RBI Imposes Penalty On This Govt Bank For Violating Rules

Reserve Bank of India has imposed a heavy fine on a public sector bank, CBI ie Central Bank of India. RBI has imposed a fine of Rs 36 lakh on Central Bank of India for violation of rules related to protection of interests of customers. It has been said that this action has been taken on the bank due to lack of regulatory compliance.

RBI investigated this and a 'show cause' notice was issued to the bank, after which this has been taken. RBI said that the CBI has not followed the rules to protect the interests of the customers. Based on this, RBI has taken this action.

On the other hand, the RBI has also released the details of the discussions held in the six-member meeting of the MPC held till April 6-8. According to the information given in it, the MPC decided in this meeting that the repo rate will be maintained at the old level. With this, for the 11th time in a row, MPC has not made any change in the repo rate related to the cost of borrowing. Despite rising inflation in the country, this decision has been taken to accelerate the pace of economic growth.

Apart from this, RBI in this meeting raised the inflation forecast for the current financial year to 5.7 per cent. In February it was expected to be 4.5 per cent. RBI also reduced the growth rate forecast for the current financial year from 7.8 per cent to 7.2 per cent. That is, overall in this meeting emphasis was given to accelerate economic growth.

(Inputs from Agencies)