RBI and European Central Bank Ink Pact to Bolster Central Banking Ties
The agreement was signed by RBI Governor Sanjay Malhotra and ECB President Christine Lagarde during the Bank for International Settlements (BIS) meetings in Basel, Switzerland.
This new pact replaces an earlier framework established in 2015, focusing on information exchange and policy dialogue regarding evolving global economic conditions.
A key provision in the MoU supports the formal recognition of Indian central counterparties, such as the Clearing Corporation of India Ltd. (CCIL), by the European Securities and Markets Authority (ESMA).
Significance: This collaboration simplifies regulatory hurdles for Indian financial institutions in Europe and fosters a robust channel for sharing data and best practices.
Key Facts / Static GK
RBI Established: 1 April 1935
ESMA: European Securities and Markets Authority
BIS: Bank for International Settlements
Practice Quiz — 12 May 2026
Q1. Where was the Memorandum of Understanding (MoU) between the Reserve Bank of India and the European Central Bank signed?
Q2. Which of the following responsibilities is held by the Chief of Defence Staff in India besides being the permanent Chairman of the Chiefs of Staff Committee?
Q3. Consider the following statements regarding Vice Admiral Krishna Swaminathan: 1. He has been appointed as the next Chief of the Naval Staff. 2. He will succeed Admiral Dinesh Kumar Tripathi. 3. He has previously commanded the aircraft carrier INS Vikramaditya. Which of the above statements is/are correct?
Q4. What was the primary objective of the Investor Risk Reduction Access (IRRA) platform, which SEBI recently discontinued?
Q5. How many days of guaranteed wage employment will be provided under the new Viksit Bharat - G RAM G Act?
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