Introduction to RBI Guidelines for BFSI

The Reserve Bank of India (RBI) plays a critical role in regulating and overseeing the BFSI sector to ensure its stability and protect consumer interests. This course covers RBI’s regulatory guidelines and policies, such as prudential norms, capital adequacy requirements, risk management standards, and compliance protocols. Participants will understand how financial institutions must adhere to RBI regulations, manage operational risks, and ensure financial inclusion.

• To introduce participants to the RBI guidelines that govern the BFSI sector.
• To explain key regulations related to capital adequacy, risk management, and prudential norms.
• To provide insights into compliance requirements and audit procedures.
• To highlight the role of RBI in ensuring stability and integrity within the Indian financial system.

• Understand the scope and application of RBI regulations for BFSI entities.
• Learn about capital adequacy norms, liquidity requirements, and asset classification.
• Explore prudent risk management guidelines for banks and financial institutions.
• Gain insights into RBI’s role in financial supervision, consumer protection, and financial inclusion.
• Provide knowledge of internal compliance measures and regulatory audits within the BFSI sector.

Module 1: Overview of RBI Guidelines for BFSI

• Introduction to the role of RBI in regulating and overseeing the BFSI sector.
• Key functions of the RBI: Monetary policy, financial inclusion, consumer protection, and financial stability.
• How RBI guidelines impact banks, non-banking financial companies (NBFCs), and insurance companies.

Module 2: Prudential Norms & Capital Adequacy Requirements

• Understanding prudent lending practices and asset classification (Non-performing assets – NPAs).
• Key aspects of capital adequacy and the Basel III guidelines for banks.
• Risk-weighted assets, capital conservation buffers, and liquidity requirements.
• CRR (Cash Reserve Ratio), SLR (Statutory Liquidity Ratio), and their role in managing liquidity.

Module 3: Risk Management Framework

• Risk categories: credit risk, market risk, operational risk, and liquidity risk.
• RBI guidelines on managing operational risks and risk mitigation techniques.
• Stress testing and capital planning for financial institutions.
• Guidelines on cybersecurity and information security in BFSI institutions.

Module 4: Regulatory Compliance and Reporting

• Overview of RBI’s reporting requirements for banks and financial institutions.
• Internal and external audits, compliance checks, and regulatory submissions.
• RBI’s approach to consumer protection, including grievance redressal mechanisms.
• Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations.

Module 5: RBI’s Role in Financial Inclusion & Innovation

• Financial inclusion initiatives supported by RBI for underserved populations.
• RBI’s approach to digital payments, financial literacy, and financial products for marginalized communities.
• Regulatory sandbox for fintech innovations and startups.

Module 6: Case Studies of RBI’s Regulatory Impact on BFSI

• Case studies on RBI interventions in stabilizing the banking sector.
• Examining major compliance failures and lessons learned.
• Success stories of financial institutions that excelled in adhering to RBI regulations.

• BFSI professionals including bankers, auditors, and compliance officers.
• Regulatory and legal professionals specializing in banking law.
• Managers and executives in financial institutions handling risk management and compliance.
• Financial consultants and analysts advising BFSI clients.
• Law students with an interest in financial regulations and banking law.