Start learning 50% faster. Sign in now
Get Started with ixamBee
Start learning 50% faster. Sign in nowRBI issued guidelines for compensation of key managerial personnel and senior management of non-banking finance companies, RBI said that the finance companies have to constitute a nomination and remuneration committee (NRC), which will have the mandate to oversee the framing, review and implementation of compensation policy of the company with the approval of the board. NRC will also have to work with the risk management committee of the company to achieve effective alignment between compensation and risks. NRC may ensure that compensation levels are supported by the need to retain earnings of the company and the need to maintain adequate capital based on Internal Capital Adequacy Assessment Process (ICAAP). These guidelines are as per the scale-based regulation for NBFCs introduced by RBI in October last year. RBI has said that all the fixed items of compensation, including the perquisites and contributions towards superannuation/retiral benefits, may be treated as part of fixed pay. These guidelines will come into effect from April 1, 2023 and will be effective on all the finance companies, apart from the ones in the base layer. The proportion of variable pay in the total compensation of the management of NBFCs should be commensurate with their role and prudent risk-taking profile and at higher levels of responsibility, the proportion of variable pay should be higher. The board of NBFCs may not offer guaranteed bonuses to the senior management and key managerial personnel.
Who was appointed as the Revenue Secretary in the Finance Ministry of India?
Which team won the Santosh Trophy 2022-23, and where was the final held?
Which country recently overtook China as India’s Largest Trading Partner in FY22?
Who is the author of the book “Lal Salaam”?
Which of the following committee of RBI is responsible for fixing the benchmark interest rate in India?
Consider the following statement about SURYA KIRAN:
1. The 17th edition of Joint Military Exercise SURYA KIRAN conducted in Pithoragarh, Uttar...
With reference to the Blue economy, consider the following statements:
1. Blue economy refers to the sustainable use of marine resources for expl...
The sixth edition of the Indo-Uzbek military exercise DUSTLIK-VI is being conducted at which location?
What is the focus of the joint India-Indonesia military exercise ‘Garud Shakti 24’ held in November 2024?
Who has become the new MD and CEO of LIC Mutual fund?