A beginning has been made to revitalize
the Public Sector Banks morale.
The issues are complex and there are
no simple answers.
Gyan Sangam is expected to be Annual Retreat.
There is a give and take policy at the Gyan
Sangam deliberations.
A dedicated Gyan Sangam website would
enable the general public also to participate in this change.
At the end of Gyan Sangam 2015, bankers
collectively resolved to improve on five points.
At the same time they demanded some
commitment from the government to improve the state of banking in the country.
State Bank of India Chairperson Arundhati
Bhattacharya made the presentation to Prime Minister Sri Narendra Modi on
behalf of all Bankers.
Quote "We as a group (all public
sector banks) have decided to adopt five major resolutions."Unquote
The five points include:
01)
a decision to re-orient the portfolios of
small public sector banks to focus on specific and differentiated niches,
02)build people capacities,
03)use of more technology (especially in the
top 30 processes),
04)strengthen risk management practises
05) strengthen the partner channels such as
business correspondents.
Financial Services Secretary, Hasmukh
Adhia, said, "This is something banks have said they will work upon...we
have specified no timelines for any of them."
At the same time, bankers have also asked
the government for some commitment which Adhia said will be looked into
"positively."
The bankers have requested the government
to move from a state-owned structure to a state-linked structure, as
recommended by the P.J.Nayak
committee report. This would entail, among other things, setting up of a
banking bureau comprising of professionals and eminent bankers to appoint and
empower individual bank boards.
Other commitments requested by the banks,
of the government include:
a)
fully empower banks on human resource related
decisions,
b)
creating
the right environment for minimal interference,
c)
strengthening
the legal framework for recovery of loans,
d)
strengthening and simplify processes for
credit insurance,
e)
eliminate
debt waivers and
f)
do
away with interest rate caps,
g)
and
finally creating the enabling infrastructure for digital banking.
Media was not allowed to cover the PM's
address. In the coming days, more details are expected to be released to the
media.
