Govt sets up high-level banking panel under Suresh N. Patel

contact and agreement banking concept, Credit Officers using smart phone to Contact customers to approve home loans.AI Quick ReadNew Delhi: The Centre on Friday constituted a high-level committee to review India's banking sector and recommend structural, institutional, regulatory and legislative reforms to make it globally competitive, financially inclusive and resilient by 2047, the Union finance ministry said in a statement on Friday.

The panel will be chaired by Suresh N. Patel, former central vigilance commissioner, and will have three members: Shirish Chandra Murmu, deputy governor of the Reserve Bank of India (RBI); Padmaja Chunduru, former managing director and chief executive of Indian Bank; and N.S. Vishwanathan, former deputy governor of RBI, the statement said.

The joint secretary (banking) in the department of financial services (DFS) will be the member secretary. The committee will have a tenure of six months.

In her Union Budget 2026-27 speech, Union finance minister Nirmala Sitharaman had announced the setting up of a high-level committee on banking to comprehensively review the sector and align it with the requirements of a developed India by 2047.

The proposed review was aimed at assessing the banking sector's preparedness to support the country's next phase of economic growth while ensuring financial stability, inclusion and access to credit.

The committee has been tasked with examining existing banking practices and prudential norms, identifying global best practices and recommending a roadmap for developing globally competitive Indian banks.

It will also review the regulatory and legal frameworks governing banks, including regional rural banks and cooperative banks, and suggest reforms to improve operational efficiency and ease of banking.

The panel will assess the long-term capital requirements of banks, development financial institutions and non-banking financial companies (NBFCs), and recommend funding sources and mechanisms to support credit growth. It will also examine differences in the cost of capital for businesses and suggest policy measures to boost private investment and support sustainable growth.

The terms of reference also include preparing a roadmap for artificial intelligence and digital innovation in banks, with safeguards against cyber risks. The committee will recommend strategies for talent acquisition and capacity building to prepare the banking workforce for future requirements.

Further, it will review the priority sector lending framework and the Lead Bank Scheme to assess their relevance, effectiveness and coordination in ensuring inclusive, balanced and data-driven credit delivery in line with evolving economic priorities and financial inclusion goals.

Harsh Kumar is a policy reporter at Mint (HT Media Group), where he covers the Ministry of Commerce and Industry along with key departments of the Ministry of Finance, including the Department of Economic Affairs (DEA) and the Department of Financial Services (DFS). With over five years of experience in business and economic journalism, he has developed strong expertise in tracking policy developments and their wider economic impact.<br><br>He has previously worked with Business Standard, Moneycontrol, and Outlook Money, where he reported extensively on banking, financial services, and the broader economy. Over the years, he has built a reputation for delivering accurate, insightful, and impactful stories, supported by a keen eye for detail and a consistent track record of breaking exclusive news.<br><br>An alumnus of Jamia Millia Islamia, Harsh closely follows regulatory changes and key economic trends shaping India’s financial and industrial landscape. His reporting aims to simplify complex policy issues for a wider audience while maintaining depth and credibility.<br><br>Outside of work, he enjoys tracking policy developments, finding scoops, and travelling, reflecting his curiosity about how economic decisions shape everyday life.

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