The Reserve Bank of India decides every small and big thing related to banks. The interest rates on FDs, savings and loans are fixed based on RBI. The central government has taken some big decisions for private sector banks.
In this, some things have come out about HDFC, ICICI, and Axis Bank. The central government has allowed three private sector banks to provide financial services on foreign purchases. However, till now this right was available only to public sector banks.
But after this decision, private banks have also become effective. The central government has allowed that capital of Rs 2000 can be given to these banks for 1 year.
This is the first time that the central government has allowed all three banks to simultaneously provide financial services on foreign purchases. According to the Defense Ministry, the banks will be monitored regularly so that further action can be completed as per the need.
Private banks got big rights
This is for the first time that the government has allowed three private sector banks to provide financial services for overseas purchases. The government is of the view that these banks may be allowed to issue letters of credit worth Rs 2000 crore for 1 year on the capital and revenue side.
