Break in Publishing

 Break in Publishing

As I am going abroad for 3 months I am unable to publish any Article in Blog. I will resume my publications on 10th November, 2026 positively.

Sekhar Pariti 

BTL 926 - Interest Rate on Deposits – Revised Guidelines

 

The Banking Tutor’s Lessons

BTL 926                                                                                06-08-2026

Interest Rate on Deposits – Revised Guidelines

On 30^th July, 2026 The Reserve Bank of India (RBI) has advised the following guidelines for commercial bank deposit interest rates, setting an implementation date of October 1, 2026.

The updated guidelines mandate uniform interest rates across all bank branches for identical deposits, introduce strict advance disclosure timelines for bulk deposits, and allow flexible pricing tied to Liquidity Coverage Ratio (LCR) requirements.

Key Updates and Rules

• Uniform Branch Pricing: Banks must offer the exact same interest rate for similar deposits accepted on the same date across all of their domestic branches, removing inter-branch rate discrepancies.
• Bulk Deposit Transparency: Banks must publish interest rates for bulk deposits on their websites in advance by 10:00 AM every business day, with a strict 10-minute grace period ending at 10:10 AM.
• Differential LCR-Based Rates: Lenders are permitted to offer varying interest rates on bulk deposits based on the specific Liquidity Coverage Ratio (LCR) and wholesale funding requirements applicable to those funds.
• Non-Resident Deposits: Similar rate-setting flexibility and disclosure rules are extended to Rupee deposits held by non-resident customers. 

• No Direct Rate Mandates: The guidelines do not enforce any universal hike or cut in retail Fixed Deposit (FD) interest rates; individual banks continue to set rates based on market liquidity and funding needs.

Sekhar Pariti

+91 9440641014

 

DBC 2518 - Financial Kiting

 

The Banking Tutor 

                       Daily Banking Concept 

No. 2518                                            06-08-2026

                             Financial Kiting 

Financial kiting is an illegal form of fraud that exploits the processing time gap between banks, known as float time. The two main types are check kiting and securities kiting. People use it to falsely show money that is not really there.

DBC 2517 - Interoperability

 

The Banking Tutor

 Daily Banking Concept

 No. 2517                                            05-08-2026

                           Interoperability 

Interoperability is the ability of different products, systems, or software to connect, communicate, and share data with each other.

 

DBC 2516 - Friend-Shoring (or Friendshoring)

 

The Banking Tutor

  Daily Banking Concept

 No. 2516                                            04-08-2026

               Friend-Shoring (or Friendshoring) 

Friendshoring is a trade strategy where countries move their factory work and supply chains to nations that are political and economic allies. Its main goals are ensuring supply safety and reducing risks from rival countries.

BTL 925 - Data Flow - Various Portals of RBI

 

The Banking Tutor’s Lessons

BTL 925                                                                                03-08-2026

Data Flow - Various Portals of RBI

The Reserve Bank of India (RBI) operates several specialised online portals to manage regulatory compliance, financial data collation, statutory returns, and license processing.

Core Data and Statutory Compliance Portals

• CIMS Common Login Portal (Centralized Information Management System): This serves as the primary modern repository for data reporting. It replaces several legacy channels, automating how commercial banks and Non-Banking Financial Companies (NBFCs) file periodic statutory returns like Form A, Form VIII, and Form IX.
• 
  
• FLAIR System Portal (Foreign Liabilities and Assets Information Reporting): A web-based application built for companies, LLPs, and alternative investment funds to upload annual returns tracking foreign direct investments (FDI) and overseas direct investments (ODI).
• 
  
• FIRMS Portal (Foreign Investment Reporting and Management System): A platform facilitating the cross-border transaction filing under a single integrated window via the Single Master Form (SMF). It covers critical reports like FC-GPR and FC-TRS.
• 
  
• XBRL Portals: Though heavily being transitioned to CIMS, these legacy eXtensible Business Reporting Language platforms (categorised under Phase II and Phase III) are still maintained for specific financial parameter returns. 

Supervisory and Regulatory Approval Portals

• PRAVAAH Portal (Platform for Regulatory Application, Validation and Authorisation): A centralized, secure portal enabling individuals, institutions, and regulated entities to digitally apply for licenses, regulatory approvals, or explicit statutory authorisations.
• 
  
• DAKSH Portal: An advanced web application dedicated to supervisory communication. It tracks real-time compliance queries, guidelines, and time-bound responses mandated by different departments inside the RBI.
• 
  
• CISBI Portal (Central Information System for Banking Infrastructure): A dedicated interface for cooperative and commercial banking institutions to update, modify, or add crucial structural info regarding newly deployed branches and ATMs.

Auxiliary and Specialised Reporting Portals

• EDSP Portal (Electronic Data Submission Portal): Utilised by authorized dealer banks to file specific transactional and institutional data, such as the International Banking Statistics (IBS) returns.
• 
  
• Balance of Payment Portal: An endpoint designed explicitly for designated institutional clearing networks to report cross-border balance of payment flows.
• 
  
• Data Collector Portal: A technical portal primarily assigned for surveys (e.g., ITES/software exports survey) or peripheral data gathering.

Public and Consumer Grievance Portals

• RBI CMS Portal (Complaint Management System): The unified platform under the Integrated Ombudsman Scheme where customers file disputes against any bank, NBFC, or digital payment app if native resolution fails.
• 
  
• SACHET A specialised portal built specifically to trace illicit money-pooling schemes and submit reports regarding unregistered or fraudulent financial entities.

Sekhar Pariti

+91 9440641014

 

DBC 2515 - Redlining

 

The Banking Tutor 

                       Daily Banking Concept 

No. 2515                                            03-08-2026 

Redlining 

Redlining is a discriminatory practice where banks, insurance companies, or governments deny loans and essential services to people based on the racial makeup of their neighborhoods. In alternative contexts, it can also mean editing a legal contract or marking design specifications.