Under CGFSEL, default in education loan is covered if the loan limit is ₹7.5 lakh without any collateral security and third-party guarantee. At present, the fund extends guarantee cover against default in education loans sanctioned by public, private and foreign banks.

Compliance risk is the risk of legal or regulatory sanctions, material financial loss or loss of reputation a UCB may suffer as a result of its failure to comply with laws, regulations, rules, and codes of conduct applicable to its activities, the RBI said in a circular.

The meeting, to be chaired by Financial Services Secretary Sanjay Malhotra, will be attended by top management of banks and financial institutions through virtual mode, the sources said.

NARCL has engaged consultants such as EY, PwC, Alvarez and Marsal, KPMG, Grant Thornton to conduct due diligence for the 18 accounts. It will rely on the due diligence reports to finalise binding offers for these accounts.

The Merchant Payments Alliance of India (MPAI), an association that represents merchants, has requested the Reserve Bank of India (RBI) to plug issues around recurring payments through tokens before giving effect to the no-card storage rule, three people familiar with the development told ET.

South Indian Bank was beset with bad loans after its loans to companies such as DHFL and IL&FS soured. Under Ramakrishnan who took charge about two years ago, the bank raised its provisioning and put in place processes that improved underwriting.

Launched in 2018, EASE programme sets a common reforms agenda for public-sector banks every year. EASE aims to foster new-age reforms in Public sector banks (PSBs) to improve profitability, asset quality, customer service and digital capabilities.

The meeting would review the performance of public sector banks (PSBs) and financial institutions to provide credit to people belonging to the SC community and other welfare measures under implementation, they said.