The Central Board of the Reserve Bank of India (RBI) met on 12 December 2013 at Kolkata. The Governor of Reserve Bank of India Raghuram G. Rajan chaired the meeting. The Board reviewed the current economic situation, global and domestic challenges and policy responses.
The Central Board meets at least once every quarter. Apart from holding meetings in Mumbai, Chennai, Kolkata and one in New Delhi after the Union Budget, which is addressed by the Finance Minister, the rest of the meetings are held in other state capitals by rotation. The main function of the Central Board of Directors of the Reserve Bank is to provide overall direction to the Reserve Bank’s affairs.
Earlier, on December 11, 2013, Raghuram Rajan said the financial system will be improved on the Reserve Banks developmental measures over the next few quarters on five pillars.
These five pillars are:
• Clarifying and strengthening the monetary policy framework
• Strengthening banking structure through new entry, branch expansion, encouraging new varieties of banks, and moving foreign banks into better regulated organisational forms
• Broadening and deepening financial markets and increasing their liquidity and resilience so that they can help allocate and absorb the risks entailed in financing India’s growth
• Expanding access to finance for small and medium enterprises, the unorganised sector, the poor, and remote and underserved areas
• Improving the system’s ability to deal with corporate distress and financial institution distress by strengthening real and financial restructuring as well as debt recovery
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