The Union Finance Minister, in his budget speech for the year 2010-11 had announced that ‘The Indian banking system has emerged unscathed from the crisis. We need to ensure that the banking system grows in size and sophistication to meet the needs of a modern economy. Besides, there is a need to extend the geographic coverage of banks and improve access to banking services. In this context, the RBI is considering giving some additional banking licences to private sector players. Non Banking Financial Companies could also be considered, if they meet the RBI’s eligibility criteria.’
For full text (pdf) RBI Discussion paper
Government
2 Comments
the discussion papers makes tough for the corporate bodies in entering banking sectors ……………and legitimate for the nbfc also the rbi needs to impose stringent rules on the issuing of license for new banking……..
To me, the below point is the most important one.
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To contain the possibility of “holding out” if an industrial / business house comes under severe stress, industrial and business houses may not be allowed to use the brand name and logo of the Group.
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