Post on 02-Nov-2015
description
PERCENTAGE OF RESPONDENTS WHO EXPERIENCED ECONOMIC CRIME
THREATS TO INDIAN FINANCE SERVICE INDUSTRY
By Radhika Vaze
AGENDA
FINANCE INDUSTRY :COMPONENTSOVERVIEW & RECENT TRENDSTHREAT 1) Fiscal Pressure 2) Regulatory Over-reach 3)NPAs 4)Economic Crime
ROAD AHEAD
WHAT EXACTLY DOES FINANCIAL SERVICES MEAN Financial Services are the Economic Services provided by the finance industry, which encompasses a broad range of businesses that manage money, FINANCIAL SERVICE SECTORCOMMERCIAL BANKSINSURANCE COMPANIESNBFCsCO-OPERATIVESPENSION FUNDSMUTUAL FUNDSOTHER SMALLER FINANCIAL ENTITIES
OVERVIEW & RECENT TRENDSADVENT OF TECHNOLOGY
REFORMS TO LIBERALISE, REGULATE & ENHANCE
IMPROVING LIFE EXPECTANCY RATES
VARIED SOCIAL FABRIC
GOVERNMENT INITIATIVESTHREATSFiscal PressureFALLING REVENUES(source:Economic Survey 2013: Planning commission )SPENDING ON SUBSIDIESNEED OF FISCAL CONSOLIDATION
REGULATORS OF THE FINANCIAL SYSTEM
REGULATORY OVER-REACHFSLRC recommendations Kishori J Udeshi, a former deputy governor of the Reserve Bank of India (RBI), objected to the proposed overbearing role of government regarding capital flows:P J Nayak, former chairman and managing director of Axis Bank, had a different problem: "One must view with apprehension the very substantial statutory powers recommended to be moved from the regulators (primarily the RBI) to the finance ministry and to a statutory Financial Stability and Development Council (FSDC), the latter being chaired by the finance minister.
NPATARGET ORIENTED APPROACHPRIORITY SECTOR LENDINGWEIVERS ANNOUNCEDFOR NBFC S Making NPA NORMS more stringent will harm the cause of FINANCIAL INCLUSIONGround realities of NBFCs is totally different from banks, as they mainly deal with Rural/Illiterate/unbanked/self employed section of the society.Instalments are often delayed due to peculiar circumstances of the borrowersRealisation of default amounts through legal recourse is time consumingAnomoly correction as regards NPA Provisioning under Income Tax as allowed to Bank & Financial institutions
ECONOMIC CRIME
CYBERCRIMEDISTRIBUTION OF VIRUSESPHISHING ATTACKS:THEFT OF PERSONAL INFORMATIONHACKINGROAD AHEAD
CONTINUOUS EVOLUTION EXPANSION & INTRODUCTION OF NEW PRODUCTS NEED FOR SWIFT CONSUMER ACQUISITION, QUICK FULFILMENT,USE OF TECHNOLOGY & SOCIAL MEDIA TO IMPROVE RISK ASSESSMENT & MANAGEMENT THEREBY CONTROLLING NPAS
TO ENSURE SUCCESS: NEED TO ADOPT SIMPLIFIED ,STREAMLINED,LESS TIME CONSUMING APPROACH FOR CUSTOMER ON-BOARDING WHERE SPEED OF IMPLEMENTATION IS OF ESSENCE
Bibliography
www.indianbusiness.nic.in
www.rediff.com/business
Proceedings & Recommendations: Summit on Non-Banking Finance Companies The Way Forward(23/01/2015) :Associated Chamber of Commerce & Industry Of India
FINANCIAL SERVICES SECTOR ANALYSIS PWCS 2014 ECONOMIC SURVEY
THANK YOU !