RESERVE BANK OF INDIA

    India: Parliament Passes Bill on Cooperative Bank Supervision

    By Editors | 22/09/2020

    The bill is aimed at protecting depositors and allows the RBI to restructure a cooperative bank without a moratorium period.

    Crypto / Digital Assets

    India Contemplates Law Banning Cryptocurrency Trading

    By Sanday Chongo Kabange | 17/09/2020

    The government will still encourage blockchain, and is exploring its use to manage land records, pharmaceutical supply chains and educational records.

    Securities / Derivatives

    India to Introduce New Interest Rate Derivatives Products

    By Editors | 16/09/2020

    The new products will be accessible to FPIs as well as non-residents transacting with Indian market makers through intermediaries.

    Capital / Liquidity

    RBI Orders Banks to Automate Asset Classification, Provisioning

    By Editors | 16/09/2020

    The RBI has given banks until 30 June 2021 to upgrade their systems to automate all asset classification, provisioning calculation and income recognition processes.

    RBI Sets Out Guidelines on Bank Compliance Function

    By Editors | 13/09/2020

    The guidelines are aimed at ensuring a uniform approach with regard to compliance and risk management culture across the banking industry.

    Capital / Liquidity

    India Supreme Court Temporarily Extends Borrower Relief

    By Editors | 11/09/2020

    The extension gives the government two weeks to decide on whether to extend a loan moratorium for borrowers and whether an interest waiver is warranted.

    Capital / Liquidity

    RBI Issues Framework for Covid-related Loan Restructuring

    By Editors | 09/09/2020

    The framework sets out sector-specific floor and ceiling thresholds for five financial ratios that lenders mandatorily have to consider when restructuring loans.

    Enforcement

    India’s Enforcement Directorate Fines StanChart $13.6mn

    By Editors | 08/09/2020

    Standard Chartered escrow accounts were used in 2007 to transfer shares in Tamilnad Mercantile Bank to overseas investors without the RBI’s permission.

    Securities / Derivatives

    SEBI Revises Mutual Fund Side Pocketing Standards

    By Sanday Chongo Kabange | 08/09/2020

    Previously, only debt securities downgraded below investment grade can be side pocketed. Side pocketing will be allowed for even higher-rated debts that are restructured due to Covid-19.

    Capital / Liquidity

    RBI Issues Draft Rules on Variation Margin Exchange

    By Manesh Samtani | 08/09/2020

    The rules are applicable to India-regulated financial firms, IFSC banking units, and FPIs with non-cleared derivatives exceeding 500bn rupees.

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