The Cabinet has approved a proposal to introduce the Financial Resolution and Deposit Insurance Bill 2017. <br/><br/>The Bill would provide for a comprehensive resolution framework for specified financial sector entities to deal with bankruptcy situation in banks, insurance companies and financial sector entities. <br/><br/>It will pave the way for setting up of the Resolution Corporation and lead to repeal or amendment of resolution-related provisions in sectoral Acts as listed in Schedules of the Bill. <br/><br/>The legislation will also result in the repealing of the Deposit Insurance and Credit Guarantee Corporation Act, 1961 to transfer the deposit insurance powers and responsibilities to the Resolution Corporation.<br/><br/>The Resolution Corporation will protect the stability and resilience of the financial system; protecting the consumers of covered obligations up to a reasonable limit; and protecting public funds, to the extent possible.