Banking News

 

RBI Governor D. Subbarao will now be directly in charge of the monetary policy department, which was under Deputy Governor Subir Gokarn, who has retired.

The Monetary Policy Department looks after policy issues, including interest rate. The third quarter review of monetary policy is scheduled to be announced on January 29.

The RBI Governor in the last policy review had indicated that there could be softening of policy rate in the January policy. Gokarn’s three-year term had ended in November 2012, but the government had given him one—month extension which expired on December 31.

Ashwani Kumar has taken over as Chairman and Managing Director of Dena Bank.

The Finance Ministry had notified his appointment in November 2012.

The notification said that Kumar’s appointment is for a period of five years from the date of taking charge of the post on or after January 1, 2013, or till the date of his attaining the age of superannuation or until further orders, whichever is earliest.

Prior to joining Dena Bank, he was the Executive Director of Corporation Bank since December 1, 2010.

He started his banking career as a probationary officer with Allahabad Bank in 1981.

The Life Insurance Corporation (LIC) today launched two new policies, including a unit linked insurance plan.

Flexi Plus, a unit linked insurance product, not only provides a lump sum benefit on death but also the maturity benefit irrespective of survival of the policyholder, LIC said in a statement.

The policyholder can choose the amount of premium he/she desires to pay, depending on which equivalent level of cover will be provided. The plan aims at steady income carrying lower to medium risk, the LIC said.

The other scheme called New Jeevan Nidhi is a conventional product with profit pension plan, which provides for death cover during deferment period and offers annuity on survival to the date of vesting.

Deepali Pant Joshi has been promoted as the Executive Director of the Reserve Bank of India. Prior to her elevation, she was the Regional Director of the RBI’s Rajasthan regional office. Joshi’s appointment follows the superannuation of V. K. Sharma. The RBI has nine EDs.

Pandyan Grama Bank, the Regional Rural Bank sponsored by Indian Overseas Bank (IOB), is planning to introduce ATMs and has plans to open 17 more branches in districts, before the end of the current financial year.

It recently celebrated its 36th year commemorative celebration at its administrative office at Virudhunagar.

 

The Reserve Bank of India has extended the date for implementation of Basel III, the global capital norms for banks, by three months to April 1.

“The Reserve Bank of India has rescheduled the start date for implementation of Basel III to April 1, 2013 from January 1, 2013,” the central bank said.

The RBI, however, did not provide reasons behind the rescheduling.

The move, experts said, will provide additional time to some banks that need to enhance their capital base in line with the new norms for strengthening the resilience of the global banking system.

The RBI further said that India will closely monitor the progress on Basel III implementation in other countries, particularly the major ones, who are members of the Basel Committee.

The RBI had issued guidelines on the implementation of Basel III capital regulation in India in May this year. These guidelines were to be implemented from January 1, 2013 in a phased manner and were to be fully implemented by March 2018.

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