GENERAL BANKING Archive

Ways and Means Advance (WMA)–What is it?

Ways and Means Advance, WMA, overdrawing, Special Drawing facility, State Development Loan, SDL,
Ways and Means Advance (WMA) is a mechanism through which RBI extends funding support to states and central government to enable them to tide over temporary cash flow mismatches. This can be considered similar to a bank
8 May 20 Author CategoryEverything About, Indian Economy No Comment Read More

TLTRO 2.0-Targeted Long Term Repo Operation

TLTRO 2.0, Targeted Long-Term Repo Operations, NBFC, MFI, CP, NCD, bond, LTRO
TLTRO 2.0 (Targeted Long-Term Repo Operations) was announced by RBI on April 17, 2020. RBI intended that the funds raised by the banks through TLTRO 2.0 be utilised for investment grade bonds, commercial paper (CPs) and non-convertible
7 May 20 Author CategoryEverything About, Indian Economy No Comment Read More

Targeted Long Term Repo Operations-TLTRO

TLTRO, Targeted Long-Term Repo Operations, specific purpose, LAF, MSF, liquidity, Covid -19, TLTRO 2.0, redemption
Targeted Long-Term Repo Operations (TLTRO) is a special kind of LTRO or Long Term Repo Operation. LTRO is a special window announced by RBI to inject liquidity into the banking system for meeting their requirements in short
6 May 20 Author CategoryEverything About, Indian Economy No Comment Read More

Marginal Standing Facility (MSF)

Marginal Standing Facility, MSF, MSF Rate, LAF, RBI, NDTL, SLR, liquidity, penal rate, MLF, DWS
Marginal Standing Facility or MSF is a window that permits overnight borrowing by banks from RBI, at their discretion. MSF scheme is introduced to minimise volatility in the overnight lending rates in the inter-bank market (call market).
5 May 20 Author CategoryEverything About, Indian Economy No Comment Read More

Liquidity Adjustment Facility (LAF) & Repo Transactions

LAF, Liquidity Adjustment Facility, repurchase agreement, Repo, reverse Repo, government security, overnight, liquidity, SDL, State Development Loans, Gilt Edge, Ready Forward contract, treasury bill
Liquidity Adjustment Facility or LAF is a facility extended by the Reserve Bank of India to the scheduled commercial banks (excluding RRBs) and Primary Dealers (PDs) to meet their mismatches in daily liquidity. Under LAF, SCBs and
4 May 20 Author CategoryEverything About, Indian Economy No Comment Read More

Open Market Operation (OMO) by Regulator

Open Market Operation, OMO, quantitative credit control, qualitative, liquidity, government security, monetary policy, regulator, RBI, inflation, deflation, contractionary monetary, expansionary monetary policy, quantitative easing, QE, Quantitative tightening, soft policy, hard policy.
Open Market Operation (OMO) means the purchase or sale of government securities by the central bank of a country from / to the banks on its own account. The purpose of open market operation is ensuring sufficient
3 May 20 Author CategoryEverything About, Indian Economy No Comment Read More

e-KYC – Electronic Know Your Customer process

e-KYC, Know Your Customer, Aadhaar, Officially Valid Documents, OVD, periodic due diligence
e-KYC is an electronic way of carrying out the Know Your Customer (KYC) process. The e-KYC process is completed through an authentic real time method using Aadhaar Authentication by the customer. It is a simple paperless way
2 May 20 Author CategoryBanking Awareness, Digital Banking Products, Everything About No Comment Read More

Cheque Truncation Systems (CTS)

Cheque Truncation Systems, CTS, Grid,
Cheque Truncation System (CTS) is the process whereby the image of cheque or instrument is used for clearing the fund instead of handing over the physical instrument. Clearing system in India had been functioning based on the
1 May 20 Author CategoryBanking Awareness, Everything About No Comment Read More

National Financial Switch (NFS)

NFS, ATM network, National Financial Switch, IDRBT, NPCI, digital channel, payment system, digital banking, On-Us, Off-Us, technical decline, business decline,
National Financial Switch (NFS) is the largest network of shared automated teller machines (ATMs) in India. Thus, NFS functions as the backbone of Indian ATM network. NFS was designed and implemented by the Institute for Development and
30 Apr 20 Author CategoryBanking Awareness, Digital Banking Products, Everything About No Comment Read More

APBS & AEPS (Aadhaar Payment Bridge System & Aadhaar Enabled Payment System)

APBS, AEPS, Aadhaar Payment Bridge System, Aadhaar Enabled Payment System, NPCI, payment system, digital channel, Aadhaar number, UIDAI, payment services, NACH, financial inclusion, micro ATM, business correspondent,
Aadhaar Payment Bridge System (APBS) and Aadhaar Enabled Payment System (AEPS), leverage the power of the unique Aadhaar number issued by UIDAI (Unique Identification Authority of India). AEPS and ABPS were introduced by NPCI for payment services.
29 Apr 20 Author CategoryBanking Awareness, Digital Banking Products, Everything About No Comment Read More