of the Insurance Regulatory and Development Authority Act; 1999(41 of 1999) o th — THE RESERVE BANK OF INDIA ACT, 1934

of the Insurance Regulatory and Development Authority Act; 1999(41 of 1999) o th

section 3 of the Insurance Regulatory and Development Authority Act; 1999(41 of 1999) o the Pension Fund Regulatory and Development Authority constituted by the Resolution of the Government of India number FNo. 1(6)2007-PR, dated the 14th November, 2008, such difference of opinion shall be referred to a Joint Committee consisting of the following, namely: the Union Finance Minister ex officio Chairperson; b) the Governor; Reserve Bank of India ~ex officio Vice-Chairperson; the Secretary, Department of Economic Affairs in the Ministry of Finance, Government of India ex officio Member; the Secretary, Department of Financial Services in the Ministry of Finance, Government of India ex officio Member; the Chairperson; Insurance Regulatory and Development Authority_~ex officio Member; the Chairman, Securities and Exchange Board of India ~ex officio Member; the Chairperson, Pension Fund Regulatory and Development Authority_~ex officio Member: The Secretary, Department of Financial Services in the Ministry of Finance, Government of India shall be the convener of the meetings of the Joint Committee referred to in sub-section (1). (3) In case of any difference of opinion referred to in sub-section (1), any Member of the Joint Committee referred to in clauses (b), (e), (f) or (g) of that sub-section may make a reference to the Joint Committee. The Joint Committee shall follow such procedure as it may consider expedient and give, within a period of three months from the date of reference made under sub-section (3), its decisions thereon to the Central Government: 5) The decision of the Joint Committee shall be binding 0 the Reserve Bank of India, the Securities and Exchange Board of India, the Insurance Regulatory and Development Authority and the Pension Fund Regulatory and Development Authority:] Ins. by Act 26 of 2010, S.2 (w.e.f: 18-6-2010). 53 '[CHAPTER IIIF MONETARY POLICY 45Z. Provisions of this Chapter to override other provisions of Act: The provisions of this Chapter shall have effect, notwithstanding anything inconsistent therewith contained in any other provisions of this Act A5ZA. Inflation target: ~(1) The Central Government shall, in consultation with the Bank, determine the inflation target in terms of the Consumer Price Index, once in every five years. (27 The Central Government shall, upon such determination, notify the inflation target in the Official Gazette. A5ZB. Constitution of Monetary Policy Committee: -( 1) The Central Government may, by notification in the Official Gazette, constitute a Committee to be called the Monetary Policy Committee of the Bank (2) The Monetary Policy Committee shall consist of the following Members, namely: the Governor of the Bank Chairperson, ex officio; Deputy Governor of the Bank; in charge of Monetary Policy_-Member, ex officio; one officer of the Bank to be nominated by the Central Board__Member, ex officio; and three persons to be appointed by the Central Government Members. 3) The Monetary Policy Committee shall determine the Policy Rate required to achieve the inflation target. The decision of the Monetary Policy Committee shall be binding on the Bank 45LC. Eligibility and selection of Members appointed by Central Government: The Members of the Monetary Policy Committee referred to in clause (d) of sub-section (2) of section 45ZB shall be appointed by the Central Government from amongst persons of ability, integrity and standing, having knowledge and experience in the field of economics or banking O finance Or monetary policy: Provided that no person shall be appointed as a Member, in case such person has completed the age of seventy years on the date of appointment as Member; (ii) is a Member of any Board or Committee of the Bank; (iii) is an employee of the Bank; (iv) is a public servant as defined under

Section Section 3