IMP COMMITTEES

Sl # Committee Name Year Purpose

1 DR Gadgil Committee 1944 Agricultural Finance

2 Mahalanobis Committee 1964 National Income

3 DR Gadgil Committee 1968 Social approach on banking review of institutional condition

4 FKF Nariman Committee 1969 Branch expansion programme

5 Hathi Committee 1970 Soiled Bank Notes

6 Chatalier Committee 1970 Finance to small scale industry

7 Khusro Committee 1970 Small village and cottage industry

8 Dandekar Committee 1970 Regional imbalances

9 Varshney Committee 1975 Revised method for loans of Rs.2 lac or more

10 N Narsimhan Committee 1975 Establishment of RRBs

11 CE Kamathv Committee 1976 Multi-institutional approach in Agr finance

12 Dr RK Hajari Committee 1976 Coodn between coop credit institutions

13 NL Dantwala Committee 1978 Viability of RRBs

14 James Raj Committee 1978 Systems and procedures of working in PSBs

15 Baldev Singh Committee 1978 Simplification of loan procedures and documentation relating to agricultural and allied activities

16 K Madhav Das Committee 1978 Urban Coop Banks

17 G Luxminarayan Committee 1978 Consortium Finance – Public/private sector

18 R K Talwar Committee 1979 Customer service

19 K S Krishaswami Committee 1980 Role of banks in priority sector advances and 20 point programmes

20 Shivaraman Committee 1981 To immplement the National Bank for Agriculture and Rural Development and NABARD was established

21 Puri Committee 1982 Uniformity of loan application

22 S Chakravarty Committee 1982 Review of monetary system in banking industry

23 A Ghosh Committee 1982 Priority sector and 20 point programme

24 UK Sharma Committee 1982 Review of lead bank scheme

25 Tiwari Committee 1983 Indl sickness and rehabilitation of sick units

26 Pandharkar Committee 1983 Periodical inspection by RBI

27 Chakravarty Committee 1985 Review the working of the monetary system.

28 Marathe Committee 1985 Credit Authorisation scheme – fast track

29 Khusro Committee 1986 Agricultural Credit

30 Vaghul Committee 1986 Money market

31 G S Patel Committee 1986 Organisation & management of stock exchange

32 SM Kelkar Committee 1986 RRB and its relative Acts

33 Abid Hussain Committee 1987

Profit making public units should offer a part of their share capital to the public as part of long term strategy to establish the stock exchange.

34 Vagul committee 1987 Money Market.

35 Abid Hussain Committee 1987 Development of capital market

36 PD Ojha Committee 1988 Service Area Approach

37 SC Kalyansundaram Committee 1989 Introduction of factoring services

38 Goiporia Committee 1990 Customer Service in banks.

39 A Ghosh Committee 1991 Bank frauds & malpractices.

40 Narasimham Committee – I 1991 Examine all aspects relating to the structure, organization & functioning of the financial system.

41 M N Goiporia Committee 1991 Customer service improvement

42 SA Dave Committee 1991 Functioning of Mutual funds

43 A C Shah Committee 1992

On deposit insurance for non-banking finance companies (NBFCs). It has recommended that General Insurance Corporation (GIC) and Deposit Insurance and Credit Guarantee Corporation (DICGC) provide the risk cover.

44 C Rao Committee 1992 Agriculture policy

45 AC Shah Committee 1992 NBFCs

46 Nadkarni SS Committee 1992 Trading in public sector bonds

47 Raja Chelliah Committee 1992 Tax reforms

48 Ghosh Committee 1992 Frauds & malapractices in banks

49 J.V. Shetty Committee 1993 Review the system of lending under consortium arrangements & to suggest improvements therein.

50 Sundaram Committee 1993 Structure of export credit.

51 Goswami Committee 1993 Industrial sickness & corporate restructuring.

52 Janakiraman Committee 1993 Securities transactions of banks & financial institutions.

53 J V Shetty Committee 1993 Consortium lending by banks

54 PR Nayak Committee 1993 Institutional credit to SS SSIs

55 Goswami Committee 1993 Indl sickness and exit policy

56 Jilani R Committee 1993 Credit delivery system

57 D R Mehta Committee 1993 Review of progress of IRDP

58 Khanna Committee 1994 Monitoring the work of NBFCS. Non-Banking Financial Corporations

59 W.S. Saraf Committee 1994 Technology Issues relating to Payments System, Cheque Clearing and Securities Settlement in the Banking Industry

60 Malhotra Committee 1994 Insurance Sector reforms and establishment of IRDA

61 Sodhani Committee 1995 NRI investments in India

62 Padmanabhan Committee 1995 Banking supervision

63 Shere K S Committee 1995 Electronic funds transfer- legal issues

64 BD Shah Committee 1996 Stock lending Scheme and short-selling

65 A.V. Gupta Committee 1997 Agricultural loans

66 S.S Tarapore Committee 1997

This committee was set up by the Reserve Bank of India under the Chairmanship of former RBI deputy governor S.S Tarapore to “lay the roadmap” to capital account convertibility.

67 B D Shah Committee 1997 Stock lending scheme

68 Tarapore Committee 1997 Capital account convertibility

69 Narasimham Committee II 1998

Banking Sector Reforms: The reforms consisted of i. A shift of banking sector supervision from intrusive micro-level intervention over credit decisions toward prudential regulations and supervision. ii. A reduction of the CRR and SLR. iii. Interest rate and entry deregulation; and iv. application of prudential norms.

70 Dave Committee 1998 Mutual Funds

71 M Narsimham Committee 1998 Financial Sector reforms

72 S L Kapoor Committee 1998 Institutional credit to SSIs

73 R H Khan Committee 1998 Harmonisation of role of FIs & Banks

74 Y V Reddy Committee 1998 Financial aggregates system

75 L C Gupta Committee 1998 Financial derivatives

76 Verma Committee 1999 Revival of weak public sector banks.

77 B Eradi Committee 1999 Insolvency and bankruptcy law

78 SN Verma Committee 1999 Restructuring of Commercial Banks

79 M S Verma Committee 1999 Measures for Weak Banks

80 YV Reddy Committee 2001 Income Tax Review

81 Kelkar Committee 2002 Indirect tax reforms

82 J.J. Irani Committee 2005 Company Law reforms and investor protection

83 Rangarajan Committee 2008 Financial Inclusion

84 Vijal Kelkar Committee 2012 Fiscal Reforms and fiscal consolidation

85 Jilani Committee Loan Systems/Relating to Internal Control and Inspection/Audit System in Banks

86 Usha Thorat Committee Financial Inclusion

87 M Damodaran Committee Banking Customer Service

88 J Reddy Committee Reforms in Insurance Sector

89 R J Kamath Committee Education Loan Scheme

90 Karve Committee Small Scale Industry/Sectors

91 Khanna Committee Non-Performing Assets

92 Rajamannar Committee Changes in Banking Laws regarding cheque bounce

93 K R Chandratre Committee

Delisting of Shares

94 C.B. Bhave Committee Disclosure Standards

95 L. C. Gupta Committee Regulation of derivatives trading

96 R. Chandrasekaran Committee Recommend speedy transfers of shares. *97 PJ Nayak Committee Governance of Banks

*98 Sahoo Committee Review of Depository Receipt Scheme

*99 Sathasivam Committee norms for govt advertising

*100 Bimal Jalan committee applications for new bank licences.

RBI-Department of Government and Bank Accounts

The Department of Government and Bank Accounts(DGBA) is responsible for discharging certain core traditional central banking functions, viz., acting as bankers to the Government and banks and managing public debt of both, central and state governments. It is also responsible for maintenance of the Reserve Bank's internal accounts and compilation of its weekly and annual accounts.

The general banking business including management of public debt of the central and state governments has devolved on the Reserve Bank by virtue of the provisions of Reserve Bank of India Act, 1934 and agreements with the respective governments. These functions are carried out on a day-to-day basis through the Reserve bank's its Public Accounts Departments, Deposit Accounts Department and Public Debt Offices and the agency bank branches.

a) Bank Accounts Division : (i) maintains internal accounts of the Bank including preparation of weekly statement of affairs of the Bank and the annual profit and loss account/ balance sheet of the Bank as per the provisions of RBI Act and the RBI General Regulations, and (ii) supervises and controls Deposit Accounts Departments of the Bank.

b) Central Debt Division: (i) attends to the management of Public Debt of Central and State Governments, (ii) oversees the work of 15 Public Debt Offices at the regional offices of the Bank, (iii) assists the government in formulation of special savings schemes of the central government, such as, Relief Bonds, Special Deposit Scheme, Public Provident Fund Scheme and subsequent monitoring of these schemes, and (iv) maintains the central accounts of the public debt of the central/state loans and loans of the associate financial institutions.

c) Government Accounts Division : (i) supervises and controls the working of the Public Accounts Department and the Central Accounts Section, Nagpur, (ii) reviews, updates and implements the procedure/s for reporting and accounting of transactions of central/state governments, and (iii) makes banking arrangements for the government business at all centres.

d) Central Accounts Section, Nagpur : (i) maintains principal accounts of central and state governments, (ii) grants ways and means advances to central and state governments, (iii) invests surplus funds of central and state governments, and (iv) clears all remittance transactions for central and state governments departments under RBIRFS.

POST OFFICE SCHEMES

SCHEME INTEREST MIN AMT FEATURES 1. Post Office

Savings Account 4.0% per annum on individual/ joint accounts.

Minimum INR 20/- for opening.

· Account can be opened by cash only. · Minimum balance to be maintained in a non-cheque facility account is INR 50/-. · Cheque facility available if an account is opened with INR 500/- and for this purpose minimum balance of INR 500/-in an account is to be maintained. · Cheque facility can be taken in an existing account also. · Interest earned is Tax Free up to INR 3500/- per year in single and INR 7000/- in Joint account up to 2011-12 and up to INR 10,000/- per year either in single or joint account for 2012-13. · Nomination facility is available at the time of opening and also after opening of account. · Account can be transferred from one post office to another. · One account can be opened in one post office · Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account. · Joint account can be opened by two or three adults. · At least one transaction of deposit or withdrawal in three financial years is

necessary to keep the account active. · Single account can be converted into Joint and Vice Versa. Minor after attaining majority has to apply for conversion of the account in his name.

2. National Savings Certificates (NSC) 5 Years National Savings Certificate (VIII Issue) 10 Years National Savings Certificate (IX Issue)

From 1.4.2013, interest rates are as follows:- 8.5% compounded six monthly but payable at maturity. INR. 100/- grows to INR 151.62 after 5 years. 8.80% compounded six monthly but payable at maturity. INR 100/- grows to INR 236.60 after 10 years.

Minimum INR. 100/- No maximum limit available in denominations of INR. 100/-, 500/-, 1000/-, 5000/- & INR. 10,000/-.

single holder type certificate can be purchased by, an adult for himself or on behalf of a minor or by a minor. · Deposits qualify for tax rebate under Sec. 80C of IT Act. · The interest accruing annually but deemed to be reinvested under Section 80C of IT Act.

3. Post Office Time Deposit Account

Interest payable annually but calculated quarterly. From 1.4.2013, interest rates are as follows:- Period Rate 1yr.A/c 8.20% 2yr.A/c 8.20% 3yr.A/c 8.30% 5yr.A/c 8.40%

Minimum INR 200/- and in multiple thereof. No maximum limit.

· Account may be opened by individual. · Account can be opened by cash/cheque and in case of cheque the date of realization of cheque in Govt. account shall be date of opening of account. · Nomination facility is available at the time of opening and also after opening of account. · Account can be transferred from one post office to another. · Any number of accounts can be opened in any post office. · Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account. · Joint account can be

opened by two adults. · Single account can be converted into Joint and Vice Versa. · Minor after attaining majority has to apply for conversion of the account in his name. · 2,3 & 5 year account can be closed after 1 year at discount. Account can also be closed after six months but before one year with interest @post office savings account. The investment under 5 Years TD qualifies for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007.

4. Post Office Monthly Income Account Scheme

From 1.4.2013, interest rates are as follows:- 8.40% per annum payable monthly.

In multiples of INR 1500/-. Maximum investment limit is INR 4.5 lakhs in single account and INR 9 lakhs in joint account. An individual can invest maximum INR 4.5 lakh in MIS (including his share in joint accounts) For calculation of share of an individual in joint account, each joint holder have equal share in each joint account.

· Account may be opened by individual. · Account can be opened by cash/cheque and in case of cheque the date of realization of cheque in Govt. account shall be date of opening of account. · Nomination facility is available at the time of opening and also after opening of account. · Account can be transferred from one post office to another. · Any number of accounts can be opened in any post office subject to maximum investment limit by adding balance in all accounts. · Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account. · Joint account can be opened by two or three adults. · All joint account holders have equal share in each joint account. · Single account can be converted into Joint and Vice Versa.

5. Senior Citizen Savings Scheme

From 1.4.2013, interest rates are as follows:- 9.20% per annum, payable from the date of deposit of 31st March/30th Sept/31st December in the first instance & thereafter, interest shall be payable on 31st March, 30th June, 30th Sept and 31st December.

There shall be only one deposit in the account in multiple of INR.1000/- maximum not exceeding INR 15 lakh.

An individual of the Age of 60 years or more may open the account. · An individual of the age of 55 years or more but less than 60 years who has retired on superannuation or under VRS can also open account subject to the condition that the account is opened within one month of receipt of retirement benefits and amount should not exceed the amount of retirement benefits. · Maturity period is 5 years. · A depositor may operate more than one account in individual capacity or jointly with spouse (husband/wife). · Account can be opened by cash for the amount below INR 1 lakh and for INR 1 Lakh and above by cheque only. · In case of cheque, the date of realization of cheque in Govt. account shall be date of opening of account. · Nomination facility is available at the time of opening and also after opening of account. · Account can be transferred from one post office to another · Any number of accounts can be opened in any post office subject to maximum investment limit by adding balance in all accounts.

MARKETING- Generic Product

A type of consumer product that lacks a widely recognized name or logo because it typically isn't advertised. Generic brands are usually less expensive than brand-name products due to the lack of promotions, which can inflate the cost of a good or service. Generic brands are designed to be substitutes for more expensive brand-name goods. For example, a supermarket may offer its own generic product next to a name-brand product in the hope that a cost-conscious customer will select the cheaper substitute. Generic brands have grown in popularity in recent years, and many retailers now offer in-house generic products to customers.

Strategic marketing decisions These are mostly based on price and quality. A product can be of exceptional quality at a high price like a Rolls Royce, or of a lower quality but lower price like a Hyundai. Economically, it is not expected that the price of a Rolls Royce will be the same as that of a Hyundai. the 5 decision-making steps:

1. The initiator, who might be the child who wants to go to Disneyland. 2. The influencer, who might be a travel agent. 3. The decider, who might be the parent’s. 4. The buyer, who might be the father who used his credit card. 5. The user, who reaps the benefits, which in this case was the child who was the initiator.

The buying process consists of:

Problem recognition, which could be a simple need, to a complex want. Information search, which is how they will find the need or want. Evaluation of alternatives, which is when they compare with other products. Purchase decision, which is made after all alternatives have been evaluated. Post-purchase behavior, which is whether they were satisfied, or have a case of buyer’s remorse.

NPCI-RBI

Reserve Bank of India, after setting up of the Board for Payment and Settlement Systems in 2005, released a vision document incorporating a proposal to set up an umbrella institution for all the RETAIL PAYMENT SYSTEMS in the country. The core objective was to consolidate and integrate the multiple systems with varying service levels into nation-wide uniform and standard business process for all retail payment systems.

The Board constitutes of Shri Balachandran M as the Chairman, Nominee from Reserve Bank of India, Nominees from ten core promoter banks, two Independent Directors and Shri A.P.Hota, Managing Director and Chief Executive Officer, NPCI. The Board for Regulation and Supervision of Payment and Settlement Systems (BPSS) at its meeting held on September 24,2009 has approved in-principle to issue authorisation to NPCI for operating various retail payment systems in the country and granted Certificate of Authorisation for operation of National Financial Switch (NFS) ATM Network with effect from October 15, 2009. NPCI has deputed its officials to IDRBT Hyderabad and NPCI has taken over NFS operations from December 14, 2009. Membership regulations & rules are being framed for enrolling all banks in the country as members so that when the nation-wide payment systems are launched, all would get included on a standardized platform.

NPCI products:-

National Financial Switch (NFS) which connects 124079 ATMs of 163 banks (74 member+ 89 sub-member banks)

Immediate Payment Service (IMPS) provided to 59 member banks which have registered more than 52 lakh MMIDs to customers.

National Automated Clearing House Aadhaar Payments Bridge System (APBS) Interoperable Financial Inclusion System (IFIS) Cheque Truncation System (CTS) Express Cheque Clearing System Aadhaar-enabled payment system (AEPS) RuPay – Domestic Card Scheme

Aadhaar Payments Bridge System or APBS is a payment gateway platform created by National Payments Corporation of India. It is used for Aadhaar schemes.[1] It was used for the first time on 1 January 2013 when Direct Benefit Transfer was launched by Government of India. Schemes including social security pensions, payments under the employment guarantee scheme, public distribution system, and stipend to the children returned to schools from work, Janani Suraksha Yojana, and scholarships will be covered under the Aadhaar Enabled Payment System. Micro ATM cards have been provided to beneficiaries under various schemes and the use of the card has been demonstrated to them. Almost seventy-five per cent of the beneficiaries have been provided with the ATM cards for direct cash transfer into their bank accounts. Both public and private sector banks have been drawn to provide micro ATM services. The Union Minister for Rural Development, Jairam Ramesh along with the Chief Minister of Andhra Pradesh, N. Kirankumar Reddy formally launched the Direct Benefit Transfer scheme on pilot basis from Gollaprolu village in East Godavari district of Andhra Pradesh on January 6 2013.

IMPS - Immediate Payment Service is an interbank electronic instant mobile money transfer service through mobile phones in India. Currently majority of interbank mobile fund transfer transactions are channelised through NEFT mechanism. Under NEFT, the transactions are processed and settled in batches, hence are not real time. Also, the transactions can be done only during the working hours of the RTGS system. In the above context, NPCI has carried out a pilot on mobile payment system initially with 4 member banks viz State Bank of India, Bank of India, Union Bank of India and ICICI Bank in August 2010. Yes Bank, Axis Bank and HDFC Bank have joined this pilot in month of September, October and November 2010 respectively. Immediate Payment Service (IMPS) public launch happened on 22nd November 2010 by Smt. Shyamala Gopinath, DG RBI at Mumbai and this service is now available to the Indian public. IMPS offers an instant, 24X7, interbank electronic fund transfer service through mobile phones. IMPS facilitate customers to use mobile instruments as a channel for accessing their bank accounts and put high interbank fund transfers in a secured manner with immediate confirmation features. This facility is provided by NPCI through its existing NFS switch.

RU Pay Card

RuPay is an Indian domestic card scheme conceived and launched by the National Payments Corporation of India (NPCI).[2] RuPay facilitates electronic payment at all Indian banks and financial institutions, and competes with MasterCard and Visa in India.[3]NPCI maintains ties with Discover Financial to enable the card scheme to gain international acceptance. RuPay card was launched on 26 March 2012.

NPCI entered into a strategic partnership with Discover Financial Services (DFS) for RuPay Card, enabling the acceptance of RuPay Global Cards on Discover’s global payment network outside of India

Discover Financial Services, Inc. is an American financial services company, which issues the Discover Card and operates the Discover and Pulse networks. Discover Card is the third largest credit card brand in the United States, when measured by cards in force, with nearly 50 million cardholders.

Visa Inc. is an American multinational financial services corporation headquartered in Foster City,California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-brandedcredit cards and debit cards.MasterCard Incorporated (NYSE: MA) or MasterCard Worldwide is an American multinational financial services corporation headquartered in the MasterCard International Global Headquarters, Purchase, New York, United States.

> RBI grants ‘In-Principle’ banking licenses to IDFC and Bandhan .RBI has granted “in-principle” banking licences to Infrastructure Development Finance Company (IDFC) and microfinance lender Bandhan Financial Services Ltd. The declaration was made by RBI after nod from the Election Commission. These are the first licences to be awarded by RBI since 2003-04. The in-principle approval by RBI is valid for ONLY 18 months.

> Main Points of RBI monetary policy review:

As on 1 April 2014, RBI (Reserve Bank of India) in its first bimonthly monetary policy statement kept the key policy rate (repo) unchanged.

Current RBI Policy & Reserve Rates:

1. Repo Rate – 8% (Unchanged)

2. Reverse Repo– 7% (Unchanged)

3. CRR – 4% (Unchanged)

4. SLR – 23% (Unchanged)

5. MSF– 9% (Unchanged)

6. Bank Rate – 9% (Unchanged)

Note: i. Economic growth for 2014-15 expected at 5.5%.

ii. CAD expected to come down to 2% of GDP in 2014-15.

iii. Retail inflation expected to be under 6% in 2014.

iv. RBI asks banks not to charge penalty for failure to maintain minimum balance in inoperative account.

v. It was first bi-monthly monetary policy review, next one scheduled for June 3.