The Reserve Bank of India (RBI) has given its approval for the voluntary amalgamation of Maratha Sahakari Bank Ltd., based in Mumbai, Maharashtra, with The Cosmos Co-operative Bank Limited, located in Pune, Maharashtra. This significant decision, made under the powers conferred by the Banking Regulation Act, 1949, will come into effect on May 29, 2023. The amalgamation scheme aims to strengthen the banking sector and streamline operations, leading to enhanced services for customers. Under the approved scheme, all branches of Maratha Sahakari Bank Ltd., Mumbai, will operate as branches of The Cosmos Co-operative Bank Limited, Pune. This integration will ensure a seamless transition for customers and enable them to continue their banking activities without interruption. The Cosmos Co-operative Bank Limited is well-established and known for its customer-centric approach, which will further enhance the banking experience for the customers of Maratha Sahakari Bank Ltd. The decision to amalgamate these two banks was taken in line with the RBI's efforts to promote financial stability and sustainable growth in the banking industry. The RBI's meticulous evaluation process, adherence to regulatory norms, and consideration of the interests of all stakeholders have contributed to the sanctioning of this scheme. By combining the strengths and resources of both banks, the RBI aims to improve efficiency, increase operational effectiveness, and strengthen the overall stability of the banking system. This voluntary amalgamation between Maratha Sahakari Bank Ltd. and The Cosmos Co-operative Bank Limited is expected to create synergies, resulting in a more robust and resilient banking entity. Customers of both banks can look forward to an expanded range of services, wider branch network, and enhanced technological capabilities. The amalgamation will facilitate the seamless sharing of expertise, resources, and best practices, ultimately benefiting the customers and promoting the growth of the banking sector. The RBI's decision to approve this voluntary amalgamation reinforces its commitment to fostering a ....

The Reserve Bank of India (RBI) has given its approval for the voluntary amalgamation of Maratha Sahakari Bank Ltd., based in Mumbai, Maharashtra, with The Cosmos Co-operative Bank Limited, located in Pune, Maharashtra. This significant decision, made under the powers conferred by the Banking Regulation Act, 1949, will come into effect on May 29, 2023. The amalgamation scheme aims to strengthen the banking sector and streamline operations, leading to enhanced services for customers. Under the approved scheme, all branches of Maratha Sahakari Bank Ltd., Mumbai, will operate as branches of The Cosmos Co-operative Bank Limited, Pune. This integration will ensure a seamless transition for customers and enable them to continue their banking activities without interruption. The Cosmos Co-operative Bank Limited is well-established and known for its customer-centric approach, which will further enhance the banking experience for the customers of Maratha Sahakari Bank Ltd. The decision to amalgamate these two banks was taken in line with the RBI's efforts to promote financial stability and sustainable growth in the banking industry. The RBI's meticulous evaluation process, adherence to regulatory norms, and consideration of the interests of all stakeholders have contributed to the sanctioning of this scheme. By combining the strengths and resources of both banks, the RBI aims to improve efficiency, increase operational effectiveness, and strengthen the overall stability of the banking system. This voluntary amalgamation between Maratha Sahakari Bank Ltd. and The Cosmos Co-operative Bank Limited is expected to create synergies, resulting in a more robust and resilient banking entity. Customers of both banks can look forward to an expanded range of services, wider branch network, and enhanced technological capabilities. The amalgamation will facilitate the seamless sharing of expertise, resources, and best practices, ultimately benefiting the customers and promoting the growth of the banking sector. The RBI's decision to approve this voluntary amalgamation reinforces its commitment to fostering a ....

The Reserve Bank of India (RBI) has given its approval for the voluntary amalgamation of Maratha Sahakari Bank Ltd., based in Mumbai, Maharashtra, with The Cosmos Co-operative Bank Limited, located in Pune, Maharashtra. This significant decision, made under the powers conferred by the Banking Regulation Act, 1949, will come into effect on May 29, 2023. The amalgamation scheme aims to strengthen the banking sector and streamline operations, leading to enhanced services for customers. Under the approved scheme, all branches of Maratha Sahakari Bank Ltd., Mumbai, will operate as branches of The Cosmos Co-operative Bank Limited, Pune. This integration will ensure a seamless transition for customers and enable them to continue their banking activities without interruption. The Cosmos Co-operative Bank Limited is well-established and known for its customer-centric approach, which will further enhance the banking experience for the customers of Maratha Sahakari Bank Ltd. The decision to amalgamate these two banks was taken in line with the RBI's efforts to promote financial stability and sustainable growth in the banking industry. The RBI's meticulous evaluation process, adherence to regulatory norms, and consideration of the interests of all stakeholders have contributed to the sanctioning of this scheme. By combining the strengths and resources of both banks, the RBI aims to improve efficiency, increase operational effectiveness, and strengthen the overall stability of the banking system. This voluntary amalgamation between Maratha Sahakari Bank Ltd. and The Cosmos Co-operative Bank Limited is expected to create synergies, resulting in a more robust and resilient banking entity. Customers of both banks can look forward to an expanded range of services, wider branch network, and enhanced technological capabilities. The amalgamation will facilitate the seamless sharing of expertise, resources, and best practices, ultimately benefiting the customers and promoting the growth of the banking sector. The RBI's decision to approve this voluntary amalgamation reinforces its commitment to fostering a ....

The Reserve Bank of India (RBI) has made an important decision to withdraw the ₹2000 denomination banknotes from circulation while continuing their status as legal tender. The introduction of ₹2000 banknotes in November 2016 was aimed at fulfilling the urgent currency requirements of the economy after the withdrawal of ₹500 and ₹1000 banknotes as legal tender. However, since then, sufficient quantities of banknotes in other denominations have become available, fulfilling the objective for introducing ₹2000 banknotes. Consequently, the printing of ₹2000 banknotes was halted in 2018-19. Approximately 89% of the ₹2000 denomination banknotes were issued prior to March 2017 and have reached their estimated lifespan of 4-5 years. The total value of these banknotes in circulation has decreased from ₹6.73 lakh crore (37.3% of Notes in Circulation) on March 31, 2018, to ₹3.62 lakh crore (10.8% of Notes in Circulation) on March 31, 2023. It has been observed that the usage of ₹2000 banknotes for transactions is not common. Moreover, there is an adequate stock of banknotes in other denominations to meet the currency requirements of the public. To adhere to the "Clean Note Policy" of the RBI, the decision has been taken to withdraw the ₹2000 denomination banknotes from circulation. However, these banknotes will continue to be considered legal tender. Similar to a premature withdrawal of banknotes conducted by the RBI in 2013-2014, members of the public are advised to deposit their ₹2000 banknotes into their bank accounts or exchange them for banknotes of other denominations at any bank branch. Deposits into bank accounts can be made without restrictions, following the usual procedure and subject to applicable instructions and statutory provisions. To ensure convenience and prevent disruptions at bank branches, exchanges of ₹2000 banknotes for banknotes of other denominations can be made up to a limit of ₹20,000/- at a time at any bank, starting ....

The Reserve Bank of India (RBI) has recently made an important announcement regarding the sale of Government Securities. The auction, scheduled for May 19, 2023, aims to raise ₹33,000 crore through the issuance of these securities. The underwriting auction will be conducted using multiple price-based methods, providing an opportunity for Primary Dealers (PDs) to participate and secure underwriting commitments. This move by the Indian government is part of its ongoing efforts to manage the country's financial markets effectively. Let's delve into the details of this upcoming underwriting auction. Underwriting Auction Details: The Government of India has outlined the following minimum underwriting commitments (MUC) and minimum bidding commitments per PD under Additional Competitive Underwriting (ACU) for the underwriting auction: | Security | Notified Amount (₹ crore) | MUC amount per PD (₹ crore) | Minimum bidding commitment per PD under ACU auction (₹ crore) | |------------------|---------------------------|-----------------------------|--------------------------------------------------------------| | 7.06% GS 2028 | 8,000 | 191 | 191 | | 7.26% GS 2033 | 14,000 | 334 ....

The Reserve Bank of India (RBI) has recently made an important announcement regarding the sale of Government Securities. The auction, scheduled for May 19, 2023, aims to raise ₹33,000 crore through the issuance of these securities. The underwriting auction will be conducted using a multiple price-based methods, providing an opportunity for Primary Dealers (PDs) to participate and secure underwriting commitments. This move by the Indian government is part of its ongoing efforts to manage the country's financial markets effectively. Let's delve into the details of this upcoming underwriting auction. Underwriting Auction Details: The Government of India has outlined the following minimum underwriting commitments (MUC) and minimum bidding commitments per PD under Additional Competitive Underwriting (ACU) for the underwriting auction: | Security | Notified Amount (₹ crore) | MUC amount per PD (₹ crore) | Minimum bidding commitment per PD under ACU auction (₹ crore) | |------------------|---------------------------|-----------------------------|--------------------------------------------------------------| | 7.06% GS 2028 | 8,000 | 191 | 191 | | 7.26% GS 2033 | 14,000 | 334 ....

The Reserve Bank of India (RBI) has recently taken strict action against Manipur Rural Bank, Imphal, by imposing a monetary penalty of ₹10,000/- (Rupees Ten thousand only). This penalty has been enforced due to the bank's failure to comply with the directions issued by the RBI regarding the strengthening of prudential norms, provisioning, asset classification, exposure limit, and the income recognition, asset classification, and provisioning norms for non-performing assets (NPAs). The penalty has been imposed under the provisions of Section 47A(1)(c), Section 46(4)(i), and Section 51(1) of the Banking Regulation Act, of 1949. This article provides an overview of the regulatory non-compliance by Manipur Rural Bank, the background leading to the penalty, and the RBI's decision. Regulatory Non-Compliance by Manipur Rural Bank: Manipur Rural Bank, based in Imphal, has come under scrutiny for its failure to adhere to the directions issued by the RBI regarding the strengthening of prudential norms, asset classification, provisioning norms, and exposure limits. These guidelines are crucial for maintaining the stability and transparency of the banking sector, ensuring the appropriate provisioning for potential losses, and classifying non-performing assets accurately. Background and Inspection Findings:  During the statutory inspection conducted by the National Bank for Agriculture and Rural Development (NABARD) on March 31, 2022, it was revealed that Manipur Rural Bank had not appropriately classified certain loan accounts as non-performing in accordance with the Income Recognition and Asset Classification (IRAC) norms. Subsequently, the bank received a notice advising it to show cause as to why a penalty should not be imposed for non-compliance with the directions issued by the RBI. RBI's Imposition of Monetary Penalty: After evaluating the bank's reply to the notice and considering additional submissions and oral arguments made during the Personal Hearing, the RBI-determined that the charges of non-compliance with the RBI's directions were substantiated. Consequently, the RBI exercised its powers vested ....

The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹2.92 crore on Canara Bank for non-compliance with several directions issued by the RBI. The penalty is based on deficiencies in regulatory compliance and does not question the validity of any transactions or agreements made by the bank. The action follows a Statutory Inspection for Supervisory Evaluation conducted by the RBI in relation to the bank's financial position as of March 31, 2021. In July 2020, RBI initiated a scrutiny of Canara Bank following a high-value fraud reported by another bank. The examination of the Risk Assessment Report and related correspondences revealed multiple instances of non-compliance with RBI directions. These included: Failure to link interest on floating rate retail loans and loans to MSME to an external benchmark. Failure to link interest on floating rate rupee loans sanctioned and renewed during the financial year 2020-21 to the Marginal Cost of Lending Rate (MCLR). Opening of savings deposit accounts in the name of ineligible entities. Registration of dummy mobile numbers in several credit card accounts. Failure to pay any interest on deposits accepted under the daily deposit scheme and prematurely withdrawn within 24 months of opening the accounts. Recovery of SMS alert charges from customers without considering actual usage. Failure to undertake ongoing customer due diligence and implement robust software for generating alerts when transactions were inconsistent with customer profiles. Subsequently, the RBI issued notices to Canara Bank, asking the bank to show cause as to why a penalty should not be imposed for non-compliance with the aforementioned directions. After reviewing the bank's responses to the notices and considering oral submissions during the personal hearing, the RBI concluded that the charge of non-compliance with the directions was substantiated and warranted the imposition of a monetary penalty. Conclusion The RBI has imposed a penalty of ₹2.92 crore on Canara Bank for its ....

The Reserve Bank of India (RBI) has released a press statement regarding the upcoming auction of Government of India Treasury Bills. The auction details for 91 days, 182 days, and 364 days Treasury Bills have been provided, along with important information for participants. The auction will be price-based using the multiple price method, and bids should be submitted electronically through RBI's Core Banking Solution (E-Kuber) system. Retail investors can also participate on a non-competitive basis, with certain restrictions. The results of the auction will be announced on the auction day, and payment by successful bidders must be made on the following day. Treasury Bills Auction Details: 91 Days Treasury Bill:  - Notified Amount: ₹12,000 Crore  - Auction Date: May 17, 2023 (Wednesday)  - Settlement Date: May 18, 2023 (Thursday)  182 Days Treasury Bill:  - Notified Amount: ₹12,000 Crore  364 Days Treasury Bill:  - Notified Amount: ₹8,000 Crore  Total Notified Amount: ₹32,000 Crore Participation and Allocation State Governments, Union Territories with the legislature, eligible Provident Funds in India, designated Foreign Central Banks and other institutions specified by the Bank can participate on a non-competitive basis. Retail investors can also participate on a non-competitive basis, with a maximum allocation of 5 percent of the notified amount. Individual investors can place bids as per the non-competitive scheme through the Retail Direct portal. Auction Procedure and Timings: The auction will be price-based using the multiple-price method. Bids should be submitted electronically on the RBI's Core Banking Solution (E-Kuber) system. Timings for bid submission:  - Competitive bids: 10:30 am - 11:30 am  - Non-Competitive bids: 10:30 am - 11:00 am  Payment and Contact Information: Payment by successful bidders must be made on May 18, 2023. In case of system failure, physical bids can be submitted to the Public Debt Office. Contact information:  - Public Debt Office: Email: pdomumbai@rbi.org.in ; Phone no: 022-22632527, 022-22701299  - Core Banking Operations Team: Email; cbot@rbi.org.in, Phone no: 022-27595666, ....

Are you looking for a promising investment opportunity? Look no further than State Government Securities! With the upcoming auction of State Government Securities conducted by the Reserve Bank of India, investors have a chance to secure attractive returns. These securities, offered by various state governments, provide a safe and reliable investment avenue. In this blog, we will delve into the details of the auction, explore the benefits of investing in State Government Securities, and guide you on how to participate in this lucrative opportunity. Don't miss out on this golden chance to grow your wealth while supporting state development Sr. No State Amount to be raised (₹ Cr) Additional Borrowing (Greenshoe) Option (₹ Cr) Tenure (Year) Type of Auction             1 Andhra Pradesh 1000 - 16 Yield 2 Assam 1000 - 10 Yield 3 Gujarat 1500 - 8 Yield 4 Tamil Nadu 2000 - 10 Yield 5 Telangana 2000 - 25 Yield Total   8,500       Auction Details The auction will be conducted on May 16, 2023 (Tuesday) using the Reserve Bank of India Core Banking Solution (E-Kuber) system. Eligible individuals and institutions can participate in the auction, with a maximum limit of one percent of the notified amount for a single bid per stock. Non-competitive bids can be placed through the Retail Direct portal. Competitive bids should be submitted between 10.30 A.M. and 11.30 A.M., while non-competitive bids should be submitted between 10.30 A.M. and 11.00 A.M. Contact Information Core Banking Operations Team: Email - cbot@rbi.org.in, Phone: 022-27595666, 022-27595415, 022-27523516 IDMD Auction Team: Email - auctionidmd@rbi.org.in, Phone: 022-22702431, 022-22705125 Public Debt Office: Email -pdomumbai@rbi.org.in, Phone: 022-22632527, 022-22701299 Additional Instructions Physical bids will be accepted only in the event of system failure and should be submitted to the Public Debt Office before the auction timing ends. The yield percent or price should be expressed up to two decimal points. The maximum yield/minimum price at which bids will be accepted will be determined by the Reserve Bank of India. The results of the auction will be announced on May 16, 2023 (Tuesday), and payment by successful bidders will be made on May 17, 2023 (Wednesday). The new State ....