Current Context: The Reserve Bank of India has released a draft framework which will offer a grant of recognition to association of industry to be termed as Self-Regulatory Organisation (SRO) for Payment System Operators (PSO).
- SRO will be responsible to frame and enforce rules for PSO in order to protect customers and promote ethics, quality and professionalism.
- As per RBI, it is mandatory to develop industry standards and norms related to system security, pricing practices, protection of customer, to solve grievances and have redressal mechanisms.
- This draft framework will offer systematic regulatory resources which will be developed by industry and will thus encourage and promote better compliance.
- SRO will act as a two way communication channel between PSOs and RBI and in case of any violations, SRO will report to RBI.
- The SRO will be set up under the Companies Act.
- Static Part:
- HQ of RBI: Mumbai
- Governor of RBI: Shaktikanta Das
Question:
Q.1 Who among the following has to release a draft to set up Self-Regulatory Body for Payment System Operators?
a. IRDAI
b. NITI Aayog
c. RBI
d. NABARD
a. IRDAI
b. NITI Aayog
c. RBI
d. NABARD
