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Bimal Jalan-led panel to assess risk capital required by RBI
Mumbai, Dec 26 (IANS) The Reserve Bank of India (RBI) on Wednesday formed an expert committee on economic capital framework led by former RBI Governor Bimal Jalan to suggest the amount of reserves it needs to keep, handing over the balance to the government.
The committee will file its report within 90 days from the date of its first meeting.
“As decided by the Central Board of RBI in its meeting held on November 19, 2018, the RBI, in consultation with the Government of India, has today (Wednesday) constituted an expert committee to review the extant Economic Capital Framework of the RBI,” the bank said.
The issue had become a bone of contention between the RBI and the government when the latter suggested that the central bank has been keeping reserves much larger than any other central bank and should transfer a significant amount to the government.
The six-member committee would “suggest an adequate level of risk provisioning that the RBI needs to maintain” and “determine whether the RBI is holding provisions, reserves and buffers in surplus/ deficit of the required level of such provisions, reserves and buffers”.
It will also “propose a suitable profits distribution policy taking into account all the likely situations of the RBI, including the situations of holding more provisions than required and the RBI holding less provisions than required”, the bank said in a statement.
The committee, including former RBI Deputy Governor and former Economic Affairs Secretary Rakesh Mohan as its Vice Chairman, will also look into other related matters like treatment of surplus reserves created out of realised gains, if it decides that the RBI should hold it.
The panel will review status, need and justification of various provisions, reserves and buffers presently provided for by the RBI in context to global best practices followed by other central banks while provisioning for risks the central bank balance sheets are subject to.
Other panel members are Economic Affairs Secretary Subhash Chandra Garg, RBI Deputy Governor N.S. Vishwanathan and two RBI Board Directors Bharat Doshi and Sudhir Mankad.
–IANS
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Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma
World-renowned business tycoon Dr. Abhishek Verma has supported Foodman Vishal Singh’s Hunger-Free World mission. In memory of his mother, Late Veena Verma, who was a 3 term Rajya Sabha MP.
Dr. Verma dedicated a state-of-the-art free permanent shelter for the attendants of patients at KGMU Medical University, Lucknow, under the aegis of Vijay Shree Foundation. His daughter, Nicolle Verma, inaugurated the shelter.
During the event, Foodman Vishal Singh honored Nicolle Verma by presenting her with a memento. Mrs. Nidhi Sharma and Avantika Yadav, associated with the organization, welcomed her with garlands. Following this, Nicolle Verma distributed essential items to the attendants and also handed out fruits. She became emotional remembering her grandmother on her birth anniversary.
On this occasion, she also inaugurated the “Veena Verma Sevalaya” in memory of her grandmother, Veena Verma, to serve the attendants. She expressed, “I feel proud that my family is engaged in nation-building as well as social service. Today, in collaboration with Vijay Shree Foundation founder Foodman Vishal Singh Ji, I feel immensely proud to dedicate this shelter for the poor, helpless, and needy attendants of patients battling serious illnesses like cancer. I am honored to be associated with the Hunger-Free World Mission for humanity.”
Inspired by the continuous humanitarian service provided by Vijay Shree Foundation over the past 17 years, Nicolle Verma donated 10 lakh rupees to support the cause. The purpose of this donation is to ensure that services continue for the needy attendants of patients suffering from severe illnesses in hospitals, as facilitated by Foodman Vishal Singh.
It is noteworthy that Dr. Abhishek Verma’s family has a legacy of public and philanthropic service. They are helping millions to carry forward the values and service work of their parents. On the occasion of his mother’s birth anniversary, Dr. Abhishek Verma dedicated this state-of-the-art permanent shelter at Lucknow Medical College to serve the attendants of patients through the Vijay Shree Foundation.
Supporting Foodman Vishal Singh’s Hunger-Free World mission, Dr. Abhishek Verma assured that he would continually support keeping this flame of humanity alive. He also promised to assist in providing medicines to the helpless patients.
Continuing her grandmother’s legacy of service, Nicolle Verma personally served food to the needy patients and attendants. She said, “It is our good fortune to have received the joy of doing this noble work today through Foodman Vishal Singh. I have taken another step forward in carrying my family’s values and cooperation by joining hands with the Vijay Shree Foundation. My father taught me to serve and help the needy, and I feel happy when I bring a smile to someone’s face.”
On the birth anniversary of the late Veena Verma, the event organizer, Vijay Shree Foundation founder Foodman Vishal Singh, said, “We feel proud and happy that Dr. Abhishek Verma, a globally renowned business tycoon, has extended his support to uplift our country from the hunger index. Today, on his mother’s birth anniversary, he inaugurated a state-of-the-art permanent shelter at Lucknow Medical College, which will always be helpful for the needy attendants of patients. It is a pleasure for me and the organization to receive the affection of Mr. Verma.”
The event was attended by General Manager Verma Family Office Hemant Garg, Sonu Rajput, and the organization’s volunteers, including Sandeep Singh, Parmeshwar Ji, Prashant Rao Gautam, Balram Singh, Ramesh Chaudhary, Suman, Jeetu, Anil, Suraj, Vinay, Manish Bhadauria, Manas Mehrotra, Vivek, Apurv, Happy, and others.