Master Direction- Reserve Bank of India (Financial Services provided by Banks) Directions, 2016
This Master Direction outlines the guidelines for banks providing financial services in India.
The direction applies to all banks operating in India, including scheduled commercial banks, regional rural banks, and local area banks.
The direction defines various terms related to financial services, including assignee, assignor, associate, debtor, factoring, and more.
Chapter II outlines general guidelines for banks, including forms of business, prudential regulation for investments, and procedures for applications.
Chapter III specifically deals with financial services undertaken by banks, including sponsoring of financial institutions, investment advisory services, and portfolio management services.
The direction also outlines guidelines for banks’ relationships with subsidiaries, joint ventures, and other financial institutions.
Updated as on August 10, 2021, and September 25, 2017, this direction aims to regulate and supervise banks’ financial services in India.
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