Hence, there is a need to consider mechanisms to make regulation more effective, to limit unnecessary regulatory burdens or to contain the cost of compliance with regulators’ prescriptions. I wish to explore some practical ways of enhancing effectiveness.
Supervision of financial conglomerates 32. In order to address the limitations of the segmental approach to supervision of bigger financial groups, the Reserve Bank of India, in consultation with the Securities and Exchange Board of India (SEBI) and Insurance Regulatory and Development Authority (IRDA), put in place in June 2004 a special monitoring framework for Financial Conglomerates (FCs).