New Committee To Screen New Bank Licences:
The Reserve Bank of India (RBI) formed a five-member Standing External Advisory Committee (SEAC) to assess applications from Universal Bank and Small Finance Bank. Former Reserve Bank of India Deputy Governor Shyamala Gopinath chairs the committee (SFB). The Standing External Advisory Committee (SEAC) will be made up of well-known figures from the banking and financial sectors and other related fields.
About the Committee:
Term:
♦ The committee will serve for three years.
♦ Committee Secretariat: The Reserve Bank of India`s Regulatory Department will provide secretariat support to the committee.
Function:
♦ Universal Bank and SFB applications will be reviewed first by the Reserve Bank of India (RBI) to ensure that the applicant meets the ostensible requirements, and then by SEAC.
Small Financial Bank (SFB):
♦ Small financial banks are financial institutions that offer financial services to areas of the world that are underserved or unbanked. The Companies Act of 2013 enabled us to register as a public limited company.
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