RBI's Masterstroke: Banking to Transform, Common People to Benefit

• RBI's Monetary Policy Committee keeps repo rate unchanged at 5.25% with a neutral stance.
• New draft guidelines to enhance customer protection against mis-selling, loan recovery issues, and unauthorized electronic transactions, with up to INR 25,000 compensation for small frauds.
• Financial inclusion boosted by reviewing Lead Bank Scheme, KCC, and Business Correspondent Model; collateral-free loans for MSEs increased to INR 20 lakh.
• Urban Cooperative Banks (UCBs) to see increased financial limits for unsecured loans, relaxed housing loan norms, and a 'Mission-Saksham' training program for 1.4 lakh personnel.
• NBFCs without public funds, customer interface, and assets under INR 1000 crore exempted from registration; branch opening approvals eased.