CURRENT AFFAIRS

Detailed explanation-1: -RBI Unveils 4-tiered Regulatory Framework for Urban Cooperative Banks. A four-tiered regulatory framework for categorization of the Urban Cooperative Banks (UCBs) was recently released by the Reserve Bank of India (RBI). It had also announced norms concerning the net worth and capital adequacy of these banks.

Detailed explanation-2: -The four-tiered regulatory framework, based on size of deposits of the UCBs, will come into force with immediate effect. RBI has now categorized Urban Co-Operative Banks in India into four tier depending upon the deposit with the bank: Minimum Net worth Requirement of the banks. For other UCB it shall be Rs 5 crore.

Detailed explanation-3: -Mumbai: The Reserve Bank of India (RBI) on Thursday announced a four-tiered regulatory framework for categorisation of Urban Co-operative Banks (UCBs), Besides, the central bank has come out with norms pertaining to the net worth and capital adequacy of these banks.

Detailed explanation-4: -Tier 3 - UCBs with deposits more than ₹1000 crore and up to ₹10, 000 crore; Tier 4 - UCBs with deposits more than ₹10, 000 crore.

Detailed explanation-5: -Urban cooperative banks with deposits of more than ₹100 crore and up to ₹1, 000 crore will be part of tier two. Those with deposits of over ₹1, 000 crore and up to ₹10, 000 crore will be classified as tier three, while tier four would comprise UCBs with deposits of over ₹10, 000 crore.