RBI may give out bank licences more often

The Reserve Bank of India on Monday said it was considering making bank licensing process more frequent and allow free entry of banks ‘as and when needed’.

The Reserve Bank of India (RBI) on Monday said it was considering making bank licensing process more frequent and allow free entry of banks ‘as and when needed’.

“We propose to come up with a detailed road map of a necessary reform and regulations for free entry and making the licensing process more frequent,” said KC Chakrabarty, deputy governor, RBI.

“The RBI is considering giving some additional banking licenses to private sector players subject to their meeting our eligibility criteria.”

RBI is currently processing 26 applications for new licences.