Press Information Bureau

Government of India

Ministry of Finance

22-November-2012 16:48 IST

The proposal of the Deposit Insurance and Credit Guarantee Corporation (DICGC) for risk-based deposit insurance premium structure has been examined by the Government. DICGC has been advised to fine-tune its proposal keeping in view the risk profile of various banks within the same bank-group. The Government has not received final proposal from DICGC. Further, DICGC has also not indicated to the Government the financial implications of the risk-based deposit insurance premium structure.

This was stated by the Minister of State for Finance, Shri Namo Narain Meena in written reply to a question in the Rajya Sabha today.

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DSM/RS/bs

Risk-based deposit insurance premiums under review; final proposal and financial implications not yet submitted to government. DICGC proposed a risk-based deposit insurance premium structure; the Government advised fine-tuning to reflect differing risk profiles within the same bank group. The Government has not received a final proposal from DICGC, nor has DICGC indicated the financial implications of the proposed structure.