Inflationary pressures have eased over the course of 2013. After beginning 2013 at just over 7.0 per cent (year-on-year), headline inflation slowed to about 4 ½ per cent by November 2013. The slowdown in inflation was largely associated with a steady fall in food price inflation reflecting increased domestic production of agricultural supplies, more favorable weather conditions, and an easing of global food prices.
Bank need to prepare for a more stringent KYC regulatory regime. At the same time, costs of KYC need not increase as better use of technology is possible, especially by integrating KYC with UID. With such an integration, KYC can achieve some degree of portability with UID, reducing incremental costs to a bank and affording customer to more freely choose between banks.