY BANKS,FINANCIAL INSTITUTIONS
Lodging of complaints with
CBI in cases of fraud /embezzlement by commercial banks and select Financial
Institutions
Reserve Bank of India (RBI) Master
Directions dated 01.07.2016 on Frauds-Classification and Reporting by
commercial banks and select Financial Institutions, inter alia, provide as
follows, in regard to lodging of complaints with CBI in cases of fraud /embezzlement:-
Category of bank
|
Amount involved in the frauds
|
Agency to whom complaint should be lodged
|
Remarks
|
Public Sector Banks (PSBs)
|
Rs. 3 crore and above and uptoRs. 25 crore
|
CBI
|
To be lodged with Anti Corruption Branch of CBI where staff
involvement is prima facie evident).
Economic Offences Wing of CBI (wherestaff involvement is prima facie
not evident)
|
PSBs
|
More than Rs. 25 crore and uptoRs. 50 crore
|
CBI
|
To be lodged with Banking Security and Fraud Cell (BSFC) of CBI
(irrespective of the involvement of a public servant)
|
PSBs
|
More than Rs. 50 crore
|
CBI
|
To be lodged with the Joint Director (Policy), CBI, HQ, New Delhi.
|
This was stated by Shri Santosh Kumar
Gangwar, Minister of State in the Ministry of Finance in written reply to a
question in Lok Sabha today.
Source:PIBNEWS
Source:PIBNEWS
Monday, 20 February 2017
TAXES
07:44
Reserve Bank of India to reimburse MDR to banks on government payments
Reserve Bank of India to reimburse MDR to banks on government payments
Mumbai: The Reserve Bank of India (RBI) on Thursday said it will reimburse banks the merchant discount rate (MDR) on debit cards used for payment of tax and non-tax dues to the government of India.
In a notification on its website, the central bank said the reimbursement will be applicable from 1 January, 2017.
MDR is the commission paid by the merchant to the acquiring bank for every digital transaction allowed by the bank.
The banks are advised to forward their claim for reimbursement of MDR along with statutory auditor’s certificate to central bank office on quarterly basis, the regulator said in its notification.
After demonetisation the government had asked banks to waive MDR or charges on debit card payments until 31 December to encourage more customers to use digital transactions. Since 2012, the RBI has capped the MDR for debit card transactions up to Rs2,000 at 0.75% and at 1% for all transactions above Rs2,000.
Source:businessfortnight
Monday, 13 February 2017
Reserve Bank of India
07:43
Recruitment for the posts of Assistant - 2016
Recruitment for the posts of Assistant - 2016
Date : Feb 07, 2017
Recruitment for the posts of Assistant - 2016
The scheme of selection for Recruitment to the posts of Assistant detailed in Bank’s latest advertisement issued on November 07, 2016 mentioned that selection shall be on the basis of two phase written examination and interview. The Bank has now reviewed the scheme of selection in the light of Office Memorandum No. 39020/01/2013-Estt (B)-Part Government of India, Ministry of Personnel, Public Grievances and Pensions (Department of Personnel and Training) dated December 29, 2015 which provides for discontinuation of interview at junior level posts in the Government of India Ministries/Departments/Attached Office/Subordinate Office/Autonomous Bodies/Public Sector Undertakings and decided not to conduct interviews for the current process of Recruitment of Assistants. The selection of candidates shall be made on the basis of marks secured in the Phase II Main examination. However, the selected candidates will have to undergo a language proficiency test in terms of clause 4(b)(iii) of the Advertisement. The test shall be of qualifying nature and only those candidates who qualify in the said test shall be appointed in the Bank.
Source:RBI
Saturday, 31 December 2016
Sunday, 11 December 2016
Reserve Bank of India
08:16
Certification necessary for bank employees in specialized jobs : RBI
Certification necessary for bank employees in specialized jobs : RBI
Reserve Bank of India has directed banks that bank employees working in specialised areas like treasury, risk management, preparation of financial results, audit, credit appraisal, credit rating , monitoring, credit administration and accounting are required to be specially trained and go through certification programmes, Bank staff working in specialized areas need to obtain the requisite certification before 1st April, 2018 for getting posted in these specialized functional areas.
It has also been directed that marketing personnel of the banks should also get approved certification to prevent mis-selling of products and reduce customer complaints.
The steps have been taken as per recommendations of ‘Committee on Capacity Building’ headed by former executive director G Gopalakrishna. The panel has also suggested banks to strengthen human resource management with special thrust on areas such as recruitment, performance assessment, promotion and job rotation.
RBI is also thinking of setting up of an accreditation agency for assuring and accrediting learning initiatives within the banking industry.
Source:Bankersclub
Saturday, 12 November 2016
RBI
19:08
New 2000 Rupees Note Printed with Wrong Urdu Text
New 2000 Rupees Note Printed with Wrong Urdu Text
Wrong Urdu text on new Rs 2000 notes, scholars say
CHENNAI: Do the words 'hazaar' and 'bazaar' mean different things?
If they do, the freshly minted maximum value currency of Rs 2,000 denomination is faulty, say Chennai-based Urdu scholars. While 'hazaar' means thousand, 'bazaar' means market.
'Do Bazaar Rupye'. This is found to have been printed in Urdu on Rs 2,000 currency. Instead of saying 'hazaar' which means 'thousand', they have committed a spelling error resulting in a word 'bazaar' which means market or shopping area, said U Mohamed Khalilullah, an Urdu scholar and chartered accountant.
On the reverse side of the new Rs 2,000 note, the value of the currency has been printed in 15 languages. In Urdu, it is printed as 'Do Bazaar Rupye,' said Mohamed Khalilullah. He said the Hindi phrase too was not correct, as it has been printed as 'Dhon Hazaar Rupye', instead of 'Dho Hazaar Rupye.'
"It has been printed wrongly. When there is a lot of confusion in the country now, whether the wrongly printed notes are valid or legal tender is to be determined," Khalilullah said.
Source:Times Of India
Wednesday, 9 November 2016
RBI
16:06
Introduction Of New 500 and 2000 Bank Notes
Introduction Of New 500 and 2000 Bank Notes
Prime Minister Narendra Modi today announced that Rs 500 and Rs 1000 banknotes would be withdrawn from the financial system at midnight, saying it was part of a crackdown on rampant corruption.
The surprise step appears to be designed to bring billions of dollars worth of cash in unaccounted wealth into the mainstream economy.
The Reserve Bank of India is introducing new design banknotes in the denomination of Rs 2000 as part of Mahatma Gandhi (New) Series. The new denomination has motif of the Mangalyaan on the reverse, depicting the country's first venture in interplanetary space. The base colour of the note is magenta. The note has other designs, geometric patterns aligning with the overall colour scheme, both on the obverse and the reverse. The size of the new note is 66mm x 166mm
Features of the New Rs 2000 Note
Obverse
1. See through register with denominational numeral 2000 can be seen when the note is held against light
2. Latent image with denominational numeral 2000 which can be seen when the banknote is held at 45 degree angle at the eye level
3. Denominational numeral 2000 in Devanagari
4. Portrait of Mahatma Gandhi in the centre
5. Micro letters 'RBI' and '2000'
6. Colour shift windowed security thread with inscriptions 'Bharat', RBI and 2000. Colour of the thread changes from green to blue when the note is tilted
7. Guarantee Clause, Governor's signature with Promise Clause and RBI emblem towards right
8. Mahatma Gandhi portrait and electrotype (2000) watermarks
9. Number panel with numerals growing from small to big on the top left side and bottom right side
10. Ashoka Pillar emblem on the right
For visually impaired
11. Raised printing of Mahatma Gandhi portrait, Ashoka Pillar emblem, based and identification mark
12. Horizontal rectangle with Rs 2000 in raised print on the right
13. Seven angular bleed lines on left and right side in raised print
Reverse
14. Year of printing on the note
15. Swachh Bharat logo with slogan
16. Language panel towards the centre
17. Motif of Mangalyan - reflecting country's first venture in the interplanetary space
The new Rs 500 notes are different from the present series in colour, size, theme, location of security features and design elements. The size of the new note is 63mm x 150mm. The colour of the notes is stone grey and the predominant new theme is Indian heritage site - Red Fort.
Obverse:
1. See through register in denominational numeral.
2. Latent image of the denomination numeral.
3. Denomination numeral in Devanagari.
4. Orientation and relative position of Mahatma Gandhi portrait changed.
5. Windowed security thread changes colour from green to blue when note is tilted.
6. Guarantee clause, Governor's signature with promise clause and RBI emblem tilted towards right.
7. Portrait and electrotype watermarks.
8. Number panel with numerals growing from small to big on the top left side and bottom right side.
9.Denomination in numerals with rupee symbol in colour changing ink (green to blue) on bottom right.
10. Ashoka pillar emblem on the right.
For visually impaired:
Raised printing of Mahatma Gandhi portrait, Ashoka pillar emblem, based and identification mark.
11. Circle with Rs 500 in raise print on the right.
12. Five bleed lines on left and right in raised print.
Reverse
13. Year of printing of the note on left.
14. Swachh Bharat logo with slogan.
15. Language panel towards centre.
16. Red Fort- an image of Indian heritage site with Indian flag.
17. Denomination numeral in Devanagari on right.
Source:IndiaToday
Wednesday, 31 August 2016
RBI
08:21
Impact of CPPIB
Impact of CPPIB
Canada Pension Plan Investment Board (CPPIB) that manages pension fund assets has recieved the Reserve Bank of India’s approval to increase its stake beyond five per cent to 10 per cent in Kotak Mahindra Bank.
“Kotak Mahindra Bank has informed the exchange that RBI has informed the bank that it has granted approval to CPPIB for acquiring shares in excess of five per cent and below 10 of the paid up capital of the bank,” said the bank in a notice to the exchanges.
At the end of June 2016, CPPIB, the largest foreign portfolio investors, had 4.89 per cent stake in Kotak Mahindra Bank. Apart from CPPIB, the other FPIs include Capital World Growth and Income Fund, SmallCap World Fund inc, New World Fund Inc, National Westminister Bank PLC and Europacific Growth Fund.
CPPIB had also raised its stake in March by buying shares from Japan-based Sumitomo Mitsui Banking Corporation. At the end of December 2015, CPPIB had a shareholding of 3.91 per cent in the bank. Earlier, Kotak Mahindra Group had also tied up with CPPIB to launch a $525 million fund to invest in the stressed asset market in India.
Kotak Mahindra and associates are significant shareholders in Business Standard Private Limited
Source:Business Standard
Wednesday, 27 April 2016
SME
08:03
DBS aims to woo retail customers by launching mobile-only bank
DBS aims to woo retail customers by launching mobile-only bank
Singapore-based DBS Bank, hitherto focusing on the affluent segment, has decided to shed that tag and instead go for mass-market retail (individual) customers.
To woo this segment, it has launched a mobile-only bank. It says this will be completely paperless and branchless, allowing customers to open accounts by using their Aadhaar card, the biometric authentication, at various companies it makes arrangements with. At present, it has tied up with 500 Café Coffee Day outlets.
To expand the customer base, the bank will be offering seven per cent annual interest (no minimum balance required) on a savings account, higher than the five per cent it was offering till now, and free cash withdrawal across all ATMs.
Piyush Gupta, chief executive officer, says the reduced cost in investments with this mobile-only bank will allow them to offer a high savings interest rate and other benefits. At present, the bank’s cost to income is 55 per cent in India. It aims at bringing this down to its global average of 45 per cent.
“We want to build a liability book of Rs 50,000 crore and an asset book of Rs 10,000 crore in the next two to three years on this platform. We are also aiming to have about five million savings accounts in the next five years,” said Gupta.
Over the past three-odd years, he said, the bank had invested about $500 million globally for a digital transformation. Investments made specifically into India weren't disclosed. India is the first country where they've launched the mobile-only bank and the lender will be taking it to other markets, too.
This comes as the bank awaits clearance from the Reserve Bank of India to convert into a wholly-owned subsidiary (WOS) in the country. The application was in April last year.
“We want to become a subsidiary in India so that we can grow and focus on the small and medium enterprise (SME) business, a very small portion (for it) in India till now. Globally, 17-18 per cent is SME banking, 20 per cent is corporate and the rest is retail,” said Surojit Shome, chief executive, DBS India.
Once the bank gets approval for WoS, they are looking at scaling up the branch network to 60-70 in the next four years. At present, the bank has 12 branches. Gupta said the Indian operations account for about five per cent of the total book. So far, the lender has invested Rs 6,500 crore into India. It infused Rs 1,700 crore of tier-2 capital in the past two years and Rs 670 crore of tier-1 capital in FY16.
The need for tier-i capital infusion, said Shome, was was at an elevated level to compensate for the erosion due to a rise in bad loans in the past couple of years.
“We had some portfolio challenges, which have been cleared, and are looking at returning to marginal profitability in FY16,” said Gupta. In FY15, the bank's loss was Rs 275 crore, on the back of higher provisioning.
Source:BankingUpdates
Monday, 25 April 2016
Reserve Bank of India
07:45
RBI Notification on merger of Private Banks
RBI Notification on merger of Private Banks
In another master direction, a compilation which consolidates instructions on rules and regulations framed by the RBI under various Acts, including banking issues and foreign exchange transactions, the central bank provided direction for issue and pricing of shares by private sector banks.
The scope of master direction on mergers will cover “an amalgamation of two banking companies and amalgamation of an NBFC with a banking company.” In both the cases, the voluntary amalgamation will become effective after RBI’s approval.
As per the direction, the decision of amalgamation should be approved by the respective boards with two-thirds majority and not just by members present and voting. Also, the draft scheme of amalgamation should have approval of shareholders of each banking company through a resolution passed by a majority representing two-thirds of the shareholders.
In case of an NBFC merging with a private sector bank, the master direction says that all accounts should be KYC-compliant as they would eventually become accounts of the banks after amalgamation.
Allotment of shares to investors will be subject to compliance which requires investors to obtain specific prior approval of the RBI if the proposed acquisition results in aggregate holding of 5 per cent or more of the paid-up capital of the bank.
Thursday, 11 February 2016
recruitment
11:29
Paytm :Paytm aims to clock Rs 10,000 crore in deposits in the next three years from the payments bank business and had announced plans to hire 3,000 staff
Paytm aims to clock Rs 10,000 crore in deposits in the next three years from the payments bank business and had announced plans to hire 3,000 staff
Paytm, India's largest mobile payments platform, has shortlisted a candidate to lead its payments bank and is bringing on board new hires as it strengthens senior management for the new business, which has a starting budget of Rs 400 crore.
The company, which was expected to start the new business by March end but has now pushed it back to the new financial year, said it has hired former Airtel executive Saurabh Sharma as vice-president and he will handle merchant and agent acquisition, a critical component for the payments bank business. Sharma was heading market operations for m-commerce at Airtel Money, part of the country's largest telecom services provider Airtel, before joining Paytm.
Following Sharma, Dhruv Dhanraj Bahl from Bain & Company will join the payments provider as assistant vice-president and will lead the branch designs and their roll out across the country. KMPG's Neha Gupta is also set to join in a few weeks as deputy general manager to handle business operations, a mid-management position at the payments bank, the company said.
"We've shortlisted people for the CEO position and hopefully we should be able to communicate it when the RBI gives us a go ahead," Paytm chief executive officer Vijay Shekhar Sharma told ET, adding that appointments to the payments bank's senior leadership positions are nearly complete.
"We've decided to put the budget for the payments bank at Rs 400 crore for two years," he said.
India's fast-growing unicorns are poaching talent from across industries, including online rivals, consulting firms and consumer firms, as they look to build strong management teams for critical operations. Paytm aims to clock Rs 10,000 crore in deposits in the next three years from the payments bank business and had announced plans to hire 3,000 staff.
About 20-25 senior and mid-management level executives have been hired to kick-start the payments bank operations. However, the company is still looking for candidates to fill positions at the finance, risk, treasury and compliance functions levels.
"We're lucky that without giving a hiring mandate to a search agency, people of Indian origin from Singapore, London who want to come back to India, are pinging us," Sharma said.
Among senior executives who've already joined Paytm for the banking business are Vikas Purohit, who was earlier with Amazon and joined as vice-president responsible for branch and business correspondent network. Also joined as vice-president are Kshitij Sanghi, former McKinsey employee who will look at technology, and Varun Khullar, who worked for ITC earlier, who will be responsible for partnerships.
Sharma said the basic offerings have also been decided, and the fundamental approach is to keep things simple and easy for consumers to understand.
One of the offerings could include cardless credit card backed by a bank, which could be connected to a customer's Paytm wallet, Sharma said. The company has made some of its key investments in fin-tech, and Sharma said that while core banking investment was the least, purchasing technology hardware alone billed up about Rs 30 crore, taking longer than expected.
In August, the RBI granted payments bank licences to 11 out of 42 applicants including Paytm, Reliance Industries, Bharti Airtel and Vodafone. The business potential from serving millions of unbanked Indians to further the financial inclusion initiative of the government and the Reserve Bank had attracted most of the top business houses.
While payments banks can't lend to their customers, they can take deposits, convey remittances and dispense payments to recipients, making them ideal for migrant workers who need to send money home.
Source:BankingUpdates
Monday, 8 February 2016
retired bank employees
08:06
EMPANELMENT OF RETIRED BANK /RBI OFFICERS AS FIELD MANAGERS FOR SURVEY OF BANK BRANCHES ON CODE COMPLIANCE,2016
EMPANELMENT OF RETIRED BANK /RBI OFFICERS AS FIELD MANAGERS FOR SURVEY OF BANK BRANCHES ON CODE COMPLIANCE,2016
Source:http://www.bcsbi.org.in/
