Regulatory Policy

RBI raises UCBs' small-value loans per borrower cap to Rs 3 crore

According to RBI norms, UCBs are required to have at least 50 per cent of their aggregate loans and advances consisting of small value loans by March 31, 2026

Fintech sector voices concerns amid regulatory fears in meeting with FinMin

The fintech sector has expressed its concerns about declining investments, particularly from abroad, as the narrative around this sector has become less positive

Sebi mandates granular disclosures for ODIs, restricts derivatives

FPIs to issue ODIs only through a separate registration

SME platform reforms: Sebi focuses on safeguarding retail investors

The regulator had in May 2010 prescribed a revised framework for setting up a stock exchange or a trading platform (by the existing stock exchanges) with terminals across the country for SMEs

DPIIT proposes to appoint agencies for ascertaining cost of regulation

The Department for Promotion of Industry and Internal Trade (DPIIT) has proposed to appoint survey agencies to ascertain of cost of regulation in the country. The department is undertaking an exercise to assess the cost of regulations in states with a view to further improving the ease of doing business. "DPIIT proposed to undertake the measurement of administrative cost burden related to multiple compliance requirements prescribed by the government departments across the country," according to a request for proposal (RFP) of the department. It said that the objective of this exercise is to conduct the survey of industry users, intermediaries and interviewing experts related to identified services across all states/Union Territories in India. "The DPIIT is seeking to employ the services of qualified survey agencies to assist in this initiative," it added. The objectives of the assignment included objectively measuring the administrative cost burden arising from shortlisted governm

Berkshire Hathaway's Ajit Jain sells over half of his class A shares

Jain, one of Buffett's top lieutenants, disposed of 200 of the Class A shares for about $695,418 each, according to a regulatory filing Wednesday

Age-rating framework for content needed in India, says gaming body

Age-rating and content description, while not legally mandated, play a crucial commercial role in ensuring the widest access and dissemination of a publisher's gaming content among the public

RBI proposes regulatory principles for managing model risks in credit

The Reserve Bank on Monday proposed to lay down principles for management of model risks in credit for banks and other regulated entities with a view to ensuring prudence and robustness. Regulated Entities (REs) generally use various models as part of their credit management, including for credit appraisal, borrower scoring, pricing, and risk management, among others. Inherently, model outputs are exposed to uncertainties as they are based on assumptions which may not manifest in the envisaged ways and may take different forms in a real-world scenario, the RBI said in a draft circular on Regulatory Principles for Management of Model Risks in Credit'. This potentially exposes REs to model risk, which has implications on prudential aspects of credit risk management, compliance and reputational risk. With a view to ensuring prudence and robustness, in the use of such models, RBI proposed to lay down certain broad regulatory principles which should be adopted by REs. "REs shall put in

RBI revamps regulatory framework for domestic money transfer services

The changes in the current framework have been made based on recent review of various services for payments transfer

Regulatory fee or unjust enrichment?

Regulators are empowered to levy fees for services rendered, not to impose tax-like levies to create surpluses for themselves

RBI imposes Rs 60.3 lakh penalty on 5 co-operative banks for flouting norms

The Reserve Bank has imposed penalties totalling Rs 60.3 lakh on five co-operative banks for contravention of various regulatory norms. A penalty of Rs 43.30 lakh has been imposed on Rajkot Nagarik Sahakari Bank for non-compliance with RBI directions on 'ban on loans and advances to directors and their relatives, and firms/concerns in which they are interested', 'prohibition on opening of saving bank accounts in the names of certain bodies/organizations' and 'maintenance of deposit accounts'. The central bank has imposed a monetary penalty of Rs 5 lakh each on The Kangra Co-operative Bank (New Delhi), Rajdhani Nagar Sahkari Bank (Lucknow), and Zila Sahakari Bank, Garhwal (Kotdwar, Uttarakhand). Besides, a penalty of Rs 2 has been imposed on District Co-operative Bank (Dehradun). In each case, the RBI said the penalties are based on deficiencies in regulatory compliance and are not intended to pronounce upon the validity of any transaction of agreement entered into by the banks with

Regulatory uncertainty central theme for investments towards fintech firms

Investment dips as sector grapples with new rules and market dynamics

Indian-origin executives appointed to Britain's competition regulator CMA

Indian-origin executives with years of experience in the field of law and finance have been appointed to the board of the UK's Competition and Markets Authority (CMA), a non-ministerial department responsible for strengthening business competition and curbing anti-competitive practices. Dharmash Mistry, a venture capitalist specialising in technology, new business models and finance, was named among four new non-executive directors of the CMA by the British government's Department for Business and Trade (DBT) last week. Meanwhile, Cyrus Mehta a former partner at international law firm CMS in London was named on the CMA board as a Panel Member, Non-Executive Director. Our new board members will bring further fresh perspectives and expertise at a time when our responsibilities, and our positive impact on people, businesses and the economy, are growing significantly, said CMA Chair Marcus Bokkerink. They will help us continue the great strides we have made over the past year to ensu

Take more steps to curb unauthorised lending apps: FM to regulators

Finance Minister Nirmala Sitharaman on Wednesday asked financial sector regulators, including the Reserve Bank of India (RBI), to take further measures to check spread of unauthorised lending through online apps. Addressing the 28th meeting of the Financial Stability and Development Council (FSDC) here, Sitharaman also asked regulators to maintain constant vigil and be proactive towards detecting emerging financial stability risks, given the domestic and global macro-financial situation. The FSDC deliberated on issues related to macro financial stability and India's preparedness to deal with them, an official statement said after the meeting. The ongoing inter-regulatory issues were also discussed to support GIFT IFSC in its strategic role to become one of the world's premier international financial centres and perform its envisioned role of facilitating foreign capital and financial services for the domestic economy, it said. The FSDC discussed various issues related to the ...

ECB's next move is 'a cut' but policymakers spar on timing: Report

The ECB kept its key rate unchanged at a record high 4% last Thursday but sounded confident that inflation was coming under control

Sebi bans individual from securities mkt for flouting regulatory norms

Capital markets regulator Sebi has barred an individual from the securities markets for a period of five years as well as slapped a fine of Rs 30 lakh for flouting regulatory norms. Besides, the regulator restrained Mohit Manghnani (proprietor of Wealthit Global) from associating himself as a director or key managerial personnel with any listed public company or any Sebi-registered intermediary for a period of five years. Sebi also directed Manghnani to resolve all complaints received through the regulator's SCORES portal within a period of three months. The order came after the markets watchdog had passed an ex parte order against Manghnani and the latter approached the Securities Appellate Tribunal (SAT), which remanded the matter back to Sebi and directed the regulator to pass a fresh order. In its order passed on Friday, the regulator found that the noticee (Manghnani) did not cooperate with Sebi during the inspection and deceived its clients by not disclosing the information a

Intel calls off $5.4 bn semiconductor deal after failing to get approvals

Intel will terminate a USD 5.4 billion deal to acquire Israeli chip manufacturer Tower Semiconductor after China failed to sign off on the deal amid rising tensions with the United States. It was a mutual decision between Intel and Tower, the companies said Wednesday. Intel said that the deal was terminated due to the inability to obtain in a timely manner the regulatory approvals required under the merger agreement. Intel Corp. will pay Tower a termination fee of USD 353 million, the US semiconductor giant said. The deal required regulatory approval from several regulators worldwide including China, but Chinese regulators did not greenlight the deal by the August 15 transaction deadline, even after Intel CEO Patrick Gelsinger travelled to China last month in a bid to win them over. The scuttled deal between the two companies comes amid increasing US-China tensions, particularly as the US has tightened export controls and imposed restrictions aimed at crippling China's ability to

Generic 2.0: A call for regulatory vigilance

Biosimilars have the potential to offer affordable treatment to many currently untreatable diseases but striking a balance between affordability and regulation will be crucial

Regulation largest barrier in pharma, cos should focus on quality: Official

Union Pharma Secretary S Aparna on Thursday said regulations are the biggest barrier to market access in the sector globally, and exhorted local companies to focus on quality. Delivering a video message at the Eighth Global Pharmaceutical Quality Summit, Aparna backed the focus on regulations given the need to have products which are safe and effective. Pharma is highly regulated globally, and regulations contribute the single largest barrier to market access, she said. Indian manufacturing sector has wide-ranging players and the quality culture has to be built across the range, she said. Aparna said Indian industry, which has a very large number of small and medium businesses, is essentially a generic market, and stressed the need to innovate as per changing disease profile and other factors. Indian pharmaceuticals have scale, cost and quality advantages which have enabled companies to make a mark and garner market share in all countries across the world. Cost competitiveness can

Govt likely to introduce bills to amend competition, insolvency laws

The government is likely to propose amendments to the competition and insolvency laws as it seeks to further strengthen the regulatory regime as well as address the needs of new age markets.