Attrition is going to be the norm in the banking industry in the days to come, and banks should be prepared for the future, Reserve Bank of India Deputy Governor R. Gandhi said here on Friday.
“As the banking sector requires more expertise, knowledge or specialisation, it is going to be in high demand, and people will be moving from institution to institutions. Attrition is going to be the norm,” said Mr. Gandhi, while speaking at the Financial Markets Conclave, organised by National Institute of Securities Markets (NISM).
“We have been telling banks that they should now expect people to be hopping from one institution to another. The old method of developing a cadre, expecting them to continue with you for the life, is going to change,” he added.
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Mr. Gandhi said that as the economy grew, investor would be expecting more and more return. They would have to turn to capital markets and various other financial instruments, products and services. “Certainly, there is going to be a big demand for people who are well versed and well experienced,” he pointed out.
On stressed assets, Mr. Gandhi said that “we have been paying attention not just on the declared non-performing assets (NPAs) but the whole stressed accounts. We have been warning the banks that they should be looking at the entire stressed assets and not just NPAs.”
Talking on the use of leaked information from the Petroleum Ministry for trading on stock markets, the SEBI Chairman U.K. Sinha said that “We have an integrated surveillance department. If whatever you say, and if there is an iota of truth in that... my people are already working on that.....stern action will be taken.”
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