26
October 2020 - 3:53 am IST
Flash News
Archives

Finance

Lok Sabha passes legislation to bring cooperative banks under RBI's supervision

Lok Sabha passes legislation to bring cooperative banks under RBI's supervision

Published:16 September 2020

In a bid to protect the interest of depositors, the Lok Sabha on Wednesday passed an amendment to the Banking Regulation Act to bring cooperative banks under the supervision of the RBI. The Banking Regulation (Amendment) Bill, 2020 replaces an ordinance that was promulgated on June 26.

New Delhi | In a bid to protect the interest of depositors, the Lok Sabha on Wednesday passed an amendment to the Banking Regulation Act to bring cooperative banks under the supervision of the RBI.
The Banking Regulation (Amendment) Bill, 2020 replaces an ordinance that was promulgated on June 26.
Replying to the debate on the bill, Finance Minister Nirmala Sitharaman said this legislation is for depositors' safety and not for undermining powers of the Registrar of Cooperative Societies.
Powers of the Registrar of Cooperative Societies have not been encroached upon but banking activity of cooperatives will be regulated by the Reserve Bank of India (RBI), she said.
Urban cooperative banks and multi-state cooperative banks will be brought under the RBI's supervision process applicable to commercial banks.
There are about 1,482 urban cooperative banks and 58 multi-state co-operative banks with a depositors base of about 8.6 crore.


Links

Sign up for Newsletter



Tags

Download Apps

Google Play App Store
  • |
  • |
  • |
  •  

© Copyright Metro vaartha 2018 All rights reserved. designed by : Tedsys

top