1,540 Cooperative Banks to Be Brought Under RBI Supervision: Govt

The deadline for the OBC Commission to submit its report has now been extended by six months, the Cabinet announced.

(Photo Courtesy: Twitter/@DG_PIB)

Urban cooperative and multi-state cooperative banks will be brought under the supervision of the Reserve Bank of India (RBI) and an ordinance will be issued in this regard, Union Minister Prakash Javadekar announced in a Cabinet briefing on Wednesday, 24 June, reported PTI.

“Government banks, including 1,482 urban cooperative banks and 58 multi-state cooperative banks, are now being brought under the supervisory powers of RBI. RBI’s powers, as they apply to scheduled banks, will apply for cooperative banks as well,” Javadekar was quoted as saying.

According to him, this decision to bring 1,540 cooperative banks under the central bank's supervision will give an assurance to more than 8.6 crore depositors in these banks that their money amounting to Rs 4.84 lakh crore will stay safe, reported ANI.

Among other decisions announced at the briefing, the deadline for the OBC Commission to submit its report has now been extended by six months.

“The Union Cabinet has approved the extension of tenure of the commission constituted under Article 340 of the Constitution to examine the issue of sub-categorisation within Other Backward Classes, by six months – upto 31 January 2021.”

Prakash Javadekar, as quoted by ANI

The Cabinet also approved a two percent interest subvention to Shishu loan category borrowers under the PM Mudra Yojana, and approved the establishment of a Rs 15,000 crore infrastructure fund to promote dairy, poultry and meat processing.

Participation of Private Sector in Space Activities

The Cabinet on Wednesday also approved the participation of the private sector in the entire range of space activities, including planetary exploration missions, as it announced the formation of an institution – the Indian National Space, Promotion and Authorisation Centre – to "guide the private industries in space activities through encouraging policies in a friendly regulatory environment."

“Indian National Space, Promotion & Authorisation Centre is not a new institution but it's role has been extended into ISRO. This is a new turn in the arena of space. They will supplement each other's work and will not work at cross purposes... ISRO is the basic organisation – what activities or projects or missions will be carried out, it will play a major role in deciding that. But this new facility has been introduced to fill the gap and fulfill demand mode," Minister of State for Atomic Energy and Space, Jitendra Singh, was quoted by ANI as saying at the briefing.

(With inputs from PTI and ANI.)