REGULATIONS


Like our own Reserve Bank of India (RBI), central banks worldwide are worried about the impact of COVID-19, as it is an extremely severe and unprecedented health and economic crisis impacting the world. COVID-19 perhaps represents the most serious test of the global financial system after the...

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The Securities and Exchange Board of India (SEBI) on Thursday gave three more months, till June 30, for liquid funds to comply with the requirement of holding at least 20 per cent of their assets in liquid assets like cash and government securities.   The new norm for improving risk...

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The Reserve Bank of India (RBI) on Thursday extended the regulatory benefits announced under the SLF-MF scheme to all banks, irrespective of whether they avail funding from the Central Bank or deploy their own resources.   The RBI announced special liquidity facility for mutual funds...

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Moneylife Digital Team 30 April 2020
Market regulator Securities & Exchange Board of India (SEBI), while easing the know-your-customer (KYC) process, has allowed registered intermediaries (RIs) to use online KYC and technology or app.    SEBI has enabled the usage of eSign, Digilocker and electronic signature as...

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It becomes evident that in all the past financial crisis situations, central banks (most often the regulators and supervisors) were extremely ill-prepared for the impending crisis. Of course, while their incoherent responses added in a great measure to the uncertainty and panic in the...

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Moneylife Digital Team 29 April 2020
The official support measures announced for mutual funds (MFs) in India may struggle to be effective, as undercapitalised banks are unlikely to be tempted to extend liquidity to the sector without capital relief on the facilities, says Fitch Ratings. It added that the announcement follows the...

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Vinita Nair  and   Smriti Wadehra 28 April 2020
As per the Foreign Exchange Management (Non-Debt Instruments) Rules, 2019 (hereinafter referred to as NDI Rules) notified on 17 October 2019 by the ministry of finance (MoF) in supersession of the Foreign Exchange Management (Transfer or Issue of Securities by Persons Resident Outside India)...

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Moneylife Digital Team 27 April 2020
In its continuing efforts to help market participants to tide over challenges due to corona virus (COVID19), market regulator Securities and Exchange Board of India (SEBI) has decided to reduce broker turnover fees and filing fees on offer documents for public issue, rights issue and buyback...

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The past 12 years have seen our financial system and institutions take a beating. Starting with the global financial crisis of 2007-08 and through the (undivided) Andhra Pradesh microfinance crisis of 2010, the Infrastructure Leasing & Financial Services (IL&FS) case of 2018, the Punjab...

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Moneylife Digital Team / IANS 27 April 2020
To ease liquidity pressures on mutual funds (MFs), the Reserve Bank of India on Monday decided to open a special liquidity facility (SLF-MF) worth Rs50,000 crore.   Accordingly, under the facility, the RBI shall conduct repo operations of 90 days tenor at the fixed repo rate. The apex...

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The Reserve Bank of India (RBI) has already initiated macro-economic and financial sector policy measures to ease the impact and pain of the lock-down caused by COVID-19. Key among these are the two interest rate cuts, reduction of reserve requirements for banks to infuse liquidity into the...

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To relax the conditions for raising funds from the securities market amidst the financial disturbance caused due to the COVID-19 pandemic, regulator SEBI has decided to ease buy-back regulations.   In financial parlance, a buy-back refers to repurchase of the company's stocks from the...

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Moneylife Digital Team 21 April 2020
Market regulator Securities & Exchange Board of India (SEBI) has given temporary relaxation related with rights and public issues of listed entities due to challenges faced by Indian economy during the coronavirus (COVID-19) pandemic.   In a release, SEBI says, “These measures are...

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Notorious fraudsters, telemarketers and spammers are continuing to have a good time and are cheating and harassing mobile subscribers across India.   The reason? The sector regulator, Telecom Regulatory Authority of India (TRAI) as well companies whose name is being misused by...

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Timing is an important while making investment decisions. But this is also true for regulation and supervision, and is felt most acutely in its absence.    As the world struggles to deal with the economic consequences of the coronavirus pandemic, victims of financial failures in India...

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Moneylife Digital Team 17 April 2020
The Reserve Bank of India (RBI) on Friday announced a cut of 25 basis points (bps) in reverse repo rate (short-term borrowing) to 3.75% from 4%. While asking banks not to make any further dividend pay-out, RBI governor Shaktikanta Das says non-performing asset (NPA) classification will...

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The ministry of corporate affairs (MCA) on Wednesday issued a circular allowing companies to hold extraordinary general meetings (EGMs) through video conferencing (VC) or other audio-visual means (OAVM), complemented with e-voting facility or simplified voting through registered...

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In a major relief for developers, the Maharashtra Real Estate Regulatory Authority (MahaRERA) on Thursday extended the completion deadline for all registered projects by three months.   Further, the authority also extended the time limits of all statutory compliances in accordance...

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In a bid to curb insider trading, security market regulator, Sebi has reportedly prohibited promoters and insiders from buying company shares till June 30, as companies have been given extra time to report earnings with the stock exchanges.   Companies have received additional time to...

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Securities market regulator Sebi on Monday eased default recognition guidelines for credit rating agencies in the midst of the nationwide lockdown.   In a circular, Sebi said: "In view of the developments arising due to COVID-19 pandemic and in light of the moratorium permitted by the...

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