The Union Budget has proposed certain amendments to the Banking Regulation Act, the Banking Companies Act and the Reserve Bank of India Act to improve bank governance and enhance protection of investors.
To build the capacity of functionaries and professionals in the securities market, the Securities and Exchange Board of India will be empowered to develop, regulate, maintain and enforce norms and standards for education in the National Institute of Securities Markets and recognise the award of degrees, diplomas and certificates, the Finance Minister said in her Budget speech.
To reduce the cost of compliance, financial sector regulators will carry out a comprehensive review of existing regulations and consider suggestions from the public and regulated entities, Prem Rajani, managing partner, Rajani Associates, said.
“It will be interesting to see the amendments that will be made in the laws to improve banking regulations,” he said, adding that the Budget reiterated the government’s commitment to deploy technology to augment the financial sector.
“The focus on the deployment of DigiLocker and the development of a National Financial Information Registry will not only serve as a central repository of financial and ancillary information but also promote financial inclusion and ease of doing business,” Mr. Rajani said.