CURRENT AFFAIRS

Detailed explanation-1: -The RBI imposed several restrictions on Mumbai-based Raigad Sahakari Bank, including a withdrawal cap of Rs 15,000 per customer, due to deterioration in the financial condition of the lender.

Detailed explanation-2: -As part of the restrictions, the two cooperative banks cannot grant loans, make any investment, incur any liability – including borrowal of funds and acceptance of fresh deposits, disburse or dispose of properties or assets.

Detailed explanation-3: -The Reserve Bank has imposed several restrictions, including on the withdrawal of funds, on three cooperative banks in view of their deteriorating financial condition.

Detailed explanation-4: -Currently, the Reserve Bank acts as banker to all the State Governments in India (including Union Territories of Puducherry and Jammu and Kashmir), except Sikkim. For Sikkim, it has limited agreement for management of its public debt.

Detailed explanation-5: -The banks whose permits have been cancelled by the RBI include Independence Cooperative Bank Limited, Mantha Urban Cooperative Bank Ltd, People’s Cooperative Bank Limited, Mudhol Cooperative Bank Limited, Millath Cooperative Bank Limited and others.