New Delhi, Oct 30 The government has set up a high-level committee to assess the current banking practices as well as suggest reforms, including preparing a roadmap for AI and digital innovation.
The ‘High Level Committee on Banking for Viksit Bharat’ will be chaired by former Central Vigilance Commissioner Suresh N Patel.
RBI Deputy Governor Shirish Chandra Murmu, former deputy governor N S Vishwanathan, and former Indian Bank MD Padmaja Chunduru will be part of the panel, which was initially announced in the Union Budget 2026-27.
The committee will have a tenure of six months, the finance ministry said in a release on Friday.
The panel will assess the present banking practices and prudential norms, identifying global best practices, and adapt them suitably for the Indian banking system, while also providing a roadmap for creating globally competitive banks.
Besides, it will “review the existing regulatory and legal frameworks for banks, including Regional Rural Banks and Cooperative Banks, and suggest reforms to bring in efficiency and enable ease of doing banking for Viksit Bharat”, the release said.
Other Terms of Reference (ToR) of the panel include assessment of the long-term capital requirements for banks, including Development Financial Institutions and Non-Banking Financial Companies, with recommendations on funding sources and enabling mechanisms to support credit growth.
It will also examine differences in the cost of capital for businesses and suggest policy options to boost private investment for sustainable growth.
Further, the committee will prepare a roadmap for AI and digital innovation in banking institutions, while providing for safeguards against cyber risks.
Among other ToRs is to suggest a strategy for talent acquisition and capacity building to ensure a future-ready workforce for the banking sector.
The Patel-chaired committee will review the priority sector lending framework and lead bank scheme to assess their relevance, effectiveness, and coordination in promoting inclusive, balanced, and data-driven credit delivery aligned with evolving economic priorities and financial inclusion goals.
(PTI News)
