CURRENT AFFAIRS

Detailed explanation-1: -a) Each of the Promoters should have a minimum 10 years of experience in banking and finance at a senior level. b) The Promoters should have a past record of sound credentials and integrity. c) The Promoters should be financially sound and should have a successful track record for at least 10 years.

Detailed explanation-2: -The Reserve Bank of India (RBI) issues licences to entities to carry on the business of banking and other businesses in which banking companies may engage, as defined and described in Sections 5 (b) and 6 (1) (a) to (o) of the Banking Regulation Act, 1949, respectively.

Detailed explanation-3: -The process of licensing culminated with the announcement by the RBI vide its Press Release dated April 2, 2014 that it would grant “in-principle” approval to two applicants who would set up new banks in the private sector within a period of 18 months.

Detailed explanation-4: -Branch licensing means the process of getting license/approval to open a new place of business in or abroad and shifts or change the place of business to another place except within the same city, towns or village the location of the existing place of business.