Warrier's blog

Needed, more deliberation - The Hindu Not much research is needed to conclude that finance ministry and FSLRC, in a hurry to resolve certain minor issues, ignored the evolution of the role of RBI and the care with which RBI has nurtured the financial sector. Fed Reserve and RBI function in two different worlds. To say that time is not right for dismantling or truncating the RBI which is doing creditably well as has been admitted in several international forums, would be telling the obvious.  The dissenting notes recorded by 4 out of 7 members who signed the final report are well-argued documents, which inter alia plead the case for maintaining the basic features of RBI and assert the need for allowing the central bank to carry on with its present mandates. One wonders what motivated the FSLRC Chairman to finalize the report ignoring the difference of views expressed especially by K J Udeshi, P J Nayak and Y H Malegam.  It would appear that the Commission did...

RBI FIGHTS BACK The Hindu Business Line, June 20, 2014 Letters RBI fights back With reference to the editorial “Regulating the regulators” (June 19), it must be pointed out that the first serious indictment of the FSLRC was made in this paper by SS Tarapore in his article “A plot to destroy RBI” (May 3, 2013). As rightly pointed out in the editorial, it is quite possible that the RBI Governor’s observations may get entangled in criticism in the context of the timing, and the seriousness with which they have been made can get diluted. But, for those who have been following the matter, Rajan’s statements do not come as a surprise. It is a relief that there is some strong leadership in the financial sector. Not much research is needed to conclude that the finance ministry and FSLRC, in a hurry to resolve certain minor issues, ignored the evolution of the role of the RBI and the care with which the bank has nurtured the financial sector. It would appear that the C...

Regulating the regulators | Business Line

FSLRC recommendations on RBI: Stop, look and proceed! - Moneylife The finance ministry and FSLRC, in a hurry to resolve minor issues, perhaps ignored the evolution of the role of RBI and the care with which RBI has nurtured the financial sector. Time is not right for dismantling or truncating the RBI which is doing creditably well as is being admitted in several international forums...... Read this article of April 2013 in the context of Dr Rajan's remarks(Mumbai, June 17, 2014) on 'making regulators paper tigers...' M G Warrier

FSLRC recommendations - Moneylife In May 2013, in response to an article in a financial newspaper, I had observed: “ Not much research is needed to conclude that finance ministry and FSLRC, in a hurry to resolve certain minor issues, ignored the evolution of the role of RBI and the care with which RBI has nurtured the financial sector. Fed Reserve and RBI function in two different worlds. To say that time is not right for dismantling or truncating the RBI which is doing creditably well as is being admitted in several international forums, would be telling the obvious. The dissenting notes recorded by 4 out of 7 members who signed the final report are well-argued documents, which inter alia plead the case for maintaining the basic features of RBI and assert the need for allowing the central bank to carry on with its present mandates. One wonders what motivated the FSLRC Chairman to finalize the report ignoring the difference of views expressed especially by K J Udeshi...

Letters: Revamp the NPS | Business Standard Submitted version of the response: Revamp and re-focus NPS This refers to the report “PFRDA targets 10 mn NPS subscribers for FY 15”( June 17). Introduced effective January 1, 2004 through an earlier Budget announcement and an executive order, NPS(originally New Pension Scheme and now New Pension System) is now in its teens. Beyond forcibly denying a well-established pension scheme for a section of central government employees who joined service after December 31, 2013 and employees of various state governments who joined service after adoption of the NPS by respective states, the scheme has not enthused many outside the captive clientele for whom it was made compulsory even before legislative measures were initiated or the issue examined by the central pay commission. It would be   embarrassing for PFRDA to reveal the share of 88 per cent employees who were not covered by regular pension schemes in 2013, whose inte...

PFRDA targets 10 mn NPS subscribers for FY15 | Business Standard Introduced effective January 1, 2004 through an earlier Budget announcement and an executive order, NPS(originally New Pension Scheme and now New Pension System) is now in its teens. Beyond forcibly denying a well-established pension scheme for a section of central government employees who joined service after December 31, 2013 and employees of various state governments who joined service after adoption of the NPS by respective states, the scheme has not enthused many outside the captive clientele for whom it was made compulsory even before legislative measures were initiated or the issue examined by the central pay commission. It would be   embarrassing for PFRDA to reveal the share of 88 per cent employees who were not covered by regular pension schemes in 2013, whose interest NPS was to pursue, in the present corpus of Rs56,000 crore(AUM). One option to salvage the credibility of NPS would be to re...