FRDI Bill and Bail-in: Slowly, clarity is emerging!
Clarity on Bail-in
After creating confusion in the minds of savers who have kept their savings in Indian banks, which incidentally happen to be the captive pool from which governments borrow in different ways, clarity is emerging on the intentions of FRDI Bill. Welcome.
GOI and RBI, and finance ministry particularly should have been more cautious. Post-demonetization, a hostile opposition, and a vulnerable media have been waiting for opportunities to tarnish the image of Modi government, unmindful of the damage such efforts inflict to the image of the country to which they too belong.
This calls for a more aggressive and transparent approach to policy formulation and implementation on the side of GOI. While handling sensitive sectors like Banking, finance ministry will do well to send out a message that they and RBI are on the same page.
M G Warrier