Automated data flow initiative by RBI is a step in the direction of effectively addressing these issues. Benefits for banks in such implementation are many. First of all this will result in cutting down the number of procedures and sub-processes in the MIS and regulatory reporting processes with lesser human resource deployment, having positive impact on cost and time parameters.
Further, internal monitoring, review and decision making shall also be facilitated to become more efficient and effective, as the scope for misreporting is curtailed. Have you ever debated in a group on further investments and support from IT in compliance with the tighter regulatory regime of the future? Banking regulation across the globe is undergoing tremendous change in the wake of recent financial crisis.