Context: The Department of Financial Services under the Ministry of Finance has notified the merger of 26 Regional Rural Banks (RRBs) to streamline rural banking under the ‘One State, One RRB‘ strategy. This marks the fourth phase of RRB consolidation, aimed at improving efficiency, cost-effectiveness, and scale in rural banking operations. Key Highlights States Undergoing RRB Mergers Historical Context of RRB Consolidation Phase Timeline RRBs Reduced From To Phase 1 FY06 – FY10 196 82 Phase 2 FY13 – FY15 82 56 Phase 3 FY19 – FY21 56 43 Phase 4 Effective May 1, 2026 43 28 Objectives of the Merger Mint

Context: Bond-Wise Demand and Cutoff Insights RBI’s Liquidity Management Strategy Forecast & Expected Measures TET

The Nanny Regulator’s New Avatar PAN Card? Not Enough Anymore Trading Meets Health Check-Ups Insurance and Family NOCs: The Final Touches Tongue-in-Cheek Take on Overregulation TET

Context: The Indian government has urged banks to promote rupee-based international trade settlements through the Special Rupee Vostro Account (SRVA) system. The move aims to enhance adoption of INR in global trade, especially in light of recent US tariff increases. Background: US Tariffs Trigger Strategic Shift Infrastructure Enhancement: Infinet for Global Use Bilateral Agreements and Expansion Strategic Goals Next Steps TET

Why in News? Root Causes Identified Transaction Data and Impact Infrastructure and Ecosystem Challenges UPI’s Exponential Growth (FY25) BS

Context: Key Features of Form ITRB Understanding Block Assessment Tax Credit Provisions Significance BS

Context: Shriram Finance, one of India’s largest non-banking financial companies (NBFCs), is seeking a standalone Primary Dealer (PD) licence from the Reserve Bank of India (RBI). If approved, it would mark a rare entry of an asset finance NBFC into the PD space, which has traditionally been dominated by banks and specialized institutions.Primary Dealers are authorized to underwrite and support auctions of government securities (G-Secs), T-Bills, and Cash Management Bills. Strategic Expansion by Shriram Finance RBI’s PD Licensing Framework Significance If successful, Shriram Finance would become one of the first asset finance NBFCs in recent years to secure a PD licence, marking a significant shift in its business strategy and a broader evolution in India’s fixed-income market structure. BS

Context: The Ministry of Corporate Affairs (MCA) is considering the formation of an oversight committee to ensure stricter enforcement of the Code of Conduct for the Committee of Creditors (CoC) under the Insolvency and Bankruptcy Code (IBC).This follows a Supreme Court suggestion made during the Jet Airways liquidation case, where the court highlighted serious lapses in the insolvency resolution process. Supreme Court Flags Gaps in IBC Framework Current IBBI Guidelines and Their Limitations In August 2024, the Insolvency and Bankruptcy Board of India (IBBI) introduced guidelines directing the CoC to: However, the Supreme Court noted that these self-regulatory guidelines lacked enforceability and called for an independent enforcement mechanism potentially in the form of an oversight committee. Background and Regulatory Push Past Concerns About CoC Conduct The Sterling Biotech case highlighted CoC’s questionable actions: Banks Expected to Write Off ₹1.5 Trillion in FY26: ICRA Key Data Points Metric FY26 Estimate Loan Write-Offs ₹1.51 trillion Credit Growth 10.8–10.9% (~₹20.2 trillion) Credit Expansion ₹19–20.5 trillion Repo Rate Cuts Expected 75 basis points (from Feb 2025) Drop in Bank NIMs 15–17 basis points BS