Formation of Financial Stability Development Council (FSDC)

The Financial Stability Development Council (FSDC) is expected to come into force in the month of December, 2010. The Ministry of Finance has consulted all the financial sector regulators on the formation of the Council. The objectives of FSDC would be to deal with issues relating to:

• Financial stability
• Financial sector development
• Inter-regulatory coordination
• Financial literacy
• Financial inclusion
• Macro prudential supervision of the economy including the functioning of large financial conglomerates.
• Coordinating India’s international interface with financial sector bodies such as the Financial Action Task Force (FATF) and Financial Stability Board (FSB).

This information was given by the Minister of State for Finance, Shri Namo Narain Meena in written reply to a question raised in Rajya Sabha today.