Concept of Scheduled Bank . In the general sense, a listed bank refers to a list of central banks. In the broadest sense, all the banks constituted under the country’s conventional banking company law.
Which are members or enlisted by the central bank in a commitment to abide by the rules, regulations, policies and directives of the central bank, are called listed or scheduled banks.
Listed banks are managed and regulated directly under the central bank and can enjoy various types of monetary policy and administrative facilities provided by the central bank.
Dr. A. R. According to Khan, “If a bank becomes a member of the central bank bound by its commitment to abide by the orders of the central bank, it is called a scheduled or listed bank.
In view of the above discussion and definition, the following characteristics of a listed bank are noteworthy:
- All listed banks have to be approved and registered under the prevailing banking laws of the country;
- The central bank has to maintain a certain amount of liquidity;
- The listed banks have to have minimum paid up capital and reserve funds;
- These banks have to conduct banking activities in compliance with all the instructions of the central bank. ‘Concept of Scheduled Bank’
- Of all the commercial banks in a country, only those who are committed to the terms of the central bank can get membership.