month. It is our intention to examine the recommendations and act quickly and decisively so that our financial sector stands on sound legal foundations and remains well-regulated, efficient and internationally competitive. I propose to constitute a Standing Council of Experts in the Ministry of Finance to analyse the international competitiveness of the Indian financial sector, periodically examine the transaction costs of doing business in the Indian market, and provide inputs to Government for necessary action.

##### Banking

85. public sector banks are well regulated, they must also be adequately capitalised. 85. public sector banks are well regulated, they must also be adequately capitalised. Before the end of March, 2013, we shall provide 12,517 crore to infuse additional capital into 13 ` public sector banks. In 2013-14, I propose to provide a further amount of 14,000 crore for ` capital infusion. We shall ensure that public sector banks always meet the Basel III regulations as they come into force in a phased manner. Financial inclusion has made rapid strides. All scheduled commercial banks and all 86. RRBs are on core banking solution (CBS) and on the electronic payment systems (NEFT and RTGS). We are working with RBI and NABARD to bring all other banks, including some cooperative banks, on CBS and e-payment systems by 31.12.2013. Public sector banks have assured me that all their branches will have an ATM in place by 31.3.2014. Women are at the head of many banks today, including two public sector banks, but there 87. is no bank that exclusively serves women. Can we have a bank that lends mostly to women and women- run businesses, that supports women SHGs and women's livelihood, that employs predominantly women, and that addresses gender related aspects of empowerment and financial inclusion? I think we can. I therefore propose to set up India's first Women's Bank as a public sector bank and I shall provide 1,000 crore as initial capital. I hope to obtain the necessary ` approvals and the banking licence by October, 2013, and I invite all Hon'ble Members to the inauguration of the bank shortly thereafter. The Rural Housing Fund set up through the National Housing Bank is used to refinance 88. lending institutions, including RRBs, that extend loans for rural housing. So far, 400,000 rural families have taken loans. In the last Budget, we provided 4,000 crore to the Fund. In ` consultation with RBI, I propose to provide 6,000 crore to the Rural Housing Fund in 2013-14. ` Similarly, it is proposed to start a fund for urban housing to mitigate the huge shortage of 89. houses in urban areas. I propose to ask National Housing Bank to set up the Urban Housing Fund and, in consultation with RBI, I propose to provide 2,000 crore to the Fund in 2013-14. `

##### Insurance

90. multi-pronged approach will be followed to increase the penetration of insurance, both 90. multi-pronged approach will be followed to increase the penetration of insurance, both life and general, in the country. I have a number of proposals that have been finalised in consultation with the regulator, IRDA.

• companies will be empowered to open branches in Tier II cities and • companies will be empowered to open branches in Tier II cities and below without prior approval of IRDA.