image

Master Circular – Resource Raising Norms for Financial Institutions

RBI/2013-14/77
DBOD.No.FID.FIC.1/01.02.00/2013-14

July 1, 2013

The CEOs of the
All-India Term Lending and Refinancing Institutions
(Exim Bank, NABARD, NHB and SIDBI)

Dear Sir,

Master Circular – Resource Raising Norms for Financial Institutions

Please refer to Master Circular DBOD.No.FID.FIC.1/01.02.00/2012-13 dated July 02, 2012 on the captioned subject. The enclosed Master Circular consolidates and updates all the instructions / guidelines on the subject up to June 30, 2013. The Master Circular has also been placed on the web-site of RBI (http://www.rbi.org.in).

2. It may be noted that the instructions contained in the circulars listed in Annex 4 have been consolidated in this master circular.

Yours faithfully,

(Rajesh Verma)
Chief General Manager

———————————————————————————————————————

Purpose

To facilitate the specialised financial institutions (FIs) to meet their short-term and long-term resource requirements so as to enable the FIs to cater to sectoral needs of credit, linked to the operations, purpose and objectives with which the FIs were set up as per their respective statutes. This circular also aims at providing level-playing field, by bringing broad convergence in regulatory norms among financial institutions with regard to issue of bonds by them.

Previous Instructions

This master circular consolidates and updates all the instructions / guidelines issued by the Reserve Bank of India relating to resource raising by financial institutions contained in the circulars listed in Annex 4.

Application

To all the all-India term-lending and refinancing institutions viz. Exim Bank, NABARD, NHB and SIDBI.

1

Introduction

2

Norms for Resource Raising under the ‘Umbrella Limit’

2.1

Term Deposits

2.2

Term Money Borrowings

2.3

Certificates of Deposit (CDs)

2.4

Commercial Papers (CPs)

2.5

Inter Corporate Deposits (ICDs)

3

Norms regarding Issue of Bonds / Debentures
Annex 1: Directions on Commercial Paper
Schedule I : Proforma of Commercial Paper (CP)
Schedule II: IPA Certificate
Schedule III: Details of Defaults on Repayment of CP
Schedule IV: Reporting of buyback of CPs
Annex 2 : Monthly consolidated return on aggregate resources raised
Annex 3 : Monthly return on resources raised through Bonds
Annex 4 : List of Circulars consolidated in the Master Circular

———————————————————————–

Full Circular Available for download

———————————————————————–

Tags: All-India Financial InstitutionsfinanceFinancial institutionIndiaMaster CircularMaster Circulars 1st July 2013Rajesh VermaReserve Bank of IndiaSmall Industries Development Bank of India

profile image

About eMinds Legal

eMinds Legal

eMinds Legal is a Corporate Law Firm based in Gurgaon, India specializing in Corporate Legal, Corporate Secretarial and Compliance. The Firm comprises of a team of Corporate Lawyers and Company Secretaries with in-depth subject matter knowledge and participative industry experience of over 15 years.

Corporate Law Referencer

Recent Articles

Recent Legal updates

Recent Gst Updates