Reserve Bank of India

Credit Risk

SEBI Eases Mutual Fund Valuation Norms for Debt Securities

By Editors | 26/04/2020

Valuation agencies need not consider payment delays and maturity extensions resulting from Covid-19 as defaults when valuing money market and debt securities held by mutual funds.

Credit Risk

Indian Banks Asked to Submit Lending Reports Daily

By Editors | 24/04/2020

The Finance Ministry has asked for data on the volume and scale of loans, as well as particulars on what sectors are getting them.

KYC & CDD

India Moves to Prevent ‘Opportunistic Takeovers’ by Chinese Investors

By Editors | 19/04/2020

India has introduced a pre-approval requirement for all foreign investment from seven countries including China to curb “opportunistic takeovers or acquisitions” of Indian companies.

Liquidity Risk

RBI Announces New Measures to Counter Covid-19 Disruptions

By Editors | 18/04/2020

The RBI has cut the reverse repo rate, lowered the LCR requirement, restricted dividend payouts, and established new liquidity facilities for NBFCs and microfinance institutions.

Trading & Investment

RBI to Open Up Rupee Derivatives for Hedging from 1 June

By Editors | 09/04/2020

Authorised dealers and can allow users to trade rupee derivatives up to USD 10 million notional value outstanding without the need to establish the existence of underlying exposures.

Fraud, Scams & Cybercrime

RBI to Establish New Banking Fraud Oversight Division

By Editors | 08/04/2020

The initiative has reportedly been sped up in response to recent frauds at Yes Bank and Punjab National Bank.

Operational Risk

RBI Reduces Market Hours to Curb Volatility

By Editors | 06/04/2020

During India’s lockdown, currency, bond and money markets will operate for only 4 hours. SEBI has also brought forward the cut-off times for the mutual fund industry.

KYC & CDD

The Four e-KYC Models Around the World

By Claus Christensen | 05/04/2020

Claus Christensen at Know Your Customer Ltd identifies four e-KYC models in use across the world, but says that harmonisation and consolidation of these schemes is likely.

Structural Regulation

RBI Grants Exemptions to Small Finance Banks

By Editors | 02/04/2020

Existing small finance banks will not need prior RBI approval to undertake non-risk sharing simple financial service activities or open banking outlets in unbanked rural centres.