IFSCA signs MoU with RBI in the field of regulation, supervision of regulated entities

Tags: Economy/Finance National News

The International Financial Services Centres Authority (IFSCA) and the Reserve Bank of India (RBI) have signed a Memorandum of Understanding for collaboration in the field of regulation and supervision of regulated entities on 16 November, 2022.

Important facts

• This MoU facilitates technical cooperation and exchange of information.

• The objective of the agreement is to strengthen the security, stability and soundness of the respective financial ecosystem, thereby ensuring a conducive environment for optimal business growth and economic growth.

• RBI is the central bank and monetary authority of India while International Financial Services Centers Authority is a unified regulator responsible for the development and regulation of financial products, financial services and financial institutions in International Financial Services Centers established across the country.

About International Financial Services Centres Authority (IFSCA)

• IFSCA was established on April 27, 2020, under the International Financial Services Centres Authority Act, 2019.

• It is headquartered in GIFT City, Gandhinagar, Gujarat.

• It is a unified authority for the development and regulation of financial products, financial services and financial institutions in the International Financial Services Center (IFSC) in India.

• It is currently the maiden international financial services centre in India.

• Prior to the establishment of IFSCA, trading in IFSC was regulated by the domestic financial regulators, RBI, Securities and Exchange Board of India (SEBI), Pension Fund Regulatory and Development Authority (PFRDA) and Insurance Regulatory and Development Authority of India (IRDAI).

• IFSCA Chairperson  -  Injeti Srinivas

• Governor RBI - Shaktikanta Das