Govt hopes BJP plays ball for getting Banking Bill passed

Our Bureau Updated - November 17, 2017 at 10:51 PM.

Rules out sending Bill to House panel again

The Government hopes to get the banking Bill passed in the winter session of Parliament. However, at the same time it has ruled out sending the Bill again to the Standing Committee as demanded by Opposition.

Meanwhile, this Bill has been listed for passage on Thursday.

But the BJP is still insisting on dropping the controversial clause that permits banks to trade in commodities futures.

When asked if there was a possibility of the Banking Bill being sent back to the House panel, the Finance Minister P. Chidambaram replied, “No. There is only one clause and that is based on recommendation of Standing Committee on Food and Consumer Affairs. I have used Rule 80 (of Parliament procedures).”

The Banking Laws (Amendment) Bill was moved for consideration and passage on Monday. The Government proposed inclusion of three significant clauses beside others. One particular clause, which was being objected to by the Opposition, sought to allows banks to participate in commodity futures trading.

The Opposition parties, including BJP, demanded that the Bill be referred again to the Standing Committee on Finance. Due to this, the Bill could not be taken up for discussion.

Chidambaram said, “I met both leaders of Opposition (Sushma Swaraj and Arun Jaitley) yesterday and I explained to them that nothing new has been done. One new section has been introduced based on the report of Standing Committee on Food and Consumer Affairs. They wanted a provision to be introduced.”

Passage of banking Bill hinges on support of principal Opposition BJP as the ruling coalition does not have required number in Rajya Sabha. Enactment of this Bill is crucial for issuing new banking licence as this will empower RBI to inspect books of subsidiaries of a company with banking licence. RBI is insisting for granting this power before granting new licence.

Other key economic bills

Finance Minister also expressed hope that the BJP would cooperate in getting five key economic reforms Bills passed in the ongoing session.

“I have discussed all five economic reforms Bills with two leaders of Opposition. I sincerely hope that principal Opposition party would cooperate,” he said. The BJP leaders, he said, understood the urgency for enactment of the reform Bills.

“I have offered to meet them again,” Chidambaram added.

Besides banking other key legislations include Insurance Laws (Amendment) Bill, Pension Fund Regulatory and Development Authority Bill and Micro Finance Institutions (Development and Regulation) Bill.

>shishir.sinha@thehindu.co.in

Published on December 12, 2012 16:53