Banks ask new RBI governor Shaktikanta Das for relaxation in PCA norms

Banks ask new RBI governor Shaktikanta Das for relaxation in PCA norms

He added in a bid to solve the issues with central banks, he has convened a meeting with CEOs and MDs of public sector banks on Thursday, adding that the banking is an important segment of India's economy. But with the RBI departments and deputy governors strongly defending the existing stance of the central bank vis-a vis liquidity and the need for PCA norms, Das' move towards a reprieve for banks and NBFCs will be keenly watched.

Gadkari, who handles many key infra ministries, asked if the government is held responsible for the economic situation, then how can RBI work autonomously.

Catching government unawares, Patel quit on December 10 citing personal reasons, following months of an open spat with the government, which wants RBI to take a slew of measures to push growth, including those on liquidity flow, support small businesses and also the central bank's capital management. The bank now plans to submit the final recommendation for the CEO post to RBI after the next board meeting on 9 January, India's fifth largest private-sector lender by assets said in a statement.

More news: Tory feuding continues despite Theresa May’s ballot victory

"Everywhere there are ups and downs and we have not destroyed any institutions". "I would not like to go into what the issues between the government and the RBI are but every institution has to maintain its autonomy and also adhere to accountability".

The bank said it had finalised its recommendation for the role of a non-executive part-time chairman, which has been vacant since Ashok Chawla resigned in November, and that it would "promptly" seek approval from the RBI.

The new RBI chief also noted that the decision-making has become complex in the past few days.

More news: India wicket-keeper Rishabh Pant’s record-breaking performance at Adelaide Oval

"The Supreme Court can be an autonomous body". "Govt is not just a stakeholder but also runs the country, economy&manages major policy decisions".

"There are risks in the business, be it banking or insurance, there are ups and downs.But, if the mistakes are bona fide, forgive him and give him another chance", he said.

He added, "Long back Maharashtra government had given a loan to Vijay Mallya through the state PSU Sicom, and he used to repay the interest diligently for 40 years". If a person who was repaying the debt for 40 years, and due to some issues he is not able to meet his debt obligations later, can you declare him a wilful defaulter? "So, as far as I know, he is very much there".

More news: Inside Isha Ambani-Anand Piramal’s billion-dollar wedding

Related Articles