Page 12 - Banking Finance June 2024

RBI CORNER

shareholding for existing promoters in 2019 and March 2024, latest data re-
the transitioned universal bank. leased by the Reserve Bank of India Attention Subscribers
showed. Total gold reserves saw an Please renew your Subscription of The
RBI sets draft norms for uptick of 34 per cent during the same Insurance Times Journal to receive
web aggregators of loan period. copy of the journal uninterruptedly.

products As of the end of March 2024, the Re- You can now pay by GPAY, Phonepe,
serve Bank of India held a total of 822 Paytm, Amazon, ICICI Pay, BHIM UPI
The Reserve Bank of India (RBI) has metric tonnes of gold, with 408 met-
proposed that banks and non-banking ric tonnes held within the country. The
finance companies (NBFCS) should en- total gold reserve stood at 612 metric
sure that their loan service providers tonnes as at the end of March 2019,
(LSPS) to provide a digital view of all
the loan offers available to the bor- out of which 292 metric tonnes were
rower from all the willing lenders that held domestically.
the LSP has arrangements. According to the half-yearly report on
foreign exchange management re-
The digital view, the RBI said, should
leased on Monday, the share of gold in
include the name of the bank of the
total foreign exchange reserves in-
NBFC extending the loan, the amount
and tenor of loan, the annual percent- creased from 7.37 per cent as at the
end of September 2023 to 8.15 per
age rate and other key terms and con-
cent as at the end of March 2024.
ditions in a way that enables the bor-
rower to make a fair comparison be- India’s foreign exchange reserves cover
tween various offers. of imports (on balance of payments

The RBI set these terms in the draft basis) increased to 11 months as of the
guidelines for the regulatory frame- end of March 2024 from 10.2 months
work for the aggregation of loan prod- at the end of September 2023. At the
ucts by lending service providers (LSP) end of March 2023, the import cover
in order to enhance transparency and stood at 9.3 months.
enable borrowers to have prior infor- Import cover is a key trade indicator
mation about potential lenders. While reflecting reserve adequacy, which Sashi Publications Easy Payment
the LSP can adopt any mechanism to strengthened alongside the increase Modes :-
ascertain the willingness of the lenders in foreign exchange reserves. By the i) UPI ID: SASHIBOOKS@KOTAK
to offer a loan, the RBI said it should end of March 2024, foreign exchange ii) GPAY: 9830171022@okbizaxis
follow a "consistent approach" that reserves reached $641 billion, up
must be disclosed suitably on their from $578 billion at the end of March iii) PAYTM: 9830171022@paytm
website. 2023. iv) NEFT: Current A/C
402120110000327 of 'SASHI
A link to the key facts statement (KFS) The proportion of short-term debt PUBLICATIONS PRIVATE
must also be provided in respect of (with original maturity) to reserves LIMITED, Bank of India, VVK
each of the regulated entities, it said. declined from 22 per cent in Septem- Road Branch., Kolkata, India,
ber 2023 to 20.3 per cent by Decem- IFSC Code : BKID0004021
Domestically held gold re- ber 2023. Similarly, the ratio of volatile v) Credit Card:
serves rose 40% in 5 yrs: capital flows (comprising cumulative www.sashipublications.com
portfolio inflows and outstanding short-
RBI term debt) to reserves decreased from For any query please call
9073791022/9883398055
India's gold reserve, held domestically, 73 per cent in September 2023 to 70.4
surged by 40 per cent between March per cent by December 2023. www.sashipublications.com

BANKING FINANCE | JUNE | 2024 | 11