Team Blitz India
UNION Finance Minister Nirmala Sitharaman chaired the 28th meeting of the Financial Stability and Development Council (FSDC) in New Delhi on February 21.
The Council deliberated on issues related to macro financial stability and India’s preparedness to deal with them. The ongoing inter-regulatory issues were also discussed to support GIFT IFSC in its strategic role to become one of the world’s premier international financial centres and perform its envisioned role of facilitating foreign capital and financial services for the domestic economy.
The FSDC discussed various issues related to formulation of strategy for implementing the decisions of the Council and the Union Budget announcements. These included prescribing uniform KYC norms; interusability of KYC records across the financial sector, and simplification and digitalisation of the KYC process.
Kickstarting fund-raising by social enterprises through social stock exchanges and arresting the harmful effects of unauthorised lending through online apps and measures to curb their further spread were also discussed.
The FSDC considered the domestic and global macro-financial situation and emphasised that the members need to maintain constant vigilance and continue their proactive efforts towards detecting emerging financial risks and take necessary steps to maintain the resilience of the financial sector.
Members also decided to strengthen inter-regulatory coordination to further develop the financial sector so that it continues to provide the requisite financial resources for inclusive economic growth.
The FSDC also took note of the activities undertaken by the FSDC SubCommittee chaired by RBI Governor and the action taken by members on the previous decisions of the Council.
