Fiat money: fiat money is a legal tender for settling debts. It is a paper money that is not convertible and is declared by government to be legal tender for the settlement of all debts.
BCSBI: the banking codes and standards board of india is a society registered under the societies registration act, 1860 and functions as an autonomous body, to monitor and assesOLTAS: on-line tax accounting system.
EASIEST: electronic accounting system in excise and service tax.
SOFA status of forces agreement, sofa is an agreement between a host country and a foreign nation Stationing forces in that country.
Call money: money loaned by a bank that must be repaid on demand. Unlike a term loan, which has a set maturity and payment schedule, call money does not have to follow a fixed schedule. Brokerages use call money as a short-term source of funding to cover margin accounts or the purchase of securities. The funds can be obtained quickly.
Scheduled bank: scheduled banks in india constitute those banks which have been included in the second schedule ofrbi act, 1934 as well as their market capitalization is more than rs 5 lakh. RBI in turn includes only those banks in this schedule which satisfy the criteria laid down vide section 42 (6) (a) of the act FEDAI: foreign exchange dealers association of india. An association of banks specializing in the foreign exchange activities in India.
PPF: public provident fund. Die public provident funj scheme is a statutory scheme of the central government of india. The scheme is lor 15 years. The minimum deposit is rs 500 and maximum is rs 70,000 in a financial year.
SEPA: single euro payment area.
GAAP: generally accepted accounting principles. The common set of accounting principles, standards and procedures that companies use to compile their financial statements.
Indian depository receipt: foreign companies issue their shares and in return they get the depository receipt from the national security depository in return of investing in india.
Hot money: money that is moved by its owner quickly from one form of investment to another, as to take advantage of changing international exchange rates or gain high short-term returns on investments.
PE RATIO: price to earnings ratio, a measure of how much investors are willing to pay company's reported profits.
CASA: current account, savings account
CAMELS: camels is a type of bank rating system. (c) stands for capital adequacy, (a) for asset quality, (m) for management ,(e) for earnings, (l) for liquidity and (s) for sensitivity to market risk.
OSMOS: off-site monitoring and surveillance system
Free market: a market economy based on supply and demand with little or no government control.
Retail banking: it is mass-market banking in which individual customers use local branches of larger commercial banks.
Euro bond: a bond issued in a currency other than the currency of the country or market in which it is issued.
PPP: purchasing power parity is an economic technique used when attempting to determine the relative Values of two currencies.
FEMA Act: foreign exchange management act, it is useful in controlling hawala.
Hawala transaction: it's a process in which large amount of black money is converted into white.
Teaser loans: it's a type of home loans in which the interest rate is initially low and then grows higher. Teaser loans are also called terraced loans.
ECB: external commercial borrowings, taking a loan from another country. Limit office is $500 million, And this is the maximum limit a company can get
CBS: core banking solution all the banks are connected through internet, meaning we can have transactions from any bank and anywhere, (e.g. Deposit cash in pnb, delhi branch and withdraw cash from pnb, Gujarat)
CRAR: for RRB's it is more than 9% (funds allotted 500 cr) and for commercial banks it is greater than 8% (6000 cr relief package).
NBFC: NBFC is a company which is registered under companies act. 19s6 and whose main function is to provide loans. NBFC cannot accept deposit or issue demand draft like other commercial banks. NBSC registered with RBI have been classified as ASSCI finance company (afc), Investment Company (iq and Loan Company (lc)
IIFCL: India infrastructure finance company limited. It gives guarantee to infra bonds.
IFPRI: international food policy research institute. It identities and analyses policies for meeting the too Needs of the developing world.
Currency swap: it is a foreign-exchange agreement between two parties to exchange aspects (namely t principal and/or interest payments) of a loan in one currency for equivalent aspects often equal in net present value loan in another currency. Currency swap is an instrument to manage cash flows in different currency.
WPI: wholesale price index is an index of the prices paid by retail stores for the products they ultimately resell to consumers. New series is 2004 2005. (the new series has been prepared fry shifting the base year from 1993-94 to 2004-05). Inflation in India is measured on WPI index.
MAT: minimum alternate tax is the minimum tax to be paid by a company even though the company is not making any profit
Future trading: it's a future contract/agreement between the buyers and sellers to buy and sell the underlying assets in the future at a predetermined price.
Reverse mortgage: it's a scheme for senior citizens.
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