Regulatory Framework for Urban Cooperative Banks
On 19th July, 2022, the Reserve Bank of India (RBI) adopted a four-tiered regulatory framework for Urban Co-operative Banks (UCBs) based on size of deposits, with an aim to strengthen their financial soundness. The RBI had formed the Expert Committee on UBCs in February, 2021, under the Chairmanship of former Deputy Governor N. S. Vishwanathan.
- The committee was made to look into the issues in urban co-operative banking sector, provide a medium-term road map, suggest measures for faster resolution of UCBs and recommend suitable regulatory changes.
Need for Regulation
- The RBI has been tightening its grip on regulated entities to ensure ....
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