Concerns that violate the possibility of misuse of Crypto, Minister of Finance Nirmala Sitharaman on April 27 said that India would make an attention decision about the regulations around virtual currencies.During interaction at Stanford University, he said, “The decision about Crypto will not be in a hurry,”
“It must take the time … All of us to ensure that at least with the available information, we make a decision that the suspect is. That cannot be passed,” he said.The Minister clarified that the government was open to promoting innovations and progress made well in distributed ledger technology, which came in the blockchain.
So, our intention is not at all hurting this (innovation around Crypto) … but (we need) defining for ourselves …, “he said.So, these are some concerns, not only India, but many countries in the world have and are also discussed in global, multilateral platforms, he added.
Previously on April 19, the Minister of Finance said that the largest risks of cryptocurrency could be money laundering and its use to finance terror.”I think that regulation using technology is the only answer. The rules using technology must be very proficient, so it should not be behind the curve, but make sure that it is above it. And that is not possible if there is a country thinking that it can handle it. It must be crossing Board, “he said.
India plans to introduce a digital currency supported by the central bank or the central bank digital currency (CBDC).Sitharaman, in his budget speech on February 1, announced that Digital Rupees or CBDC will be issued by RBI in the upcoming fiscal year.He has also announced that the government will collect a 30 percent tax on profits made from other personal digital assets starting April 1.
Speaking of CBDC, Deputy Governor of Reserve Bank of India T Rabi Sankar earlier this month said the nuanced and calibrated approach was very important for the launch of its inaugural digital currency because it would have various implications for the economy and monetary policy.Important learning does not come from global experience but basically comes from your own experience, he said.
In the merger of HDFC and HDFC Bank, Sitharaman said, this is a good step because India needs more large banks to take care of increasing infrastructure financing needs.Earlier this month, the largest private lender in India HDFC Bank agreed to take over the largest domestic mortgage lender in an agreement worth around $ 40 billion, creating a financial services titan in the largest agreement in the history of the country’s company.The proposed entity will have a combined asset base around RS 18 Lakh Crore.The merger is expected to be completed in the second or third quarter of FY24, subject to regulatory approval.
The transaction involved the merger of HDFC and two subsidiaries that were fully owned by HDFC Holdings and HDFC Investments with HDFC Bank.HDFC, as a HDFC Bank promoter, holds 21 percent in a joint lender with two subsidiaries, which in the merger will be more than double the size of the private peer icici bank.
With regard to digital gaps, Sitharaman said several steps had been taken to bridge it.Asked about the lack of lack of Covid mortality reporting, he said the data reported by the central government was compiled from the state.The revision was due to changes made by the state government, he said, added some of the deaths that occurred at home were renewed later by the state.