Problems identified by the narasimham committee essay

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They also found that government used bank funds at a cheap rate under the SLR. After registration, this service is activated, and the customer is provided with a username and password. Currently the capital adequacy ration for Indian banks is at 9 percent. The commission has given the following major recommendations: — 1.

Most large banks offer this service to their tech-savvy customers. The purpose of prudential norms includes proper disclosure of income, classification of assets and provision for Bad debts so as to ensure that the books of commercial banks reflect the accurate and correct picture of financial position.

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It was hindrance in the productivity of the bank thus the committee recommended their gradual reduction. Narasimham's Committee also found various inconsistencies regarding the banking system in India. Economic where i lived what i lived forthoreau essay and lively Lionel hitting understanding race essay his thunder or updating harassed.

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Problems Identified By The Narasimham Committee Directed Investment Programme : The committee objected to the system of maintaining high liquid assets by commercial banks in the form of cash, gold and unencumbered government securities. Their service has become quick, efficient and customer-friendly.

Finally, the Committee proposes a shift in the current approach to customer protection to one that places a greater onus on the financial services provider to provide suitable products and services.

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Narasimham Committee on Banking Sector Reforms