UPSC Prelims 2024 · GS Paper 1 · Q59

Economy

Hard · RBI rules for foreign bank subsidiaries

With reference to RBI's framework for Wholly Owned Subsidiaries (WOS) of foreign banks in India, consider the following statements:

1. RBI prescribes a minimum initial paid-up voting equity capital requirement for such a WOS.

2. RBI requires that not less than half of the directors on the board of such a WOS be Indian nationals resident in India.

Which of the statements given above is/are correct?