commercial banks ( other than rrbs ) are free to open branches / mobile branches / administrative offices / central processing centres ( cpcs ) / service branches in rural, semi - urban and urban centres in north - eastern states and sikkim without permission from reserve bank of india. while preparing their annual branch expansion plan ( abep ), banks are required to allocate at least 25 per cent of the total number of branches proposed to be opened during a year to unbanked rural ( tier 5 and tier 6 ) centres. an unbanked rural centre would mean a rural ( tier 5 and tier 6 ) centre that does not have a brick and mortar structure of any scheduled commercial bank for customer based banking transactions. the committee on customer services in banks ( damodaran committee ) constituted by the reserve bank, has made several recommendations for improving banking services in the north eastern region. ( recommendations are given in the annex for your use ). an important one among them is to explore using the back up of alternate sources of energy for atms to ensure their continuous and uninterrupted availability in the north east region. 7. despite strict guidelines, a section of fake microfinance companies have started their operation in the north east. hundreds of people are the victims of these microfinance companies. as the situation is very alarming are you going to set up any committee to monitor the operation of these microfinance companies? no such instance of any fake microfinance company cheating the public of the north east has come to our notice. however, we are aware that many investors in this region have been victims of pyramid schemes operated by some non - banking financial companies ( nbfcs ) / multi level marketing companies ( mlm ) and unincorporated bodies ( uibs ). we are sensitising the police and are creating awareness among the public about the nefarious activities of these companies. having said that, i must add that it is important for the public to be discrete in investing their savings. the public should verify whether the company is registered with the reserve bank or any other regulatory body. the public must also be aware that high returns are often associated with high risk and they should particularly look askance at promise of excessively high returns. bis central bankers ’ speeches

and market stress more severe than the global financial crisis. the 2017 stress test subjected the banks to simultaneous uk and global recessions, a deep market shock and stressed estimates of conduct redress fines. the test included a sharp adjustment in corporate credit markets and commercial property markets. sterling investment grade corporate bond yields were assumed to snap up almost 800bps as long - term gilt yields rose by over 500bps and credit spreads blew out. commercial property prices were assumed to fall by 40 %. these are typically syndicated loans to large companies which have either high levels of indebtedness, a non - investment grade credit rating, or are owned by a private equity sponsor. for more information, see pages 30 - 31 of the november financial stability report. as a percentage of institutional leveraged loan issuance. all speeches are available online at www. bankofengland. co. uk / speeches more than 5 % of uk and global business loans would have been impaired over the first two years of the test period. with banks having substantially reduced their exposures in the past decade, largely by reducing their lending to commercial property companies, the resulting losses amounted ‘ only ’ to £50bn. and following the shrinking of banks ’ trading books in the past decade, their losses on trading assets totalled ‘ only ’ £30bn. the losses resulting from this, and other parts of the stress scenario, would have wiped out the entire banking system in 2007. however, major uk banks have tripled their capital strength. even after a stress like this, they have more than twice the capital they had going in to the crisis. they can now absorb losses like this and continue to supply credit to the real economy. 5. are bond markets resilient or might they amplify adjustments? this is the final channel through which stretched markets could affect the wider economy. it would magnify any effect on corporate and bank balance sheets. and it could affect the cost of finance directly, as market interest rates are driven up and credit availability tightened. we have a duty to spot new market developments that could drive this and to simulate, rather than wait for the empirical proof, because by that point it can be too late. and as your mission statement acknowledges, we must move beyond the causes of market fragility in the last crisis. the resilience of markets is not guaranteed by the safety of the banking system and other core intermediaries. to do that, we ’ re going to