The Finance Minister Shri Pranab Mukherjee today held a meeting with the Regulators and officials of Ministry of Finance on the creation of Financial Stability & Development Council (FSDC). The discussion paper had been earlier circulated by the Ministry of Finance to all stake holders and suggestions were received. It was agreed that with a view to strengthen and institutionalize the mechanism for maintaining financial Stability and Development, the Central Government would set-up the apex Council. Without prejudice to the autonomy of regulators, this Council would engage in macro prudential supervision of the economy, including the functioning of large financial conglomerates and address inter-regulatory coordination issues. It will also focus on financial literacy and financial inclusion. The Council shall also look into issue relating to financial development from time to time. The Council would have one Sub-Committee which would be headed by Governor, RBI. The Secretariat of the said Council would be in the Department of Economic Affairs, Ministry of Finance.
