Members of KV Kamath committee announced by RBI
RBI announced the names of the members of the committee which shall be under KV Kamath, the former head of the New Development Bank set up by the BRICS to submit recommendations on the financial parameters to the central bank. This announcement happened a day after RBI had announced a special window for the resolution of stressed assets. The recommendations on the required financial parameters should be along with sector specific benchmark ranges with a need to be factored into the resolution plans.
Furthermore, RBI stated in one of its statement that committee (also called ‘expert committee’) shall also undertake the process validation for the resolution plans without going into commercial aspects, in respect of all accounts with aggregate exposure of Rs.1,500 crore and above at the time of invocation for implementation under this framework.
The committee shall function under the umbrella of the Reserve Bank.
Some of the members of the committee will be – Diwakar Gupta, who shall be joining with effect from September 1, 2020, post the completion of his term as Vice President, ADB; T N Manoharan, who shall be joining with effect from August 14, 2020, post the completion of his term as Chairman of Canara Bank; Ashvin Parekh being Strategy Advisor and CEO of Indian Banks’ Association would join as the Member Secretary.
RBI also said that the Committee shall notify the same along with the modifications in 30 days if submitted recommendations on the financial parameters required any.