Page 8 - Banking Finance June 2022

RBI CORNER

Reserve Bank

News

RBI rejects 6 applications which had sought licences for small fi- PFRDA opens licensing
nance banks. The names of the appli-
for setting up banks window for pension fund
cants were mentioned in the RBI's
RBI rejected the applications of six statement. managers
entities that were seeking permission
Pension regulator PFRDA has recently
to start universal and small finance RBI names Ranjan,
opened an on-tap licensing window for
banks under the "on-tap" licence
Pattanaik as executive di- awarding licences to sponsors of pen-
policy. sion funds.
rectors
Among them is one from Sachin
The Reserve Bank said Sitikantha This is the second year in a row when
Bansal's Chaitanya India Fin Credit Pri-
Pattanaik and Rajiv Ranjan have been Pension Fund Regulatory and Develop-
vate Limited. The micro-lender had
ment Authority (PFRDA) has opened
appointed as executive directors with
applied for a universal bank licence in
effect from May 1. such a window in a bid to enhance the
April 2021.
number of pension fund managers in
Ranjan will also serve as an ex-officio
"The examination of six applications the country. The window, which
member of the rate-setting panel
has now been completed as per the opened in mid-April, will be open till
Monetary Policy Committee (MPC).
procedure laid down under these May 17, Supratim Bandyopadhyay,
guidelines," the RBI said in a state- Prior to being promoted as ED, Chairman, PFRDA, told.
ment. Pattanaik was an adviser in the depart-
The PFRDA had last year opened an on
ment of economic and policy research
"Based on the assessment of the ap- tap window from July 1-31 for award-
(DEPR), while Ranjan was serving as
plications, (six) applicants were not ing licences to sponsors of pension
adviser-in-charge of monetary policy
found suitable for granting of in-prin- funds. After this window closed, some
department and secretary to the MPC.
ciple approval to set up banks." players had approached the body
RBI said as executive director (ED), evincing interest to become pension
The other applications for universal
Pattanaik will look after the Depart- fund managers.
bank licence that were rejected are
ment of Economic and Policy Research,
those of former Citi banker Pankaj
while Ranjan will take care of the mon-
Vaish, Repco Bank and UAE Exchange RBI aligns exposure, disclo-
etary policy department.
and Financial Services. UAE Exchange
sure norms for NBFCs with
was the first to apply for the licence in Ranjan has a PhD in economics from
2017 when the RBI made the process Mumbai University and holds a Masters banks
on-tap. degree in economics from the Delhi
RBI has laid down a set of rules for
School of Economics.
The regulator also rejected the appli- non-bank financiers on large expo-
cations of VSoft Technologies and Pattanaik has a PhD in economics from sures, lending to directors and sought
Calicut City Service Co-operative Bank, the University of Mumbai. additional disclosures in their notes to
8 | 2022 | JUNE | BANKING FINANCE