Indian Renewable Energy Development Agency Limited (IREDA) IREDA is a Public Limited Government Company established as a Non-Banking Financial Institution in 1987. IREDA’s corporate and registered office is housed in New Delhi. The Agency, a Mini Ratna (Category– I) Government…
Electoral Bond An electoral bond is like a promissory note that can be bought by any Indian citizen or company incorporated in India from select branches of State Bank of India. The citizen or corporate can then donate the same to…
RBI proposes 4-tier structure for tighter regulation of NBFCs The Reserve Bank of India (RBI) has proposed a tighter regulatory framework for non-banking financial companies (NBFCs) by creating a four-tier structure with a progressive increase in intensity of regulation. In its…
SBI does deals using SOFR as benchmark State Bank of India (SBI) has executed two inter-bank short term money market deals with pricing linked to SOFR (Secured Overnight Financing Rate). SOFR is a replacement for USD LIBOR that may be phased…
Zero Coupon Bond zero coupon bond is a debt security that does not pay interest but instead trades at a deep discount, rendering a profit at maturity, when the bond is redeemed for its full face value.1 Some bonds are issued…
Positive Pay System The concept of Positive Pay involves a process of reconfirming key details of large value cheques. Under this process, the issuer of the cheque submits electronically, through channels like SMS, mobile app, internet banking, ATM, etc., Certain…
Allowing Corporates to own Bank The Reserve Bank of India’s (RBI) internal working group on Friday recommended allowing large companies to set up banks and awarding banking licences to well-managed non-banking financial companies (NBFCs). The RBI panel has recommended that corporates…
Fintech in India Fintech refers to the novel processes and products that become available for financial services thanks to digital technological advancements. More precisely, the Financial Stability Board defines fintech as ―technologically enabled financial innovation that could result in new…
Exchange Traded Funds ETFs or exchange traded funds are similar to index mutual funds. However, they trade just like stocks. ETFs were started in 2001 in India. They comprise a portfolio of equity, bonds and trade close to its net…