Financial inclusion mission expands universal banking access through business correspondents, with banks urged to remunerate agents reasonably.
A Financial Inclusion Mission will be launched to provide organized banking services to all households, focusing on women, small and marginal farmers, and labourers. The programme utilises the Business Correspondent model, authorised for banks to engage intermediaries for service delivery, and advises banks to pay reasonable commissions or fees to Business Correspondents with periodic review of rates.

Foreclosure charges prohibition on floating-rate individual term loans now required, aligning NBFC practice with customer protection.
The Reserve Bank of India directed on 14 July 2014 that Non-Banking Financial Companies shall not levy foreclosure charges or prepayment penalties on floating-rate term loans to individual borrowers, effective immediately, as a customer-protection and harmonisation measure; the RBI further stated it has not received data showing NBFC non-compliance with these directions.

Minor account operation: minors above a minimum age may open and operate savings accounts independently; banks may set limits.
RBI guidelines allow minors above a specified minimum age to open and independently operate savings accounts, while banks may set age and monetary limits and determine required documents; on attaining majority the account-holder must confirm the balance and, if a guardian operated the account, provide fresh operating instructions and a specimen signature for the bank's records.

Base rate transparency: banks must disclose rate information and use objective, mutually acceptable floating rate benchmarks.
Banks must price loans at or above the Base Rate and display that information at branches and online. Loans may be on fixed or floating terms if they conform to Asset Liability Management guidelines. Floating rate computation must be objective, transparent and mutually acceptable, and the Base Rate may serve as an internal benchmark alongside external market benchmarks.

Rehabilitation of sick MSEs: banks must adopt board approved relief policies and non discretionary settlement mechanisms for recovery.
RBI guidelines require a handholding stage, bank determination of reliefs for viable or potentially viable units under Board approved policies, and a non-discretionary One Time Settlement (OTS) Scheme for recovery of non-performing MSE loans; SIDBI's scheme offers rescheduling, interest reliefs, waiver options and need based additional finance for MSME revival.

Reference rate publication: RBI updates US dollar and euro reference rates and derives cross-currency rates for other currencies.
Reserve Bank of India published official reference rates for the US dollar and the euro, and stated that exchange rates for other currencies (including pound sterling and yen) are derived from these anchors using middle cross currency quotes, with the SDR Rupee rate to be based on the published reference rate.

Phishing warnings: Do not disclose bank or card details by email or phone; report suspicious calls and messages.
Warnings against phishing and impersonation schemes that solicit bank account, debit/credit card, CVV and PIN information through fraudulent emails, calls or cloned websites. Typical methods include emails claiming inbound foreign funds or lottery prizes requesting personal banking details, callers posing as officials asking for card security information, and look alike websites designed to capture confidential data. The notice states that genuine regulators and reputable banks do not request such information by phone, SMS or email, and advises reporting suspicious communications to local police or cyber crime authorities.

Appointment of Deputy Governor assigns oversight of banking supervision, currency management, financial stability, rural credit, human resources and security.
Shri S. S. Mundra was appointed Deputy Governor of the Reserve Bank of India for a three-year term from taking office or until further orders, with responsibility for banking supervision, currency management, financial stability, rural credit, and the Reserve Bank's human resources and physical security; the release cites his prior leadership at Bank of Baroda, executive roles at Union Bank of India, broad board experience in financial market infrastructure and payments, committee work on financial inclusion, and relevant academic qualifications.

Monetary policy review scheduled: central bank to announce third bi monthly policy decision at a public press release.
The central bank scheduled the Third Bi monthly Monetary Policy Review for the 2014-15 cycle to be announced publicly on August 5, 2014 at 11:00 a.m., via a press release and news notice fixing the timing and format of the policy communication.

Reference rate publication: RBI announces benchmark exchange rates and derived cross currency rates, guiding SDR conversion and market quoting.
RBI publishes reference rates for the US dollar and the Euro for the stated date and preceding day, provides derived GBP and JPY exchange rates from those benchmarks, and confirms that the SDR Rupee rate will be based on the Reference Rate, serving as the Bank's official benchmark dissemination for market quoting and conversion.

Financial inclusion meeting to align public banks on technology, business correspondents and social protection schemes.
The Union Finance Minister will meet CEOs of Public Sector Banks and Financial Institutions to advance a comprehensive financial inclusion plan, focusing on coordinating the role of business correspondents, deploying technology to extend service delivery, and securing universal access to banking facilities; related items include Financial Literacy and Credit Counseling, a Credit Guarantee Fund, Micro Insurance, and unorganised sector pension schemes such as Swavlamban.

FDI cap relaxation permits increased foreign equity in defence and insurance under FIPB route with Indian management control.
The Government relaxed FDI rules by raising the composite foreign equity cap in defence manufacturing and insurance under the FIPB route while preserving Indian management and control; manufacturers on the automatic route may sell through retail and e commerce without additional approval. Smart-city FDI thresholds for built-up area and capitalisation were reduced and projects committing a portion of costs to low-cost housing are exempted from minimum size and capitalisation, subject to a three-year lock-in. Aggregated and sector-wise FDI inflow data for April 2011-May 2014 were also provided.

Reference rate issuance sets official daily benchmarks for major currencies, with cross rate derivations and SDR linkage.
The Reserve Bank published the Reference Rate for the US dollar and the Euro on July 30, 2014, compared to the previous day, and provided GBP and JPY exchange rates derived from the US dollar reference rate and middle cross currency quotes. The release states the SDR Rupee rate will be based on the published Reference Rate, establishing the official daily benchmark and the basis for derived cross rates.

Cancellation of NBFC registration prevents affected companies from transacting non banking financial business under regulatory powers.
Cancellation of registration certificates for six non-banking financial companies removes their authority to carry on the business of a non-banking financial institution; each listed company is prohibited from transacting NBFC activities under the statutory power to revoke registration, with the operative definition of the business of a non-banking financial institution determining the scope of the prohibition.

Reference exchange rates updated by central bank; dollar and euro benchmarks set and cross currency rates adjusted accordingly.
Announcement of the Reserve Bank of India's reference exchange rates for the US dollar and the euro on July 28, 2014, reporting the rupee benchmark values and their movement from the previous day; derived cross currency rates for pound sterling and Japanese yen are provided and the SDR rupee rate is stated to be based on the reference rate.

Monetary penalty imposed on banks after scrutiny and show cause process for violations of central bank instructions.
Reserve Bank of India imposed monetary penalties on twelve banks after scrutiny of M/s. Deccan Chronicle Holdings Ltd. accounts, issuance of show cause notices, consideration of written replies and personal submissions, and conclusion that violations of Reserve Bank instructions were substantiated. The penalties were imposed under the Reserve Bank's powers under Section 47A(1) read with Section 46(4)(i) of the Banking Regulation Act, 1949, and the action is not intended to pronounce on the validity of transactions between the banks and the borrower.

Withdrawal of pre-2005 currency notes extended; routine bank recall and systematic destruction continue under exchange arrangements.
Withdrawal of pre-2005 series banknotes required banks to remove those notes from circulation, with an announced deadline later extended; banks facilitated exchange and surrender while regional offices carried out systematic shredding of withdrawn Rs. 100, Rs. 500 and Rs. 1000 notes.

Banking Regulation Act supervision strengthens oversight of rural bank operations, paired with audits and grievance redressal mechanisms.
Supervision under the Banking Regulation Act, 1949 and periodic statutory audits, together with internal and external inspections, constitute the core framework to detect and remedy irregularities in rural banking. Banks must maintain internal control systems and governance bodies such as Audit Committees; observed deviations are subject to remedial action. Complementary mechanisms include Vigilance Cells, Risk Management and Investment Committees, and the Banking Ombudsman Scheme for grievance redressal, with government-forwarded complaints routed to the concerned bank or authority for action.

Reference rate publication sets rupee exchange benchmarks including derived cross currency rates and basis for SDR rupee valuation.
Publication of Reference Rates sets the official rupee exchange benchmarks for the day by stating the Reference Rates for the US dollar and the Euro, providing derived cross currency rates for Pound Sterling and Japanese Yen from middle cross currency quotations, and declaring that the SDR Rupee rate will be based on the published Reference Rate.

Exchange reference rates published for major currencies establish official rupee conversion benchmarks for market and SDR valuation.
The Reserve Bank published official reference exchange rates for the US dollar and the euro for July 24, 2014, noting prior day levels, and provided derived rupee rates for the British pound and Japanese yen based on cross currency quotes; the press release states the SDR Rupee rate will be based on the reference rate.