Shaktikanta Das, the Governor of the Reserve Bank of India launched a new “SupTech” initiative Daksh. The central bank’s advanced monitoring system is expected to make the supervisory processes more efficient.
On October 6, 2022, the RBI stated that it had been taking various measures to strengthen the supervision, including adopting the latest data and analytic tools and leveraging technology to implement more efficient and automated work processes.
RBI launches दक्ष (DAKSH) – Reserve Bank’s Advanced Supervisory Monitoring Systemhttps://t.co/sllKKMfrSk
— ReserveBankOfIndia (@RBI)
October 6, 2022
Daksh: What is the significance of the supervisory monitoring system?
- The application would enable seamless communication, inspection planning, and execution.
- Daksh will also allow cyber incident reporting and analysis, and the provision of several management information systems (MIS) reports. The application will enable all these services through a platform that allows anytime-anywhere secure access.
- Daksh represents “efficient” and “competent”, reflecting the underlying capabilities of the application.
What do you mean by Daksh?
Daksh is a web-based end-to-end workflow application through which RBI will detect compliance requirements more attentively with the objective of further improving the compliance culture in supervised entities (SEs) such as banks, non-banking finance companies (NBFCs), etc.
What is the significance of RBI?
The central bank of India, RBI is also known as a bank of banks owing to its functions of RBI. The bank was established on April 1, 1935, under the Reserve Bank of India Act, of 1934. In the beginning, the headquarters of RBI was located in Calcutta. However, in 1937, it was permanently shifted to Mumbai.
As of October 2021, the Governor of the Reserve Bank of India is Mr. Shaktikanta Das. He is the 25th RBI Governor and all the RBI functions are looked after by him. RBI serves a critical role in regulating the financial transactions in the country, some of the main functions of the RBI include the issue of bank notes, custodian of the cash reserves of Commercial Banks, etc.