Viksit Bharat Banking Panel: Centre Plans High Level Banking Panel for Viksit Bharat 2047

Viksit Bharat Banking Panel: The Centre is preparing to set up a high level committee to examine how India’s banking sector should evolve to support the Viksit Bharat 2047 vision, Union Finance Minister Nirmala Sitharaman said.

Speaking at a conference of public sector banks, Sitharaman said the proposed panel would look at the changes needed in banking over the next 20 years and suggest measures to strengthen the sector for the country’s future economic requirements.

She also asked heads of public sector banks to share their ideas and recommendations on reforms that could make the banking system better prepared for the years ahead.

According to Sitharaman, India has roughly two decades left to work towards the Viksit Bharat target. She said that makes it important for banks to start preparing now rather than waiting for future challenges to emerge.

The Finance Minister pointed out that non performing assets are currently at a low level. In her view, this creates a favourable environment for the banking industry to focus on longer term reforms and support the next phase of economic growth.

The Department of Financial Services has identified seven broad areas for discussion at the banking conclave. These include improving banking access for young people, encouraging investment, supporting global capability centres and expanding credit to priority sectors.

The restructuring of the credit card business is also among the issues being considered. Sitharaman stressed that banks should pay particular attention to younger customers and take India’s changing demographic profile into account while preparing their business strategies.

The proposed committee is expected to examine these challenges from a longer perspective and suggest measures that can help the banking sector keep pace with India’s economic ambitions.