Rbi To Rejig Money, Gilts Markets Panel

The Reserve Bank of India (RBI) has decided to reconstitute the technical advisory committee on the money and government securities markets for a term of two years from the date of its first meeting. The apex bank would seek advices from the panel, on an ongoing basis, for developing a healthy and vibrant money and government securities market.

The committee will be headed by Dr Y V Reddy, deputy governor, RBI. Other members include deputy governors G P Muniappan and Vepa Kamesam, executive director Mohd Tahir, adviser to the finance minister Rakesh Mohan and former chief economic adviser to the government Dr Shankar Acharya. The committee was earlier set up on July 21, 1999, for two years.

 

As per the terms of reference outlined by the RBI, the committee will review and recommend measures for widening and deepening the money and government securities markets, including those relating to participants, products, institutional and infrastructure arrangements. It will examine and advise the central bank on the evolving and desirable linkages among the money, government securities, foreign exchange and capital markets.

Further, the committee will review the infrastructure, legal and institutional arrangements for trading, transfer and settlement in the call and the government securities markets in respect of the emerging payments system including the Clearing Corporation of India. It will look into the qualitative and quantitative aspects of risk management, accounting, disclosure, settlement and legal framework in the money and government securities markets.