Small & payment banks may get RBI licences by year-end: SS Mundra

The Reserve Bank is hopeful of issuing small and payment banks licences by the end of the calender year, central bank Deputy Governor SS Mundra said today.

"We expect that it (issuing payment and small bank licences) should happen during the course of this year. Both are work in progress and hopefully both should happen in the course of this calendar year," Mundra, who is in-charge of banking supervision at RBI, told reporters here.

It can be noted that early February as many 74 companies/entities/individuals have applied for licences to set up small banks and payments banks.

The move to allow such differentiated banks came after the RBI had found just two entities - the infra player IDFC and the micro-lender Bandhan from among over two dozen applicants-eligible for setting up commercial banks.

The RBI issued this limited set of licences in April 1, 2014, after a decade. Both the applicants are yet to begin their operations even after a year as they have time till October.

During that time, Governor Rajan had said that others could apply for small and payments banks and that going forward bank licences will be issued on-tap.

Bank of China may open first India branch in Mumbai

If things go according to plan, then the first branch of Bank of China may open in Mumbai soon.

National Security Advisor (NSA) Ajit Doval has given the security clearance for opening of the bank, and has conveyed this to Maharashtra chief minister Devendra Fadnavis.

Fadnavis had recently accompanied Prime Minister Narendra Modi on a tour of China, where he aggressively pushed for Chinese investments in the state, and had a one-on-one meeting with Bank of China chairman Tian Guoli.

Chairman Guoli, though keen to open a branch in Maharashtra, had raised the issue of security clearance by intelligence wing of the country, which he feared, might cause problems. Fadnavis is learnt to have spoken to Doval who assured the chief minister that he has no objections to the proposal.

The NSA, however, told Fadnavis that Bank of China would have to adhere to the Reserve Bank of India's (RBI) and other regulatory guidelines before setting up its branch in Mumbai for which it has to seek the central bank's permission.

The Maharashtra government wants Chinese investments in developing and financing infrastructure and believes that Bank of China setting up operations in the financial capital would be a first step in that direction

Indian Banks Association wants government to lower rates on small savings scheme

MUMBAI: The Indian Banks Association (IBA) today said it has urged the Finance Ministry to bring down interest rates on small savings schemes such as the Sukanya Samridhi and National Savings Scheme.

"We met the Finance Ministry recently and requested that the rate of interest on government's small saving schemes such as the Sukanya Samriddhi or NSC are at a level from where it should be brought down," IBA chairman TM Bhasin told reporters here today.

He said even the Shyamala Gopinath committee report had recommended that interest rate on these government schemes should be at the secondary market yield of government securities plus 25 basis points.

The rates offered in the various small savings schemes are in the range of 9-9.10 per cent currently.

"Since we have to compete with those schemes in smaller areas, we have requested that there should be some re-calibration of rates so that when banks reduce their rates of interest, there should not be any suffering from diversion of funds from the banking system to other avenues," he said.

Talking on the forthcoming monetary policy review on June 2, Bhasin said he expects some easing in the repo rate and also said the bankers have sought a cut in cash reserve ratio.

"I think with inflation easing there is a possibility that there may be some recalibration of rate. As far as bankers are concerned, the preferable mode is more on passing on the CRR cut which gives us some leeway in reducing the rate of interest on advances because we have surplus liquidity available with us in the system as credit offtake is not there," Bhasin said.

He said since the liquidity condition in the banking sector is comfortable, bankers are not borrowing from the repo window.

"We have always requested RBI that there be some cut in the CRR so that the cost of funds also comes down. We expect 50 basis points cut in CRR," Bhasin said.

He said a 50 basis points cut in the CRR will release around Rs 40,000 crore in the banking system.

ICICI Launches Voice Password Facility

MUMBAI: Country's largest private lender ICICI Bank today said it has launched a service where customers can make transactions using just their voice, without using other means of authentication like a password.

The voice recognition service authenticates customers based on their speech patterns and allows them to execute banking transactions through the bank's call centre, the bank said in a statement issued here.

Customers, in general, use various means of authentication like entering card numbers, answering security questions and entering a personal identification number (PIN) to carry out a phone banking transaction.

"Their voice will now act as the password for banking transactions through the call centre," the statement said, adding that the service is secure.

Over 33 million savings bank and credit card customers will be able to use the service.

"Our decision to invest in this new technology was primarily driven by the objective of enhancing the everyday banking experience of our customers," its managing director and chief executive Chanda Kochhar said.

She added that customers using smartphones find it difficult to enter the 16 digit card number and the 4 digit PIN with accuracy and the hands-free alternative has the potential to increase security and convenience.

The technology solution works on unique 'voice prints' which comprise over 100 characteristics, including voice modulation, speed, accent and pronunciation, which are impossible to imitate, the statement said.

The voice print is stored and matched whenever the customer calls from the registered mobile number, it said.

PQP & FPP- Workmen

PQP & FPP- Workmen

GRADUATION PAY/ PROFESSIONAL QUALIFICATION PAY

For those workmen who hereafter reach or have already reached 20thstage of the scale and have got increments in consideration of educational qualification(s), Graduation Pay/ Professional Qualification Pay shall be payable as under:

Those who are graduates and/or NDC -
Rs.410/- p.m. after they complete 1 year
Rs.800/- p.m. after they complete 2 yearsThose who have passed JAIIB or Part I of CAIB/CAIIB-
Rs.410/- p.m. after they complete 1 year>Those who have passed JAIIB and CAIIB or Both Parts of CAIB/CAIIB -
Rs.410/- p.m. after they complete 1 year
Rs.800/- p.m. after they complete 2 years
Rs.1210/- p.m. after they complete 3 yearsThose who are graduates/NDC and have passed JAIIB or Part I of CAIB/CAIIB -
Rs.410/- p.m. after they complete 1 year
Rs.800/- p.m. after they complete 2 years
Rs.1210/- p.m. after they complete 3 yearsThose who are graduates/NDC and have passed JAIIB or Both Parts of CAIB/CAIIB -
Rs.410/- p.m. after they complete 1 year
Rs.800/- p.m. after they complete 2 years
Rs.1210/- p.m. after they complete 3 years
Rs.1620/- p.m. after they complete 4 years
Rs.2010/- p.m. after they complete 5 years.
Area of PostingTotal FPP payable where bank's accommodation is not provided

Total FPP payable where bank's accommodation is provided
Increment Component of FPP(1)(2)(3)(4)

CLERICAL STAFF
(i) Places with population of more than 45 lakhs158514501310
(ii)Places with population of 12 lakhs and above including State of Goa157014501310
(iii) Other places not covered in (i) and (ii) above155014501310

SUBORDINATE STAFF
(i) Places with population of more than 45 lakhs790730655
(ii)Places with population of 12 lakhs and above including State of Goa790730655
(iii) Other places not covered in (i) and (ii) above780730655