Finance Minister Nirmala Sitharaman today said, Banking Regulation (Amendment) Bill, 2020 is to save depositors money. She said that societies which function as banks should come under same rules as commercial banks and be subjected to better governance and regulation by the RBI. Mrs Sitharaman said that the Bill further provides for reconstruction to save depositors money.
Tabling the Banking Regulation (Amendment) Bill in the Lok Sabha, Mrs Sitharaman said, the Bill seeks to amend the Banking Regulation Act, 1949. Finance minister said that in the past two years, depositors of co-operative and small banks have been put to hardships. She said the government is bringing this amendment to make sure depositors’ interest is taken care of. Discussion on the bill is continuing.