Climate change poses perhaps the most catastrophic and less understood risk to the biophysical safety of people, functioning of the financial system and the real economy, across the globe. While there is an increasing consensus on the need to contain the climate risk, it is not very...

The fixed-income securities market is a major source of capital formation and financing of economic activities. Besides, it is a dominant source of funding for sovereigns, and investments by market participants in the government securities (G-Sec) market. G-Sec markets also provide a proxy of...

The Covid-19 pandemic which started in early 2020 negatively impacted the socioeconomic environment due to the widespread incidence of the disease and lockdowns that were necessitated to contain its spread. The pandemic has lasted for more than two years with multiple peaks and troughs having an...

This paper provides a practitioner’s perspective on the compliance deficiencies in banks, which are found deep-rooted in the cultural deficit and ethical vacuum. It dives into the behavioural dimensions and suggests ways to strengthen the efficacy of compliance through leadership, ethics,...

Primary (Urban) Cooperative Banks (UCBs) in India operate under the provisions of the Banking Regulation Act of 1949 – As Applicable to Cooperative Societies (AACS). Considering the large heterogeneity in asset sizes of UCBs and the absence of any regulatory cap on their leverages, the...

The author identifies key elements of governance, and the potential reasons for failures and highlights that the structure of boards, thrust on the adoption of best practices, and regulatory guidelines are necessary but not sufficient to ensure failsafe governance standards. The author...

Primary Cooperative Banks, popularly known as Urban Cooperative Banks (UCBs), are increasingly becoming marginal players in the Indian financial system as their clientele share is increasingly being taken away by other banks. Despite their localised presence in large numbers and an important...

Key Principles of co-operation, namely open membership, democratic control, equal voting rights, not-for-profit orientation, localized operations, and personalized services contribute to the strength of co-operative financial institutions. However, mobilization and management of capital in...

The likelihood of not getting the desired funding at an appropriate cost or the probability of an undue loss of value in the event of a fire sale of assets is recognised as the liquidity risk. Moreover, a flat idiosyncratic liquidity risk does not necessarily translate into a similar risk...

A large quantum of technical work is underway in the area of alternative credit scoring to better understand and put in place an effective process of the credit risk measurement and management. However, the traditional and new approaches have their complementarities and inter-dependence. Use of...