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Unmet demands for bank loans exist, says RBI | Canindia News

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Unmet demands for bank loans exist, says RBI

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CanIndia New Wire Service 0 comments

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Kolkata, June 15 (IANS) The country has a lot of “unmet demands” for bank loans and a lot of gap is still to be filled in the banking space, Reserve Bank of India Deputy Governor Harun Rashid Khan has said.

“We have a lot of unmet demands (for bank loans)…still a lot of gaps to be filled,” Khan said in reply to a question on the central bank’s plan to issue more licences for setting up new banks.

Speaking to the media on the sidelines of a programme here on Tuesday, Khan said the RBI would finalise draft guidelines for issuing on-tap universal bank licences.

The RBI released in May the draft guidelines for ‘on tap’ licensing of universal banks in the private sector.

According to Khan, with more and more people in the country getting involved in economic activities and demand for credit rising, there is a greater need for different types of banks.

In August last year, the RBI granted ‘in-principle’ approval to 11 entities to set up payment banks and in the following month it also awarded 10 small finance bank licences.

Earlier, the RBI gave in-principle approvals to Bandhan Financial Services and IDFC Ltd to start new universal banks.

–IANS

bdc/ssp/pgh/vt

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