Financial Regulators-Secondary Financial Regulators-IRDAI, IBBI, NABARD, PFRDA, NHB Commerce YouTube Lecture Handouts Part 1

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Financial Regulators - Secondary Financial Regulators - IRDAI, IBBI, NABARD, PFRDA, NHB | Commerce
Financial Regulators Secondary Financial Regulators

Insurance & Regulatory Development Authority of India (IRDAI)

  • Insurance Regulatory and Development Authority of India (IRDAI) , is a statutory body formed under an Act of Parliament, i.e.. , Insurance Regulatory and Development Authority Act, 1999 (IRDAI Act 1999) for overall supervision and development of the Insurance sector in India.
  • IRDA is an autonomous regulatory body that protects the interests of the policyholder. They oversee the growth of the insurance sector in India and also maintain a speedy development.
  • Insurance repositories, like share depositories or mutual fund transfer agencies, will hold electronic records of insurance policies issued to individuals as electronic IDIOTIC or e-policies.

The functions of the IRDAI are defined in Section 14 of the IRDAI Act, 1999 include:

  • Issuing, renewing, modifying, withdrawing, suspending or cancelling registrations,
  • Levying fees and other charges
  • Protecting policyholder interests
  • Specifying the percentage of premium income to finance schemes for promoting and regulating professional organizations
  • Specifying the percentage of life- and general insurance business undertaken in the rural or social sector
  • Specifying the form and the manner in which books of accounts shall be maintained, and statement of accounts shall be rendered by insurers and other insurer intermediaries.
  • Promoting and regulating professional organizations connected with the insurance and re-insurance industry and efficiency in the conduct of insurance businesses
  • Adjudicating disputes between insurers and intermediaries or insurance intermediaries
Insolvency and Bankruptcy Board of India
Insolvency and Bankruptcy Board of India
Regulatory agency overview
Formed1 October 2016; 4 years ago,
JurisdictionGovernment of India
HeadquartersMayur Bhawan, Shankar Market, Connaught Circus, New Delhi
Regulatory agency executiveDr. M. S. Sahoo, Chairperson

Insolvency & Bankruptcy Board of India (IBBI)

  • The Insolvency and Bankruptcy Board of India (IBBI) is the regulator for overseeing insolvency proceedings and entities like
    • Insolvency Professional Agencies (IPA) ,
    • Insolvency Professionals (IP) and
    • Information Utilities (IU) in India.
  • It was established on 1 October 2016 and given statutory powers through the Insolvency and Bankruptcy Code, which was passed by Lok Sabha on 5 May 2016.
  • It covers Individuals, Companies, Limited Liability Partnerships and Partnership firms.
  • The new code will speed up the resolution process for stressed assets in the country.
  • It attempts to simplify the process of insolvency and bankruptcy proceedings.
  • It handles the cases using two tribunals like NCLT (National company law tribunal) and Debt recovery tribunal.
Agency Overview
Agency overview
Formed2 April 1990; 31 years ago,
JurisdictionMinistry of Finance, Government of India
Headquarters

offices

Lucknow, Uttar Pradesh, India

All over the country

Small Industries Development Bank of India

Small Industries Development Bank of India

  • Small Industries Development Bank of India (SIDBI) is the apex regulatory agency in India for Microfinance Institutions.
  • SIDBI supports the Government of India in its initiatives and work as a nodal agency for some of the schemes related to development of MSMEs, such as Make in India and Startup India.
  • Purpose is to provide refinance facilities and short-term lending to industries, and serves as the principal financial institution in the Micro, Small and Medium Enterprises (MSME) sector.
  • SIDBI also coordinates the functions of institutions engaged in similar activities.
  • SIDBI is active in the development of Micro Finance Institutions through SIDBI Foundation for Micro Credit, and assists in extending microfinance through the Micro Finance Institution (MFI) route.
  • Its promotion & development program focuses on rural enterprises promotion and entrepreneurship development.
  • In order to increase and support money supply to the MSE sector, it operates a refinance program known as Institutional Finance program.
  • Under this program, SIDBI extends Term Loan assistance to Banks, Small Finance Banks and Non-Banking Financial Companies.
  • Besides the refinance operations, SIDBI also lends directly to MSMEs.
Small Industries Development Bank of India
  • National Bank for Agriculture and Rural Development (NABARD) is an apex regulatory agency for Regional Rural Banks and Cooperative Banks under the jurisdiction of Ministry of Finance, Government of India.
  • The bank has been entrusted with “matters concerning policy, planning, and operations in the field of credit for agriculture and other economic activities in rural areas in India” .
  • NABARD is active in developing & implementing Financial Inclusion.
  • The most important institution in the country which looks after the development of the cottage industry, small scale industry and village industry, and other rural industries.
  • Reaches out to allied economies and supports and promotes integrated development.
  • Serves as an apex financing agency for the institutions providing investment and production credit for promoting the various developmental activities in rural areas.
  • Co-ordinates the rural financing activities of all institutions engaged in developmental work at the field level and maintains liaison with Government of India, state governments, RBI and other national level institutions concerned with policy formulation.
  • Undertakes monitoring and evaluation of projects refinanced by it.
  • Refinances the financial institutions which finances the rural sector.
  • Keeps a check on its client institutes.
  • Provides training facilities to the institutions working in the field of rural upliftment.
  • Regulates the institutions which provide financial help to the rural economy.
  • Regulates and supervise the cooperative banks and the RRB՚s, throughout entire India.
Pension Fund Regulatory and Development Authority (PFRDA)
Pension Fund Regulatory and Development Authority (PFRDA)
TypeRegulatory body
IndustryPension
Founded23 August 2003
HeadquartersNew Delhi, India
Key peopleSupratim Bandyopadhyay, IAS Chairman
OwnerMinistry of Finance, Government of India
Number of employees61

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