Budget 2013 highlights on financial sector!

By | February 28, 2013

Financial sector to stand on strong legal and structural platform.

–      Standing council of experts to analyse financial sector and check transactional costs.

–      12500 plus crore for capital infusion of public banks.

–      Financial Inclusion on course – all Regional Banks already on Core Banking System.

–      All public Sector banks to have ATMs by 2013 end.

–      Exclusive banks run by Women and lending mostly to women to be set up. First Women’s bank as a public sector bank to be set up with 1000 Crore as initial investment.

–      Rural Housing Fund to refinance lending institutions. Rs 6000 Crore for the fund in 13-14.

–      A fund for Urban housing to be setup – NHB has been allotted 2000 crore for this task.

–      All towns in India with >10000 population to have at least one LIC and General Insurance office.

–      10 lakh motor policy claims to be settled immediately.

–      Rashtriya Swastya Bhima to cover – Rickshaw, Rag pickers, Mine workers

SEBI

Capital Market –

–      FII, Sub accounts – Designated Depository Participants will be allowed to register Foreign Portfolio investors.

–      FII and FDI confusion to be simplified. 10% of stake will be qualified as FII, >10% stake by investor will be called as FDI.

–      FIIs to be allowed to participate in Currency exchange. And use investments in Corporate bonds as collateral.

–      SEBI to support Angel Investor pools.

–      Startups to be allowed to list on SME exchange without IPO.

–      Debt market – Banks and Primary dealers will be allowed to trade in debt segment.

–      MF distributors will be allowed to become members of Stock Exchange.

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