What's New :
Open Session on Write Craft for Optional Subjects. Register Here...

RBI announces revised Prompt Corrective Action (PCA) framework

  • Published
    9th Nov, 2021

Regulation of the banking system in India is one of the key roles played by the RBI. In this regard, discuss the importance of prompt correction action imposed by RBI on vulnerable banks. (150 Words)


  • Introduce by briefly describing the role of RBI in the regulation of the banking sector under Banking Regulations Act 1949.
  • Elaborate on PCA, when it is invoked and what restrictions are placed on the bank on which PCA is applied
  • Discuss how PCA helps in larger failure of banks and loss of public money, which can cause instability in the financial sector of the country
  • Conclusion
GS Mains Classes GS Classes 2024 GS Classes 2024 GS Classes 2024 UPSC Study Material

Verifying, please be patient.

Our Centers

DELHI (Karol Bagh)

GS SCORE, 1B, Second Floor, Pusa Road, Karol Bagh, New Delhi - 110005 (Beside Karol Bagh Metro Station Gate No. 8)

Get directions on Google Maps

BHUBANESWAR (Jaydev Vihar)

GS SCORE, Plot No.2298, Jaydev Vihar Square, Near HCG Day Care, BBSR - 751013

Get directions on Google Maps

LUCKNOW (Aliganj)

GS SCORE, 2nd Floor, B-33, Sangam Chauraha, Sector H, Aliganj, Lucknow, UP - 226024

Get directions on Google Maps

Enquire Now