The Reserve Bank of India today announced constitution of a Working Group with a view to harmonising the role and operations of development finance institutions (DFIs) and banks. Headed by Shri S.H. Khan, Chairman & Managing Director, Industrial Development Bank of India, the Working Group will have the following terms of reference: <ol type=i> To review the role, structure and operations of DFIs and commercial banks in emerging operating environment and to

Shri S.P. Talwar, Deputy Governor, RBI met CMDs and Senior Officials of leading public sector banks today at Mumbai to discuss the prevailing situation in the credit dispensation by the banks to the commercial sector. At the outset he mentioned that the recent measures announced by the Reserve Bank keeping in view the prevailing situation in finance and forex markets were temporary and that they should not come in the way of flow of credit to the commercial sector. Re

On a review of monetary and credit developments since the announcement of the Monetary and Credit Policy in April 1997, the Reserve Bank of India has today decided to reduce the Bank Rate. With effect from the close of business today (June 25, 1997), the Bank Rate will be reduced by one percentage point, i.e., from the present level of 11 per cent per annum to 10 per cent per annum. The interest rates on domestic term deposits for maturity of 30 days and up to one yea

According to the data on aggregate deposits and gross bank credit of scheduled commercial banks as on the last Friday of December 1996 collected through the BSR-7 returns, the top 100 centres arranged according to the size of deposits accounted for 59.0 per cent of the total deposits. Similarly, the top 100 centres arranged according to the size of bank credit constituted 71.6 per cent of the total bank credit. Nationalised banks as a group contributed 55.1 per cent o

The Reserve Bank of India, in exercise of the powers vested in it under sub-section (4) of Section 45K of the Reserve Bank of India Act, 1934, has prohibited the Chancellor Housing Development Finance & Investment (I) Ltd., Registered Office at Nutan Bazar, P.O. Dhubulia, Dist. Nadia, West Bengal,</b> from accepting deposits from any person including the existing depositors/certificate holders, in any form, whether by way of subscription/instalment to any sc

According to the data on aggregate deposits and gross bank credit of scheduled commercial banks as on the last friday of September 1996 collected through the BSR-7 quarterly returns, the top hundred centres arranged according to the size of deposits accounted for 58.8 per cent of the total deposits. Similarly, the top hundred centres arranged according to the size of bank credit constituted 71.5 per cent of the total bank credit. Nationalised banks as a group contribu

With a view to providing institutional mechanisms for promoting rural savings as well as for the provision of credit for viable economic activities in the local areas, it has been decided to allow the establishment of new local banks in the private sector. This is expected to bridge the gaps in credit availability and enhance the institutional credit framework in the rural and semi-urban areas. The following are the guidelines for establishment of the new local banks:

For well over two decades, after the nationalisation of 14 larger banks in 1969, no banks have been allowed to be set up in the private sector. Progressively, over this period, public sector banks have expanded their branch network considerably and catered to the socio-economic needs of large masses of the population, especially the weaker section and those in the rural areas. The public sector banks now have 91 per cent of the total bank branches and handle 85 per ce