P K Mohanty Committee constituted by RBI
Part of: GS-Prelims and GS-III – Economy
- The RBI has constituted a five-member Internal Working Group to review present ownership guidelines and corporate structure for Indian Private Sector Banks.
- RBI Central Board Director P K Mohanty will head the committee.
- It will submit its report by 30th September, 2020.
- Terms of Reference of the Committee are:
- To review the present licensing guidelines and regulations relating to ownership and control in Indian private sector banks and suggest appropriate norms.
- To examine and review the eligibility criteria for individuals/ entities to apply for banking licenses.
- To study the current regulations on holding of financial subsidiaries through non-operative financial holding company (NOFHC) and suggest the manner of migrating all banks to a uniform regulation in the matter.
- To examine the norms for promoter shareholding at the initial/licensing stage and subsequently, along with the timelines for dilution of the shareholding.