Rethinking Regulations in an Interconnected Financial System (Inaugural Address delivered by Shri M Rajeshwar Rao, Deputy Governor, Reserve Bank of India – August 18, 2025 - at the DoPT MDP on Financial Market Regulations at the Indian Institute of Management Kozhikode (IIMK))

Rethinking Regulations in an Interconnected Financial System (Inaugural Address delivered by Shri M Rajeshwar Rao, Deputy Governor, Reserve Bank of India – August 18, 2025 - at the DoPT MDP on Financial Market Regulations at the Indian Institute of Management Kozhikode (IIMK)) https://www.taxtmi.com/news?id=53283 The address advocates reconciling stability, innovation, and consumer protection across interconnected financial markets by adopting proportionate, hybrid regulatory frameworks. It outlines three supervisory models-sectoral, integrated, and partially integrated-highlights the central bank's coordinating role, and contrasts principle-, rule- and outcome-based approaches alongside activity- and entity-based regulation. Contemporary challenges identified include fintech business models, AI, climate risk, data and capacity constraints, and regulatory overlaps. Recommended reforms include principle and outcome-based rules, Regulatory Impact Assessments, periodic reviews, inter-regulatory cooperation, regulatory consolidation, and consumer-centric measures such as behavioural nudges. en-us Fri, 22 Aug 2025 14:44:58 +0530 Fri, 22 Aug 2025 14:53:00 +0530 TaxTMI RSS Generator Rethinking Regulations in an Interconnected Financial System (Inaugural Address delivered by Shri M Rajeshwar Rao, Deputy Governor, Reserve Bank of India – August 18, 2025 - at the DoPT MDP on Financial Market Regulations at the Indian Institute of Management Kozhikode (IIMK)) https://www.taxtmi.com/news?id=53283 The address advocates reconciling stability, innovation, and consumer protection across interconnected financial markets by adopting proportionate, hybrid regulatory frameworks. It outlines three supervisory models-sectoral, integrated, and partially integrated-highlights the central bank's coordinating role, and contrasts principle-, rule- and outcome-based approaches alongside activity- and entity-based regulation. Contemporary challenges identified include fintech business models, AI, climate risk, data and capacity constraints, and regulatory overlaps. Recommended reforms include principle and outcome-based rules, Regulatory Impact Assessments, periodic reviews, inter-regulatory cooperation, regulatory consolidation, and consumer-centric measures such as behavioural nudges. News - Fri, 22 Aug 2025 14:44:58 +0530 https://www.taxtmi.com/news?id=53283