Given the lack of financial strength of the BCs, risk of inability to fulfil commitments arising due to shortfalls in cash due to frauds, errors, etc. is high. Banks engaging BCs may, therefore, have to put in place risk mitigants and adequate checks and balances to prevent such incidents and also ensure proper customer redressal.
Australia and the United States).4 The imperative for change comes from more than examining our history; it comes from our expectations of the future, and the present we find ourselves in. Our policy framework changed because times are changing. For the Reserve Bank to maintain its credibility and relevance, we must change too. 1 Orr, A.