RBI: Banks ought to carry comparable enterprise underneath one entity

MUMBAI: Banks which have a big conglomerate construction will now must consolidate comparable actions underneath one entity, in accordance with RBI’s new draft round for banks. RBI has additionally requested banks with giant NBFC arms to adjust to guidelines pertaining to upper-layer NBFCs. Solely a single entity inside a financial institution group is allowed to have interaction in a particular sort of enterprise underneath the brand new round.It additionally specifies that the core enterprise of the financial institution – together with accepting deposits and lending – have to be carried out throughout the financial institution’s departments.