FSDC panel reviews macroeconomic situation

Also reviews the functioning of various technical groups under its ambit

A Financial Stability Development Council (FSDC) sub-committee on Saturday reviewed the Indian macro-economy, potential risks facing the financial system and implementation of Budget announcements.

"A draft road map for creating standards and protocol for setting up an account aggregation facility for financial assets was deliberated on at the meeting," the Reserve Bank of India (RBI) said in a statement issued after the meeting here.

The committee, headed by RBI Governor Raghuram Rajan, reviewed the major announcements in the Union Budget and discussed the path to implementing those. These included a single demat account for all financial assets; the introduction of uniform know-your-customer (KYC) norms and inter-usability of KYC records across the financial sector; strengthening the markets for corporate bonds, currency derivatives and interest rate futures; and participation of development finance institutions and foreign institutional investors in the commodity market.

At the meeting, the panel's 13th, it also reviewed the functioning of various technical groups under its ambit.

The meeting was attended by Finance Secretary Arvind Mayaram, Financial Services Secretary Gurdial Singh Sandhu, Securities and Exchange Board of India (Sebi) Chairman U K Sinha, Pension Fund Regulatory and Development Authority officiating chairman R V Verma, Forward Markets Commission Chairman Ramesh Abhishek, RBI deputy governors and finance ministry officials, among others.

At FSDC's 11th meeting, Finance Minister Arun Jaitley had emphasised the need for financial stability and a coordinated approach by all financial sector regulators. Jaitley is to address the boards of RBI and Sebi on Sunday.