Current Context: Government of India has taken the decision to bring an ordinance to put all cooperative banks under the supervision of the Reserve Bank of India.
- The decision was announced by the Union Minister Prakash Javadekar.
- As per this decision 1482, urban cooperative banks and 58 multi-state cooperative banks will come under the supervisory control of Reserve Bank of India.
- Therefore, the powers which RBI puts on all scheduled banks will now be applicable to cooperative banks as well.
- Because of this decision, more than 86 million depositors will get an assurance that their money which amounts to Rs 4.84 trillion will remain safe.
- The decision to bring cooperative banks under RBI’s supervisory control was taken because cooperative banks from a long time are facing weakness in their financial system due to lack of adequate oversight.
- Therefore, under the limelight of RBI, there will be upliftment in the financial system of these cooperative banks.
- The ordinance for the same will implement provision immediately while the law is amended in parliament.
- Static Part:
- HQ of RBI: Mumbai
- Governor of RBI: Shaktikanta Das
Question:
Q.1 Which union minister announced that all cooperative banks will come under the supervision of Reserve Bank of India?
a. Ravi Shankar Prasad
b. Piyush Goyal
c. Nirmala Sitharaman
d. Prakash Javadekar
a. Ravi Shankar Prasad
b. Piyush Goyal
c. Nirmala Sitharaman
d. Prakash Javadekar