Chaired by Reserve Bank Governor Raghuram G Rajan, the Sub Committee of the Financial Stability and Development Council (FSDC) reviewed the domestic macro economy and potential risks facing the financial system in New Delhi on Saturday.
The Sub-Committee reviewed the major provisions of the Union Budget and discussed time lines for their implementation. It also deliberated upon a draft roadmap for creating standards and protocol for setting up account aggregation facility for financial assets was also deliberated in the meeting.
These included one single demat account for all financial assets; introduction of uniform Know Your Client (KYC) norms and inter-usability of KYC records across the financial sector; strengthening and deepening the markets for corporate bonds, currency derivatives and interest rate futures; and participation of Domestic Financial Institutions and Foreign Institutional Institutions in the commodities market.
The meeting was attended by Finance Secretary Arvind Mayaram, Department of Financial Services Secretary Gurdial Singh Sandhu, Securities and Exchange Board of India (SEBI) Chairman U. K. Sinha and Reserve Bank Deputy Governors Harun R. Khan, Urjit Patel, R. Gandhi and S. S. Mundra and other officials.
The FSDC is an apex-level body the Government had constituted after a committee in 2008 headed by Dr. Rajan recommended an autonomous super regulatory authority for overseeing the financial sector. It was set up in 2010 for strengthening and institutionalising the mechanism of maintaining financial and macroeconomic stability and coordination amongst various regulators in the financial sector.
