New Definition of Micro, Small and Medium Enterprises - Clarification RBI/2022-23/52 FIDD.MSME & NFS.BC.No.7/06.02.31/2022-23 May 19, 2022 The Chairman/ Managing Director/Chief Executive Officer All Commercial Banks (including Small Finance Banks, Local Area Banks and Regional Rural Banks) All Primary (Urban) Co-operative Banks/State Co-operative Banks/ District Central Co-operative Banks /All-India Financial Institutions/ All Non-Banking Financial Companies Dear Sir/Madam,..
RBI appoints Dr. Rajiv Ranjan as new Executive Director The Reserve Bank of India (RBI) has appointed Dr. Rajiv Ranjan as Executive Director (ED) with effect from May 01, 2022. Prior to being promoted as ED, Dr. Ranjan was serving as Adviser-in-Charge of Monetary Policy Department and Secretary to the Monetary Policy Committee. Dr. Ranjan has an experience of more than three decades in macroeconomic policy and research including monetary policy, fiscal policy, real sector, external sect..
1. In my statement of April 8, 2022 I had referred to the tectonic shifts caused by the conflict in Europe which had created fresh challenges for global growth and the conduct of monetary policy. As the war draws on and sanctions and retaliatory actions intensify, shortages, volatility in commodity and financial markets, supply dislocations and, most alarmingly, persistent and spreading inflationary pressures are becoming more acute with every passing day. Debt distress is rising in th..
Monetary Policy Statement, 2021-22 Resolution of the Monetary Policy Committee (MPC) May 2 and 4, 2022 On the basis of an assessment of the current and evolving macroeconomic situation, the Monetary Policy Committee (MPC) at its meeting today (May 4, 2022) decided to: Increase the policy repo rate under the liquidity adjustment facility (LAF) by 40 basis points to 4.40 percent with immediate effect. Consequently, the standing deposit facility (SDF) rate stands adjusted to 4.15 per ..
The Reserve Bank of India has released the Report on Currency and Finance (RCF) for the year 2021-22. The theme of the Report is "Revive and Reconstruct" in the context of nurturing a durable recovery post-COVID and raising trend growth in the medium-term. The Report reflects the views of the contributors and not of the Reserve Bank. Highlights The blueprint of reforms proposed in the Report revolves around seven wheels of economic progress viz., aggregate deman..
Minutes of the Monetary Policy Committee Meeting, April 6 to 8, 2022 [Under Section 45ZL of the Reserve Bank of India Act, 1934] The thirty-fourth meeting of the Monetary Policy Committee (MPC), constituted under section 45ZB of the Reserve Bank of India Act, 1934, was held from April 6 to 8, 2022. 2. The meeting was attended by all the members – Dr. Shashanka Bhide, Honorary Senior Advisor, National Council of Applied Economic Research, Delhi; Dr. Ashima Goyal, Emeritus Professor..
RBI/DOR/2021-22/89 DoR.FIN.REC.95/03.10.038/2021-22 March 14, 2022 Master Direction - RBI (Regulatory Framework for Microfinance Loans) Directions, 2022. To All Commercial Banks (including Small Finance Banks, Local Area Banks and Regional Rural Banks) excluding Payments Bank. All Primary (Urban) Co-operative Banks/ State Co-operative Banks/ District Central Co-operative Bank.; All Non-Banking Financial Companies (including Microfinance Institutions and Housing Finance Companies.) M..
Governor's Statement: April 8, 2022 Two years ago in March 2020, we began a journey to fight the onslaught of COVID-19 on our economy with courage and determination. During the period thereafter, the Reserve Bank has successfully navigated its course through turbulent waters. While the pandemic has scarred our psyche and tested our resilience, we have responded with bold, unconventional and resolute measures to stabilise the economy through three waves of the pandemic. As the situation no..
Monetary Policy Statement, 2022-23 Resolution of the Monetary Policy Committee (MPC) April 6-8, 2022 On the basis of an assessment of the current and evolving macroeconomic situation, the Monetary Policy Committee (MPC) at its meeting today (April 8, 2022) decided to: Keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 4.0 per cent. The marginal standing facility (MSF) rate and the Bank Rate remain unchanged at 4.25 per cent. The standing deposit fa..
The Reserve Bank of India today released the guidelines on "Establishment of Digital Banking Units (DBUs)". This follows an announcement, made in the Union Budget 2022-23 for setting up of 75 Digital Banking Units (DBUs) in 75 districts to commemorate the 75 years of independence of our country (Azadi ka Amrit Mahotsav). In pursuance of the budget announcement a 'Committee for establishment of Digital Banking Units (DBUs)' was set-up by the Reserve Bank to outline a roadma..
The RBI had issued certain clarifications vide its notification dated 12th Nov 2021 with a purpose to more accurately interpret the extant IRAC norms which we must keep in mind while conducting branch audits this time. The gist of the same are reproduced below which are very important from the perspective of deciding correct date of classifying various loan accounts as SMA or NPA, further downgradation of NPA accounts, in ascertaining quantum of interest reversal and also in creating provision a..
Special Clearing operations on March 31, 2022 RBI/2021-2022/188 CO.DPSS.RPPD.No./S1769/03-01-002/2021-22 March 28, 2022 The Chairman and Managing Director / Chief Executive Officer All Scheduled Commercial Banks including Regional Rural Banks / Urban Co-operative Banks / State Co-operative Banks / District Central Co-operative Banks / Local Area Banks / Payment Banks / Small Finance Banks / National Payments Corporation of India Madam / Dear Sir, Special Clearing operations o..
Inauguration of the Reserve Bank Innovation Hub (RBIH) (Inaugural Address delivered by Shri Shaktikanta Das, Governor, Reserve Bank of India at the Reserve Bank Innovation Hub - March 24, 2022, Bengaluru) Central Banks are often viewed as traditional institutions that set monetary policies, issue currencies and regulate and supervise the financial sector segments and entities. For every economy to grow steadily and efficiently, this characteristic of a central bank is very important. Being a..
In exercise of the powers conferred by sub-section (1) read with clauses (b) to (f) of sub-section (2) of Section 38 of the Payment and Settlement Systems Act (PSS Act), 2007 (51 of 2007), the Reserve Bank of India has carried out amendments to regulation 5, regulation 6 (2) and the 'schedule' to regulation 5 of the Payment and Settlement Systems Regulations, 2008 (PSS Regulations). The amendments are carried out with the objective of reducing the compliance burden on Regulated Entities ..
Action against Paytm Payments Bank Ltd under section 35 A of the Banking Regulation Act, 1949 Reserve Bank of India, in exercise of its powers, inter alia, under section 35A of the Banking Regulation Act, 1949, directed Paytm Payments Bank Ltd to stop, with immediate effect, onboarding of new customers. The bank has also been directed to appoint an IT audit firm to conduct a comprehensive System Audit of its IT system. Onboarding of new customers by Paytm Payments Bank Ltd will be subject to ..
Reserve Bank clarifies on the mode of receipt of complaints under Reserve Bank - Integrated Ombudsman Scheme 2021(RB-IOS) Instances of misinformation being spread through certain sections of the social media about the Reserve Bank - Integrated Ombudsman Scheme 2021 (RB-IOS) have come to the notice of the RBI. These messages are conveying to public at large to lodge their complaints against entities regulated by RBI through third parties for a charge/fee or otherwise for early redres..
Reserve Bank of India launches (a) UPI for Feature Phones (UPI123pay) and (b) 24x7 Helpline for Digital Payments (DigiSaathi) The Reserve Bank has launched two key initiatives today – (1) UPI123Pay – Option to make Unified Payments Interface (UPI) payments for feature phone users, and (2) DigiSaathi - a 24x7 Helpline to address the queries of digital payment users across products. While launching the two initiatives, RBI Governor Shri Shaktikanta Das highlighted the importance of ..
BE(A)WARE - A Booklet on Modus Operandi of Financial Frauds The Reserve Bank has today released a booklet, "BE(A)WARE" on the common modus operandi used by fraudsters and precautions to be taken while carrying out various financial transactions. The surge in the digital modes of payments witnessed in the past few years gained further momentum during the COVID-19 induced lockdowns. Digital payments enhance customer convenience by improving ease of doing financial transactions. The..
Monetary Policy and Central Bank Communication (Address by Shri Shaktikanta Das, Governor, Reserve Bank of India - March 4, 2022 - Delivered at the National Defence College, Ministry of Defence, Government of India, New Delhi) I am happy to have been invited by the National Defence College (NDC) to share some of my thoughts with the participants of the 62nd NDC course on National Security and Strategic Studies. The NDC has earned a reputation for being a centre of excellence in the study a..
Payment and Settlement Systems Regulations, 2008 (As amended upto February 2022) In exercise of the powers conferred by sub-section (1) read with clauses (b) to (f) of sub- section (2) of Section 38 of the Payment and Settlement Systems Act, 2007 (51 of 2007), the Reserve Bank of India hereby makes the following regulations, namely :- Chapter I Preliminary 1. Short title and commencement :- (1) These Regulations may be called the Payment and Settlement Systems Regulations, 2008. ..