Islamic banking: RBI spikes Raghuram Rajan's proposal as equal bank access available for all citizens
In late 2008, a committee on Financial Sector Reforms, headed by former RBI governor Raghuram Rajan, had stressed on the need for a closer look at the issue of interest-free banking in the country.
Reserve Bank of India says it won't pursue proposal for introduction of Islamic banking in the country
In a major move, the Reserve Bank of India (RBI) has decided not to pursue a proposal for introduction of Islamic banking in the country.
Under the present Regulations of the RBI Act interest has to be paid on bank deposits, but to permit interest-free banking the Central Bank has to amend the regulations