Govt panel proposes for a unified finance body

In continuation with the financial reforms, the Financial Sector Legislative Reforms Commission, headed by former justice B N Srikrishna has suggested to merge key regulators like Securities and Exchange Board of India (SEBI), Insurance Regulatory and Development Authority (IRDA), Pension Fund Regulatory and Development Authority (PFRDA) and Forward Markets Commission (FMC) into a unified financial agency (UFA).The government-appointed panel, also proposed to set up a financial redressal agency (FRA) to address consumer complaints against companies across the financial sector.
 
The panel will put forth an approach paper, giving room for share holders to comment on the need for establishing an independent debt management office (DMO) and a financial sector appellate tribunal to hear appeals against regulators. As per the current architecture, the financial sector is regulated by eight agencies like RBI, SEBI, IRDA, PFRDA and FMC, Securities Appellate Tribunal (SAT), deposit insurance agency DICGC and Financial Sector Development Council (FSDC). The proposal suggests for five new agencies besides RBI and FSDC, they are UFA, FSAT, FRA, DMO and Resolution Corporation.

Currently, stock market is regulated by SEBI, while the activities in the commodities market are looked after by the FMC. The insurance sector is regulated by the IRDA and the PFRDA is responsible for managing the pension sector.