Risk-based premium for deposit insurance: Time right, but tough to follow

If RBP kicks in, there will be a shakeout among urban-cooperative banks

The fiasco at the Punjab and Maharashtra Bank (PMC) is a reminder that you need not have to fare badly in a poll to lose your deposit; nutty bankers can make this happen. 

The late Jagdish Capoor, a former deputy governor of the Reserve Bank of India (RBI), made a case for paying a higher premium on the insurable deposits per account holder to the Deposit Insurance and Credit Guarantee Corporation of India (DICGC) based on the risk profiles of banks. In the aftermath of the PMC Bank mess, the deposit-insurer has taken up the issue, and is to present