Real-time gross settlement (RTGS) is maintained by the Reserve Bank of India. RTGS system is a funds transfer mechanism where transfer of money takes place from one bank to another on a 'real time' and on 'gross time' This is the fastest possible money transfer system through the banking channel. Settlement in 'real time' means payment transaction is not subjected to any waiting period. The transactions are settled as noon as they are processed.
It is one of the major innovations in cheque clearing after the Magnetic Ink Character Recognition (MICR) cheques introduced in the 80s. Cheque truncation is a system between clearing and settemrnt of cheques based on electronic images. This form of clearing does not invole any physical exchange of instrument. Bank customers would get their cheque realised faster as local cheque are cleared almost the same day as the cheque is presented to the clearing house, while intercity clearing happens the next day. Besides speedy clearing of cheques, banks also have additional advantage of reduced reconciliation and clearing frauds. It is also possible for banks to offer innovative products and services based on CTS.
It is a Limited level of protection provided by the government to depositors against bank failures. Every bank is mandatorily covered under the level of Deposit Guarantee and the Insurance Corporation of india. It is particulary revevant in countries like india where financial literacy is very low. At a macro-level, its objective is to contribute to the stability of the financial system.
The first economic Survey was reportedly presented for the financial year 1951-52 and since has been presented every year as a review of the economy by the government. Over the years, the Economic Survey has transformed from a mere representation of facts to a more suggestive document giveing out advice.
The ordinary man confuses the finance minister's budget speech for the annul budget.But as laid down in the constitution, the budget actually refers to the annual financial statement tabled in parliament along with the 13-15 other documents. Divided into three parts-consolidated Fund, Contingency Fund and public Account-it has a statement of receipts and expenditure of each.