Summary
Contents
Do you often wonderIs my money safe in banks? India is grappling with its worst banking crisis ever, and we are still trying to figure out what landed us here. This book analyses the role of the government and RBI in allowing the problem to reach the dimension it has assumed today. When will the never-ending NPA issue be resolved? Does it make sense to merge two PSBs when the culture and governance structures are alike? Should the RBI reserves be used in times of crisis? Should the tenure of a CEO be long or short? The book ponders and debates on some of these questions. Hits and Misses presents the two sides of the Indian banking story by giving an account of the reforms as well as quandaries in times of extraordinary economic and political challenges. The book answers many relevant questions by highlighting the highs and lows of the banking sector, which became subjects of debate in media and financial circles.
RBI versus Government : Is It a Healthy Relationship?
RBI versus Government : Is It a Healthy Relationship?
The idea of having a central bank which is also the monetary authority is that there is an independent organization which is in charge of conducting the affairs of the monetary sector which sets benchmarks in monetary policy as well as oversee the operation of banks. Therefore, the role of a central bank is manifold and includes printing currency, conducting monetary policy, being an agent of the government and hence a banker for the same, managing the forex reserves of the country and hence the exchange rate besides being a banker to banks. While this is what all standard textbooks say, the role gets expanded when one looks ...