Latest Expert Exchange Queries

GST Demo Service software link:
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft
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
Popular Search: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: TDS :: form 3cd :: cpt :: VAT RATES :: ACCOUNTING STANDARDS :: empanelment :: ACCOUNTING STANDARD :: ARTICLES ON INPUT TAX CREDIT IN VAT :: articles on VAT and GST in India :: due date for vat payment :: Central Excise rule to resale the machines to a new company :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
Budget Extravaganza »
 Seeks to amend certain customs notifications in pursuance to change made in Budget 2017-18.
 New look finance ministry team to frame contours of Budget 2018
 How presenting the Budget early seems to be paying off already
 Budget advancement helps Centre, states start spending early
 Five things that you can expect from the Mumbai civic budget today
 GST all set for July 1 rollout but casts shadow on state budgets
 Income-Tax collection revised in Rajasthan budget
 No new taxes likely in Maharashtra Budget
 H.P. budget devoid of any financial prudence
 GST, demonetisation todecide budget priorities
 Railways to come up with mini-budget tomorrow

Budget may have roadmap for new private banks
February, 03rd 2011

India is considering allowing new private sector banks, including those by industrial houses, and a roadmap for the same could be announced in the Union Budget to be presented later this month.

While the formal and final guidelines regarding who should be allowed to set up new banks and what should be the terms and conditions would be announced by the Reserve Bank of India (RBI), a roadmap could be announced in the Budget speech on February 28 by Finance Minister Pranab Mukherjee, sources said.

In his Budget speech last year, Mukherjee had said there was a need for extending the geographic coverage of banks and improving access to banking services. RBI was close to finalising the guidelines for the entry of new banks in the private sector, based on its consultations with the government and various stakeholders, as also the feedback to its August 2010 discussion paper on the issue, sources said.

Among other options, RBI was considering the grant of licences to small banks for the initial few years, which could be upgraded to full-fledged banking licences after it was satisfied with their performance and the fulfillment of certain criteria, sources said.

The guidelines would dwell upon issues like the minimum capital for new banks, the promoters contribution, minimum and maximum caps on the holding of promoters and others, foreign shareholding, business model and whether industrial houses and NBFCs (non-banking financial companies) could be allowed to run banks.

Among others, a number of corporate houses, including Anil Ambani-led Reliance group, the Aditya Birla group and the Religare group, have expressed interest in obtaining banking licences. A number of NBFCs and micro-finance institutions are also said to be interested.

In his Budget speech in February last, Mukherjee had said RBI was considering giving additional banking licences to private sector players and NBFCs could also be considered if they met the eligibility criteria.

Pursuant to this, in its annual policy statement in April 2010, RBI said it would prepare a discussion paper marshalling the international practices, the Indian experience as well as the extant ownership and governance guidelines for the grant of new private sector banking licences. The discussion paper was put out for feedback on August 11, 2010 and thereafter the central bank held discussions with various stakeholders from the industry, banks, NBFCs, MFIs, consultants and other entities.

In December 2010, it made public the gist of the comments received on its discussion paper and said the range of comments received has been very wide and does not indicate consensus on any of the issues.

RBI has said new licences were required since vast segments of population, especially underprivileged, still have no access to banking services.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Experience

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