RBI body calls for periodic review of regulations

The Regulations Review Authority (RRA 2.0), set up by the Reserve Bank of India, has recommended a periodic review of existing regulations to align them with evolving developments in industry practices and the financial landscape.

In the past, the RRA had recommended the withdrawal of 714 regulatory instructions, which have either become obsolete or redundant and have not been explicitly withdrawn.

Further, the authority has recommended the elimination of paper-based returns and has suggested a periodic review of regulatory and supervisory returns filed by the regulated entities at least once in three years to ascertain their relevance and periodicity.

It has also been recommended to shift from the current prescription of submitting data on a fortnight reporting basis to a system of reporting data on the 15th and last working day of every month.

The RRA submitted its report recently containing a set of recommendations that will supposedly reduce the burden on regulated entities (REs) by streamlining the regulatory instructions and rationalizing reporting requirements. RRA 2.0 was set up by RBI in April last year with an aim to reduce the compliance burden on REs by streamlining the regulatory instructions and rationalizing reporting requirements.