DNBS No. 6625 /03.11.01/2006-07April 2, 2007Non-Banking Financial CompaniesDear Sir, Union Budget Speech for the year 2007-08Regulations for creation of mortgage guarantee companies Please refer to Paragraph 90 of Union Budget Speech – 2007-2008 - Housing Loans (copy of the paragraph enclosed as Annex 1).2. An Internal Group was constituted by the Reserve Bank to formulate regulatory guidelines and to recommend a regulatory guidelines/framework for mortgage guarantee

March 20, 2007DBOD.No.BP. 1151/21.06.001/2006-07 The Chairman / Chief Executive Officer,All Commercial Banks(excluding LABs & RRBs)</P> Dear Sir,Prudential Guidelines on Capital Adequacy and Market Discipline –Implementation of the New Capital Adequacy FrameworkPlease refer to our letter DBOD.No.BP.1163/ 21.04.118/ 2005-06 dated February 15, 2005 forwarding the draft guidelines for implementation of the New Capital Adequacy Framework and inviting feedback fr

DBOD.BP.No. 781 / 21.04.018/ 2006-07 December 19, 2006 All Scheduled Commercial Banks (excluding RRBs) Dear Sir, Draft Guidelines - Accounting Standard 17, Segment Reporting – Enhancement of disclosure Please refer to our circular DBOD.No.BP. BC. 89 /21.04.018/2002-03 dated March29, 2003 in terms of which banks are required to adopt the three business segments viz. ‘Treasury’, ‘Other banking business’ and ‘Residual’ as the uniform business segments and ‘Domestic’ and

1. Definition of a Derivative A derivative is a financial instrument: (a) whose value changes in response to the change in a specified interest rate, security price, commodity price, foreign exchange rate, index of prices or rates, a credit rating or credit index, or similar variable (sometimes called the 'underlying'); (b) that requires no initial net investment or little initial net investment relative to other types of contracts that have a similar response to chan

DBOD. No. BP. 45 / 21.04.141 / 2006-07 July 12, 2006 Chairmen / Chief Executive Officers All Commercial Banks (Excluding RRBs) Draft revised guidelines on classification and valuation of investments While allowing banks to shift their investments in SLR securities to the ‘Held to Maturity’ category in September 2004, they were advised that the Reserve Bank of India is setting up an Internal Group to review the existing guidelines on classification and valuation of inv

(i) Applications for loans and their processing (a) Loan application forms should include necessary information which affects the interest of the borrower, so that a meaningful comparison with the terms and conditions offered by other NBFCs can be made and informed decision can be taken by the borrower. (b) The NBFCs should devise a system of giving acknowledgement for receipt of all loan applications. Preferably, the time frame within which loan applications will be

As announced in the Annual Policy Statement for the year 2005-06, it has now been decided that permitted structure of PD business will be expanded to include banks, which fulfill certain minimum criteria subject to safeguards. Accordingly, banks are eligible to apply for Primary Dealership, subject to the following guidelines. 2. The following categories of banks would be eligible to apply for PD license. (RBI's approval would be subject to compliance with all other r

6th December 2005 Draft Guidelines on Outsourcing of Financial Services by banks The world over, banks are increasingly using outsourcing, to third parties who may be unrelated or member of the group/conglomerate as a means of both reducing cost and accessing specialist expertise, not available internally and achieving strategic aims. Outsourcing brings in its wake, several risks like Strategic Risk, Reputation Risk, Compliance Risk, Operational Risk, Exit Strategy Ri

Reserve Bank of IndiaExchange Control DepartmentIntroduction of Foreign currency-Rupee OptionsA draft circular on " Foreign currency-Rupee Options " is annexed herewith. Authorised Dealers may forward their comments to the Chief General Manager, Exchange Control Department. Forex Markets Division, Reserve Bank of India, Central Office, Mumbai 400 001, by FAX (022- 22611427), by 20th March 2003.A.RajalakshmiAsst. General ManagerDraft Circular for Comments Reserve Bank