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Master Circular EXPOSURE NORMS AND STATUTORY/OTHER RESTRICTIONS(Updated up to 30 June 2005) (available at RBI website www.mastercirculars.rbi.org.in )RESERVE BANK OF INDIA Urban Banks Department,
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The master circular on risk is a comprehensive guideline issued by regulatory authorities that outlines the framework, methodology, and standards for measuring and managing risks within financial institutions.
Financial institutions, including banks and non-banking financial companies (NBFCs), are required to file the master circular on risk.
To fill out the master circular on risk, institutions must follow the specified format provided in the circular, ensuring all necessary data is accurately reported and relevant risk management practices are included.
The purpose of the master circular on risk is to establish a standardized approach for risk assessment, promote financial stability, and ensure compliance with regulatory requirements.
Institutions must report information related to various types of risks, including credit risk, market risk, operational risk, and liquidity risk, along with their risk management frameworks and practices.
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