RBI Revamps Advisory Panel for Banking Licenses

The Reserve Bank of India (RBI) has reconstituted the Standing External Advisory Committee (SEAC) to assess the eligibility of applications for universal and small finance banks. Chaired by former RBI deputy governor MK Jain, the five-member panel includes experienced figures in banking and finance.

The Reserve Bank of India (RBI) announced the revamping of the Standing External Advisory Committee (SEAC) on Monday. This committee is pivotal in evaluating applications for universal and small finance banks.

The newly reconstituted panel will be led by MK Jain, the former deputy governor of RBI, and features a five-member team with significant expertise in the banking and financial sectors. Members include Revathy Iyer, Parvathy V Sundaram, Hemant G Contractor, and N S Kannan, bringing an array of experience to the table.

The SEAC initially screens applications to ensure they meet the eligibility requirements before performing in-depth evaluations. With a tenure of three years, the committee will rely on secretarial support from the RBI's Department of Regulation. This move follows the guidelines set for 'on tap' licensing of universal banks in the private sector and small finance banks, as laid out previously by the RBI.

(With inputs from agencies.)