RESEVE BANK OF INDIA

Organisation and Functions Establishment Preamble Central Board Board for Financial Supervision Board for Payment and Settlement Systems Local Boards Profile of Central Board Directors Legal Framework Main Functions Departments Offices Training Establishments Subsidiaries Establishment The Reserve Bank of India was established on April 1, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934. The Central Office of the Reserve Bank was initially established in Calcutta but was permanently moved to Mumbai in 1937. The Central Office is where the Governor sits and where policies are formulated. Though originally privately owned, since nationalisation in 1949, the Reserve Bank is fully owned by the Government of India. Preamble The Preamble of the Reserve Bank of India describes the basic functions of the Reserve Bank as: "...to regulate the issue of Bank Notes and keeping of reserves with a view to securing monetary stability in India and generally to operate the currency and credit system of the country to its advantage." Top Central Board The Reserve Bank''s affairs are governed by a central board of directors. The board is appointed by the Government of India in keeping with the Reserve Bank of India Act. Appointed/nominated for a period of four years Constitution: Official Directors Full-time : Governor and not more than four Deputy Governors Non-Official Directors Nominated by Government: ten Directors from various fields and two government Officials Others: four Directors - one each from four local boards Functions : General superintendence and direction of the Bank''s affairs Names and addresses of the Directors of the Central Board of the Reserve Bank of India 1. Dr. Raghuram Rajan Governor @10. Prof. Dipankar Gupta 2. Shri H.R. Khan Deputy Governor @11. Shri G.M. Rao 3. Dr. Urjit R. Patel Deputy Governor @12. Ms. Ela Bhatt  4. Shri R. Gandhi Deputy Governor @13. Dr. Indira Rajaraman 5. Shri S S Mundra Deputy Governor @14. Shri Y.C. Deveshwar *6. Dr. Anil Kakodkar @15. Prof Damodar Acharya *7. Shri Kiran Karnik #16. Shri Rajiv Mehrishi *8. Dr Nachiket M. Mor #17. Dr. Hasmukh Adhia @9. Shri Y.H. Malegam     Address: C/o CGM and Secretary Secretary’s Department Reserve Bank of India 16 th floor, Central Office Building Shahid Bhagat Singh Marg Mumbai – 400 001 * Directors nominated under Sect 8 (1) (b) of the RBI Act, 1934. @ Directors nominated under Sect 8 (1) (c) of the RBI Act, 1934. # Directors nominated under Sect 8 (1) (d) of the RBI Act, 1934 (as amended). Dated : March 16, 2014 Top Local Boards One each for the four regions of the country in Mumbai, Calcutta, Chennai and New Delhi Membership: consist of five members each appointed by the Central Government for a term of four years Functions : To advise the Central Board on local matters and to represent territorial and economic interests of local cooperative and indigenous banks; to perform such other functions as delegated by Central Board from time to time. Names and Addresses of the Members of The Local Boards of The Reserve Bank of India Western Area EASTERN AREA 1. Shri Kiran S. Karnik Address: C/o Secretary to the Western Area Local Board The Regional Director Reserve Bank of India Main Building Shahid Bhagat Singh Marg Mumbai – 400 001 1. Dr Nachiket M. Mor Address: C/o Secretary to the Eastern Area Local Board The Regional Director Reserve Bank of India 15, Netaji  Subhas  Road Kolkata – 700 001 2. Ms. Anila Kumari 3. Shri Sharif Uz-zaman Laskar Mumbai : Dated Feb 13, 2014 Northern Area SOUTHERN AREA 1. Shri Anil Kakodkar Address: C/o  Secretary to the Northern Area Local Board The Regional Director Reserve Bank of India 6, Sansad Marg New Delhi – 110 001 1. Shri K. Selvaraj Address: C/o Secretary to the Southern Area Local Board The Regional Director Reserve Bank of India Fort Glacis 16, Rajaji Salai Chennai – 600 001 2. Shri A. Naveen Bhandary 2. Shri Kiran Pandurang       Mumbai : Dated Nov 28, 2014 Top Financial Supervision The Reserve Bank of India performs this function under the guidance of the Board for Financial Supervision (BFS). The Board was constituted in November 1994 as a committee of the Central Board of Directors of the Reserve Bank of India. Objective Primary objective of BFS is to undertake consolidated supervision of the financial sector comprising commercial banks, financial institutions and non-banking finance companies. Constitution The Board is constituted by co-opting four Directors from the Central Board as members for a term of two years and is chaired by the Governor. The Deputy Governors of the Reserve Bank are ex-officio members. One Deputy Governor, usually, the Deputy Governor in charge of banking regulation and supervision, is nominated as the Vice-Chairman of the Board. BFS meetings The Board is required to meet normally once every month. It considers inspection reports and other supervisory issues placed before it by the supervisory departments. BFS through the Audit Sub-Committee also aims at upgrading the quality of the statutory audit and internal audit functions in banks and financial institutions. The audit sub-committee includes Deputy Governor as the chairman and two Directors of the Central Board as members. The BFS oversees the functioning of Department of Banking Supervision (DBS), Department of Non-Banking Supervision (DNBS) and Financial Institutions Division (FID) and gives directions on the regulatory and supervisory issues. Functions Some of the initiatives taken by BFS include: restructuring of the system of bank inspections introduction of off-site surveillance, strengthening of the role of statutory auditors and strengthening of the internal defences of supervised institutions. The Audit Sub-committee of BFS has reviewed the current system of concurrent audit, norms of empanelment and appointment of statutory auditors, the quality and coverage of statutory audit reports, and the important issue of greater transparency and disclosure in the published accounts of supervised institutions. Current Focus supervision of financial institutions consolidated accounting legal issues in bank frauds divergence in assessments of non-performing assets and supervisory rating model for banks. Legal Framework I. Acts administered by Reserve Bank of India Reserve Bank of India Act, 1934 Public Debt Act, 1944/Government Securities Act, 2006 Government Securities Regulations, 2007 Banking Regulation Act, 1949 Foreign Exchange Management Act, 1999 Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (Chapter II) Credit Information Companies(Regulation) Act, 2005 Payment and Settlement Systems Act, 2007 Payment and Settlement Systems Regulations, 2008 and Amended up to 2011 and BPSS Regulations, 2008 The Payment and Settlement Systems (Amendment) Act, 2015 - No. 18 of 2015 Factoring Regulation Act, 2011 II. Other relevant Acts Negotiable Instruments Act, 1881 Bankers' Books Evidence Act, 1891 State Bank of India Act, 1955 Companies Act, 1956/ Companies Act, 2013 Securities Contract (Regulation) Act, 1956 State Bank of India Subsidiary Banks) Act, 1959 Deposit Insurance and Credit Guarantee Corporation Act, 1961 Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 Regional Rural Banks Act, 1976 Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 National Bank for Agriculture and Rural Development Act, 1981 National Housing Bank Act, 1987 Recovery of Debts Due to Banks and Financial Institutions Act, 1993 Competition Act, 2002 Indian Coinage Act, 2011 : Governs currency and coins Banking Secrecy Act The Industrial Development Bank (Transfer of Undertaking and Repeal) Act, 2003 The Industrial Finance Corporation (Transfer of Undertaking and Repeal) Act, 1993 Main Functions Monetary Authority: Formulates, implements and monitors the monetary policy. Objective: maintaining price stability and ensuring adequate flow of credit to productive sectors. Regulator and supervisor of the financial system: Prescribes broad parameters of banking operations within which the country's banking and financial system functions. Objective: maintain public confidence in the system, protect depositors' interest and provide cost-effective banking services to the public. Manager of Foreign Exchange Manages the Foreign Exchange Management Act, 1999. Objective: to facilitate external trade and payment and promote orderly development and maintenance of foreign exchange market in India. Issuer of currency: Issues and exchanges or destroys currency and coins not fit for circulation. Objective: to give the public adequate quantity of supplies of currency notes and coins and in good quality. Developmental role Performs a wide range of promotional functions to support national objectives. Related Functions Banker to the Government: performs merchant banking function for the central and the state governments; also acts as their banker. Banker to banks: maintains banking accounts of all scheduled banks. Offices Has 19 regional offices, most of them in state capitals and 9 Sub-offices. Training Establishments Has five training establishments Two, namely, College of Agricultural Banking and Reserve Bank of India Staff College are part of the Reserve Bank Others are autonomous, such as, National Institute for Bank Management, Indira Gandhi Institute for Development Research (IGIDR), Institute for Development and Research in Banking Technology (IDRBT) For details on training establishments, please check their websites links which are available in Other Links. Subsidiaries Fully owned: Deposit Insurance and Credit Guarantee Corporation of India(DICGC), Bharatiya Reserve Bank Note Mudran Private Limited(BRBNMPL)