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Not going to give more powers to RBI to deal with public sector banks: Govt

Govt informed Rajya Sabha that no proposal with regard to change in the RBI's powers with respect to public sector banks was under consideration

Press Trust of India  |  New Delhi 

Independent directors may take decisions if Govt-RBI standoff continues

The government is not currently considering any proposal to give more powers to the (RBI) to deal with state-owned banks, said Minister of State for in the on Tuesday. 

The powers of the RBI are wide-ranging and comprehensive to deal with various situations that may emerge in all banks, including public sector (PSBs), he said in a written reply.

"No proposal with regard to change in the RBI's powers in respect of public sector is presently under consideration/consultation," he said while replying to a question if the government was contemplating to give more powers to the RBI to enable it to regulate public sector in wake of recent scams. 
 

The minister further said improvement in regulatory functioning being an ongoing process, the government engages with stakeholders, including the RBI, and discusses issues as they evolve.

To another question, Minister of State for P Radhakrishnan said the government has requested the RBI for an interim surplus in line with the previous year when the interim surplus was requested by the government and transferred by the RBI. 

In 2017-18, the government received Rs 10,000 crore as interim surplus in March 2018, over Rs 30,659 crore surplus in 2016-17.
 

He also said the amount of surplus to be transferred for 2018-19 would be ascertained only after closure of books of the RBI's accounts in June 2019.

RBI follows July to June calendar.    

First Published: Tue, January 08 2019. 20:15 IST
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