sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
« Latest Circulars »
 RBI launches Quarterly Order Books, Inventories and Capacity Utilisation Survey: January-March 2018 (Round 41)
 It is not Business as Usual for Lenders and Borrowers (N. S. Vishwanathan, Deputy Governor, Reserve Bank of India – April 18, 2018 – Speech Delivered at National Institute of Bank Management, Pune on Fourteenth Convocation)
 RBI clarifies that there is no currency shortage
 Auction for Sale (Re-issue) of Government Stock (GS) April 16, 2018
 RBI-Auction of Government of India Dated Securities April 16, 2018
 Sovereign Gold Bond Scheme 2018 -19-Series-I
 RBI-Sovereign Gold Bond Scheme 2018-19 Series-I, Operational Guidelines
  RBI-Interest rates for Small Savings Schemes
 Action Points for Lead Banks on Enhancing the Effectiveness of Lead District Managers (LDMs)
 Revised General Notification for Sale of Government of India Treasury Bills/ Cash Management Bill by Auction
 Media interaction with RBI top management from 2.45 pm to 3.05 pm on Thursday, April 05, 2018

Review of norms for classification of Urban Co-operative Banks (UCBs) as Financially Sound and Well Managed (FSWM)
October, 14th 2014

RBI/2014-15/261
UBD.CO.LS (PCB) Cir.No.20/07.01.000/2014-15

October 13, 2014

Chief Executive Officers of all
Primary (Urban) Co-operative Banks

Madam / Dear Sir

Review of norms for classification of Urban Co-operative Banks (UCBs) as Financially Sound and Well Managed (FSWM)

Please refer to our circular UBD.CO.LS.(PCB).Cir.No.24/07.01.000/2013-14 dated October 1, 2013 wherein the eligibility criteria for FSWM UCBs were laid down.

2. In this connection, attention of UCBs is invited to our circular ref: UBD.CO.BPD.PCB.Cir.No.14/09.18.300/2013-14 dated September 11, 2013 in terms of which UCBs were advised to implement CBS in all their branches on or before December 31, 2013 failing which no further facilities by way of branch expansion etc. may be granted. In view of the critical importance of CBS in the banking system, it has now been decided to include CBS implementation as an additional criterion for a UCB to be classified as an FSWM bank. Accordingly, UCBs fulfilling the following criteria would henceforth be termed as FSWM:

(a) CRAR of not less than 10 per cent;

(b) Gross NPA of less than 7 % and Net NPAs of not more than 3%

(c) Net profit for at least three out of the preceding four years subject to it not having incurred a net loss in the immediate preceding year.

(d) No default in the maintenance of CRR / SLR during the preceding financial year;

(e) Sound internal control system with at least two professional directors on the Board;

(f) Core Banking Solution (CBS) fully implemented;

and,

(g) Regulatory Comfort

3. With a view to imparting transparency and removing any unintended element of subjectivity in the interpretation of the criterion of regulatory comfort, it is hereby clarified that such UCBs should have a proven record of compliance with the provisions of Banking Regulation Act, 1949 (AACS), Reserve Bank of India Act, 1934 and the instructions / directions issued by RBI from time to time i.e. the bank should have an impeccable record of regulatory compliance and no warning letter / cautionary advice should have been issued to or monetary penalty imposed on the bank on account of violation of RBI directives / guidelines during the preceding three financial years.

4. The new criteria would henceforth be considered for processing applications received from UCBs for opening of on-site / off-site / mobile ATMs, applications under Annual Business Plans (ABP), extension of area of operation, shifting of premises and all other permissions from RBI.

Yours faithfully,

(A. K. Bera)
Principal Chief General Manager

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Multimedia Presentations Multimedia Solutions 3D Solutions Corporate Presentations Business Presentations Multimedia Presentation India M

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions