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The Financial Stability and Development Council (FSDC) presided over Finance Minister reviewed the current global and domestic economic situation and financial sector performance.
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RBI Governor Urjit Patel, financial sector regulators and top officials of the Finance Ministry attended the meeting.
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The council discussed the issue of real interest rate, current liquidity situation, including segmental liquidity position in NBFCs.
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The panel decided that the regulators and the government will keep a close watch on developments and take all necessary measures.
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The panel also deliberated on the issues and challenges of Crypto Assets/Currency.
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An appropriate legal framework is to devise to ban use of private crypto currencies in India.
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The council also suggested encouraging the use of Distributed Ledger Technology, as announced in the Budget 2018-19.
Cyber Security
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FSDC took note of the developments regarding strengthening of Cyber Security in Financial Sector.
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This includes progress made towards setting up of a Computer Emergency Response Team in the Financial Sector (CERT-Fin) under a Statutory Framework.
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The Council also deliberated on the need for identifying and securing critical information infrastructure in financial sector.
Financial Stability and Development Council (FSDC)
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Financial Stability and Development Council (FSDC) is an apex-level body constituted by the government of India.
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The FSDC is headed by the Finance Minister and comprises the RBI Governor, the SEBI Chairman, and heads of regulators such as PFRDA, IRDAI.
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Finance Secretary, Department of Economic Affairs, Secretary, Department of Financial Services and Chief Economic Adviser are also members of FSDC.
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It works to strengthen and institutionalise the mechanism of maintaining financial stability.
Other Objectives of FSDC are:
- Financial stability
- Financial sector development
- Financial literacy
- Financial inclusion
- • Macro prudential supervision of the economy.