Under the revised framework, the individual UCB will be advised of the specific corrective action they need to take to improve the financial position. With the revision of SAF as above it is expected that the Board of Directors of UCBs will be proactive in identifying the shortcomings / deficiencies in the functioning of the bank and taking timely action to address them. 22.
In view of the critical importance of CBS in the banking system, it has now been decided to include CBS implementation as an additional criterion for a UCB to be classified as an FSWM bank. With a view to imparting transparency and removing any unintended element of subjectivity the criterion of “regulatory comfort” has also been redefined.