RBI Eases Rules for DIIs to Increase Bank Shareholdings
The Reserve Bank of India (RBI) has relaxed regulations for large Domestic Institutional Investors (DIIs) such as mutual funds, pension funds, and insurance companies. They can now obtain one-time approval to raise their total bank shareholding to 10%, removing the need for fresh RBI clearance each time their stake exceeds the previous 5% threshold. Earlier, acquiring 5% or more required prior RBI approval.
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