Entry of New Banks in the Private Sector

Source: Reserve Bank of India 

Source: 30 September 2010  

This paper seeks comments on the following issues; (i) Minimum capital requirements for new banks and promoters contribution, (ii) Minimum and maximum caps on promoter shareholding and other shareholders, (iii) Foreign shareholding in the new banks, (iv) Whether industrial and business houses could be allowed to promote banks (v) Should Non-Banking Financial Companies be allowed conversion into banks or to promote a bank and, (vi) Business model for the new banks.