RBI to put in place a “PRISM” to strengthen compliance by lenders
- Posted By
10Pointer
- Categories
Economy
- Published
20th Aug, 2021
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Context
The Reserve Bank of India (RBI) is planning to put in place a Platform for Regulated Entities for Integrated Supervision and Monitoring (PRISM).
What is PRISM?
- PRISM is a web-based end-to-end workflow automation system, to strengthen compliance by supervised entities (SEs).
- PRISM will have various functionalities (inspection; compliance; incident functionality for cyber security; complaints; and returns functionalities), with built-in remediation workflows, time tracking, notifications and alerts, management information system (MIS) reports and dashboards.
Entities in India regulated by RBI
- RBI regulates and supervises various entities in India.
- Entities regulated by the RBI include banks, All India Financial Institutions, NBFCs, and all payment system providers.
RBI’s annual report (2020-21) on supervisory framework
- In its latest annual report (2020-21), RBI said it has been working towards strengthening the supervisory framework for both banking and non-banking sectors.
- During the year, initiatives were taken towards-
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- integration of supervisory functions meant for different supervised entities
- specialisation and reinforcement of supervision through both vertical and horizontal risk assessments
- setting up a dedicated College of Supervisors for capacity development
- harnessing SupTech (supervisory technology)
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