Reserve Bank of India (RBI) Governor Raghuram Rajan said on Monday there was a need to change the management appointment process in public sector banks to make it more transparent.
The central bank is in talks with the government to improve governance in public sector banks, Dr. Rajan told a banking conference. He said problems that have emerged in recent bank scandals were due to outsourced project evaluation.
Dr. Rajan said “It’s time govt de-regulate the diesel prices in the wake of falling global crude oil prices.”
The RBI Governor further stated that the falling inflation is consistent with RBI forecast.
Dr. Rajan said “‘ Jan Dhan’ is a good scheme and its target should be universal reach and not speed and numbers.”
He further reiterated that the recent scandals call for better internal evaluation of lending process. Dr. Rajan said “banking must become more engaged and informed.”