Bank Quest October - December 2019 Final PDF

(ISSN 00194921)
(ISO 9001:2015 Certified) Keb[ / Vol 90 / DebkeÀ / No 04 - अक्तूबर - दिसंबर 2019 October - December 2019
10 th
FINANCIAL INCLUSION R. K.
Tal
Mem war
ori
Lectu al
& re
FINANCIAL LITERACY
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CONTENTS From the Editor
Special Features
Beyond Risk: Policy making for an Uncertain World

-- Sanjeev Sanyal........................................................................................... 5
Speech delivered on 92nd Annual General Meeting

-- V. G. Kannan............................................................................................... 11
Financial Inclusion, Financial Literacy and the Indian Woman

-- Raiba Spurgeon.......................................................................................... 15
Financial Inclusion is only a gateway in the Economic journey

-- Lalitha Sitaraman........................................................................................ 21
The importance of Compliance in Banking

-- Rakesh Kaushik.......................................................................................... 25
Study of increasing Digital Banking & Financial Technology

Trends, Challenges and Opportunities in Indian Banking System
-- Dr. Narinder Kumar Bhasin......................................................................... 33
Banking: Sailing across the economic downturn

-- Gopal Shekhar Jha..................................................................................... 45
भारत में वित्तीय साक्षरता का प्रसार - रणनीतियाँ

-- विजय प्रकाश श्रीवास्तव.................................................................................... 51
कोर बैंकिंग सॉल्यूशन

-- सुबह सिंह यादव............................................................................................ 57
Bank Quest HONORARY EDITORIAL ADVISORY

BOARD
The views expressed in the articles and
other features are the personal opinions
of the authors. The Institute does not
Dr. Sharad Kumar accept any responsibility for them.
Dr. Rupa Rege Nitsure
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Volume 90, Number : 4 Dr. Soumya Kanti Ghosh efJe®eej uesKekeÀeW kesÀ efvepeer efJe®eej nQ ~ uesKekeÀeW Üeje
J³ekeÌle efkeÀS ieS efJe®eejeW kesÀ efueS mebmLeeve efkeÀmeer
October - December - 2019 HONORARY EDITOR
Dr. J. N. Misra
ÒekeÀej mes GÊejoe³eer veneR nesiee ~
(ISSN 00194921)
The Journal of Indian Institute of Banking & Finance October - December 2019 1
INDIAN INSTITUTE OF BANKING & FINANCE
Kohinoor City, Commercial-II, Tower-I, 2nd Floor, Kirol Road, Kurla (W), Mumbai - 400 070.
E-mail : admin@iibf.org.in
Website : www.iibf.org.in
GOVERNING COUNCIL MEMBERS

PRESIDENT Rajnish Kumar
VICE PRESIDENTS Shyam Srinivasan

MEMBERS
Malvika Sinha A. S. Ramasastri Alok Kumar Choudhary
Smita Sandhane V. G. Mathew J. Packirisamy
V. G. Kannan G. Siva Kumar Rajkiran Rai G.
Pallav Mahapatra Zarin Daruwala Ajit Ranade
Harideesh Kumar B. R. A. Sankara Narayanan Atul Kumar Goel
K. L. Dhingra Mukesh Kumar Jain
MANAGEMENT
J. N. Misra, Chief Executive Officer
Sudhir M. Galande, Deputy Chief Executive Officer
S. Muralidaran, Director - Academics
T. C. G. Namboodiri, Director - Training
S. P. Nair, Director - Member Services
Francis Xavier A., Director - Operations
MISSION O³es³e
The mission of the Institute is to develop mebmLeeve keÀe O³es³e cetueleë efMe#eCe, ÒeefMe#eCe, Hejer#ee,
professionally qualified and competent bankers and
finance professionals primarily through a process
HejeceefMe&lee Deewj efvejblej efJeMes<e%elee keÀes yeæ{eves Jeeues
of education, training, examination, consultancy / keÀe³e&¬eÀceeW kesÀ Üeje meg³eesi³e Deewj me#ece yeQkeÀjeW leLee efJeÊe
counselling and continuing professional development efJeMes<e%eeW keÀes efJekeÀefmele keÀjvee nw ~
programs.
Printed by Dr. J. N. Misra, published by Dr. J. N. Misra, on behalf of Indian Institute of Banking
& Finance, and printed at Onlooker Press 16, Sasoon Dock, Colaba, Mumbai-400 005 and
published at Indian Institute of Banking & Finance, Kohinoor City, Commercial-II, Tower-I, 2nd
Floor, Kirol Road, Kurla (W), Mumbai - 400 070. Editor Dr. J. N. Misra.
2 October - December 2019 The Journal of Indian Institute of Banking & Finance
editorial
“Poverty is not just a lack of money; it is not having the capability to
realize one’s full potential as a human being.”
― Dr. Amartya Sen (Awarded Noble Prize in Economic Sciences, 1998)
Financial Inclusion is more of a social issue which needs to be addressed by the

combined efforts of Government, Banks and other financial intermediators. For
achieving Financial Inclusion, Financial Literacy is crucial as Financial Literacy will
eventually lead to Financial Inclusion. Acknowledging the relevance of this topic, we
are bringing out the present issue of Bank Quest on the theme, “Financial Inclusion
Dr. J. N. Misra
Chief Executive Officer, and Financial Literacy.”
IIBF, Mumbai
The Institute had organised the 10th R. K. Talwar Memorial Lecture on November 22,
2019, which was delivered by Mr. Sanjeev Sanyal, Principal Economic Adviser and
Co-chair of G20’s Framework Working Group, Ministry of Finance, Government of
India on “Beyond Risk: Policy making for an Uncertain World”. We are including his
lecture as the first article of this issue.
This issue also carries the 92nd Annual General Meeting (AGM) speech delivered by
Mr. V. G. Kannan, Member, Governing Council, Indian Institute of Banking & Finance
(IIBF) & Chief Executive, Indian Banks’ Association (IBA) on August 23, 2019.
The first article on the theme of the Bank Quest is written by Ms. Raiba Spurgeon,
Research Officer, State Bank Institute of Consumer Banking, Hyderabad on
“Financial Inclusion, Financial Literacy and the Indian Woman”. This article highlights
the fact that having the access to a financial account is a great start but it does not
necessarily translate into financial inclusion unless the account is used for day-to-
day financial transactions. The author suggests that moving from financial literacy to
‘Digital Financial Literacy’ is the ideal step forward for the country in the present day
environment.
The next article of this issue is on the topic “Financial Inclusion is only a gateway”
written by Ms. Lalitha Sitaraman, Former Senior Manager, Indian Overseas Bank.
This article deals with the author’s opinion on economic inequalities and provides
suggestions to reduce the imbalance.
The next article of the issue, “The Importance of Compliance in Banking” is

penned by Mr. Rakesh Kaushik, Faculty IIBF & Former Senior Vice President, SBI
Funds Management Pvt. Ltd. This article discusses compliance issues in the light
of guidelines and directions framed by the Reserve Bank of India, the Securities &
Exchange Board of India and other Regulators. The author is of the view that these
guidelines should be followed by banks and financial institutions very seriously.
The author is of the view that the Board of Directors and the Top Managements of
Banks have to accord top priority to the compliance function and take proper steps
to ensure that the significance of compliance is understood by all officials concerned
at all levels.
The next article of the issue is on “A Study of Increasing Digital Banking & Financial
Technology Trends, Challenges and Opportunities in Indian Banking System”
authored by Dr. Narinder Kumar Bhasin, Professor, Amity School of Insurance
Banking & Actuarial Science & Former Vice President Axis Bank Limited. This article
gives us an insight about evolution of Digital Banking and discusses the Challenges
and Opportunities in Implementation of Digital Banking. The author has also reviewed
the achievements of Payment System Vision 2018 in this article.
The next article of this issue is on “Banking: Sailing across the economic downturn”
written by Mr. Gopal Shekhar Jha, Faculty, Baroda Academy-SPBT College, Bank of
Baroda. According to the author, the economy is witnessing shifts in business models,
financial requirements and service quality expectations of customers. The changing
ecosystem necessitates banks to offer innovative products, easily accessible delivery
channels along with real time monitoring.
We are also carrying two articles written in Hindi in this issue. The first Hindi article
is written by Mr. Vijay Prakash Srivastava, Faculty, Institute of Banking Personnel
Selection on “भारत में वित्तीय साक्षरता का प्रसार - रणनीतियाँ ”.
The next article in Hindi is written by Mr. Subah Singh Yadav, Former Assistant
General Manager, Bank of Baroda on कोर बैंकिंग सॉल्यूशन.
I am also happy to share with you that the Institute’s quarterly journal, “Bank Quest”
has been included in Group B of the UGC CARE list of Journals.
The year 2019 has also been an eventful year for IIBF where the Institute has taken
several initiatives to bring excellent services for its members and Banking & Finance
fraternity at large.
I wish you all a very Happy & a Prosperous New Year!
Dr. J. N. Misra
10th R. K. Talwar
Memorial Lecture
Beyond Risk: Policy making for an

Uncertain World1
*
1  Sanjeev Sanyal
Ladies and Gentleman, it is an honor to deliver the economic policymaking. The “panics”, bank failures
R. K. Talwar Memorial Lecture. The late Raj Kumar and financial crises of the 19th and 20th century led to
Talwar is one of the most distinguished bankers the evolution of key institutions such as central banks
in the history of Independent India. He was born in as well as a large body of regulations and policies
1922 and joined the Imperial Bank of India in Lahore meant to avert and mitigate the impact of financial
in November 1943 as a Probationary Assistant. He system breakdowns. Although central banks, finance
would rise through the ranks to head the institution, ministries and international organizations did learn
now known as State Bank of India, in 1969. from each other, most of the regulatory and policy
frameworks were national till the nineteen-eighties.
As the Chairman of State Bank of India, he managed
India’s largest bank during particularly turbulent In 1988, an internationally accepted framework was
times. I am sure he would have thought a great adopted that demanded some minimum standards
deal about the issues that I am about to highlight in to be met by banks (instead of the patchwork of
this lecture. In particular, he would have wondered national regulatory frameworks). Now known as
about the problem of navigating through the fluid Basel I, it introduced the concept of regulatory capital
uncertainty of a world buffeted by unpredictable that is aligned to a bank’s balance sheet - Capital to
shocks, unintended consequences, butterfly effects, Risk Weighted Assets Ratio (CRAR). This approach
and unknowable interlinkages. Note that this is about was further enhanced by Basel II norms introduced
how to deal with “unknown unknowns” and “known in 2004 that demanded greater granulation of risks
unknowables”. As we shall see, this is quite different faced by a bank’s balance-sheet. Capital charges
from the problem of dealing with known or quantifiable were made for credit risk, market risk and operational
risks. As economist Frank Knight famously put it: risk. However, the Global Financial Crisis of 2007-
“Uncertainty must be taken in a sense radically 08 exposed the inadequacies of the approach. In
distinct from the familiar notion of Risk, from which response, a new and more demanding set of norms
it has never been properly separated.” This lecture is were adopted in 2010. Known as Basel III, most of
about how policies and regulations for dealing with these capital requirements have been implemented
Uncertainty are fundamentally different from those in phases in India since April 2013.
required for dealing with Risk.
Basel III norms did not merely introduce more stringent
The issue of dealing with financial sector quality and quantity requirements for regulatory
vulnerabilities has long been a central theme in capital, it made several innovations. For instance, it
*
Principal Economic Adviser and Co-chair of G20’s Framework Working Group, Ministry of Finance, Government of India.
1
The author is grateful to Dr. Krishnamurthy Subramanian, Chief Economic Adviser, for his comments and suggestions. He would also like
to thank his research team of Arpitha Bykere, Mahima and Aakanksha Arora for their valuable inputs.
introduced an additional layer of common equity - the analysts in rating agencies to work out the probability
capital conservation buffer - as well as introduced a of default. The belief is that it is mostly a matter of
leverage ratio that required banks to have a minimum adequately incentivized rating agencies to delve ever
level of loss-absorbing capital relative to all of the deeper into balance-sheets and create even more
banks’ assets irrespective of risk weighting. Another elaborate excel-sheet models.
innovation was to take into account system-wide
The problem is that financial systems are not merely
risks. Known as “Macro-prudential norms”, Basel
subject to known and quantifiable risks but to the pure
III imposed additional requirements on systemically
uncertainty of “unknown unknowns” and of “known
important banks as well as a counter-cyclical capital
unknowables”. The former derives from geopolitical,
buffer that is meant to balance out credit cycles
political, technological, economic, and other shocks
(although the exact working of this approach is yet
that simply cannot be predicted or quantified in any
to be tested).
meaningful way. The latter is related to factors that
It is fair to say that the roll out of the Basel III norms cannot be resolved due to inherent information gaps
have led to a more systematic approach to risk-taking and asymmetries (for instance, the “moral hazard”
by banks internationally and have forced them to problem of monitoring management behavior).
become better capitalized. In India, the roll out of Moreover, note that all the above factors interact with
the Basel III norms since 2013, in a phased manner, each other in multiple, non-linear ways. Second and
coincided with the introduction of the Insolvency and third-order feedback loops result in complex and
Bankruptcy Code in 2016 as well as the imposition of unpredictable evolution of outcomes.
much more stringent asset quality recognition. While
Financial systems are complex adaptive systems that
these changes did cause disruptions in the wider
are constantly evolving in an unpredictable world. This
economy, the Indian banking system is arguably
is just as much a world of indeterminable uncertainty
healthier today than it was at the beginning of the
as of quantifiable risk. The introduction of rigid and
decade.
prescriptive regulations aimed only at risks are not
This audience will be familiar with the story thus far merely inadequate but may have harmful unintended
but I am now going to wade into trickier issues. It may consequences from an uncertainty management
not be obvious, but the general philosophical basis perspective. For instance, one can argue that sudden
of the Basel approach is that risks faced by banks growth of “shadow banking” across the world is partly
are generally known or at least quantifiable. This is due to the imposition of stricter norms on banks. The
why it prescriptively assigns risk weights to classes of result is that financial sector vulnerability has simply
assets. As pointed by Anat Admati and Martin Hellwig shifted to the unregulated part of the system. This
(2015), “the system of risk weights we currently have is not to argue that Basel III should be rolled back,
has more to do with politics and tradition than with but to point out that the current approach has its
science”. For instance, home country sovereign debt limits. Rather than stumble into ever more stringent
enjoys zero risk-weight but the Greek default of 2012 regulations, perhaps the time has come to take a
demonstrated clearly the flaw in this thinking. Even wider view of the matter. The following is a list of some
when Basel III allows for external assessment of risk, it of the issues that need to be considered:
presumes that it is only a matter of encouraging credit
1) Supervision versus Regulation: There has been focused on repeated failure of rating agencies to
a tendency to treat regulation and supervision predict credit events and the consequent need
as being broadly the same thing or at least for aligning incentives. Perhaps the real problem
substitutes. However, there is a big difference is that we are taking the forecasting abilities of
between the rule bound approach of regulation rating agencies too seriously. Are we the victims
and the business of active supervision. In a of what economist Friedrich von Hayek termed
fluid and unpredictable world, we need to take the “pretense of knowledge”? Perhaps, we
the latter just as seriously. Yet, the emphasis should recognize that rating agencies have only
worldwide has been almost entirely on regulation limited capability of predicting the future course
even though the norms were set up by a group of outcomes. Hardwiring risk weights and credit
ironically called the Basel Committee on Banking ratings is not just leading to false quantification of
Supervision. For instance, almost all the banking unknown unknowns, but unnecessarily inserting
sector scandals in India of the last couple a self-reinforcing feedback loop where a change
of years were due to failures of supervision, in credit rating influences the credit event. No
and not due to lack of regulations. Even more amount of fixing incentives of rating agencies
regulation would not have averted the problems. will solve for this. This is not to argue that rating
One could argue, of course, that we need more agencies cannot play a useful role in quantifying
of both but we need to be careful here. There risk or that their incentives structure should not be
will always be limited resources and we do realigned, but merely to point out their limitations
need to think about trade-offs. Indeed, ever when dealing with uncertainty.
more regulations can shift attention to mindless
3) Genetic diversity: Closely related to the above
box ticking and make the financial system rigid
problem is that of genetic diversity in the ways
and opaque. Perhaps the time has come to
banks manage risk. Banks used to be allowed
discuss the institutional capacity and incentives
to manage their risk based on their internal
of regulators rather than the imposition of more
assessments and models. It was found that this
stringent rules. This realization is finally dawning
led to gaming (or “optimization” if you prefer
on the Basel Committee and it has issued a list of
the euphemism) of the system, and therefore
Core Principles for effective banking supervision.
standardized models were imposed. This may
My own reading of the current formulation of
be good for discouraging gaming although
the principles is that they are too general to be
standardized models too can all be “optimized”.
effective, but at least it is a start.
Worryingly, however, all banks around the world
2) The role of Rating Agencies: One of the results now manage their risk in roughly the same way.
of the Basel approach has been to make credit In an unpredictable world buffeted by what
ratings by rating agencies a part of the regulatory Nassim Taleb calls “Black Swans”, it is only a
framework. Before this, they were merely matter of time before the global financial system
educated opinions that could be used as an is hit by a shock that was not anticipated by
input for investment decisions. The change has these standardized models. Lacking diversity,
not gone unnoticed but most of the criticism has many parts of the financial system will fail at the
same time. This is akin to what happens when lot of actions of key financial system players are
an epidemic hits a biological system lacking not directly observable and, given the inherent
genetic diversity. There is some evidence that the riskiness and uncertainty of outcomes, it is not
widespread use of similar Value-at-Risk models easy to hold the players accountable. One way
had contributed to the Global Financial Crisis to circumvent this problem is to ensure that
2008 by encouraging a form of herd-behavior. decision-makers have “skin-in-the-game”. This
In other words, what may be good for managing can be introduced at multiple levels in order
Risk may be poor for the problem of managing to ensure alignment of incentives. One area
Uncertainty. that has attracted a lot of attention since the
Global Financial Crisis of 2008 is management
4) Risk Shifting & Shadow Banking: One of the
compensation. You will all be conversant with
unintended consequences of the imposition of
the debates over variable compensation, claw-
stricter regulations and capital requirements
backs, delayed encashment and so on. In
on banks has been the explosive expansion of
the first week of November, RBI issued new
“shadow banks”. This is a global phenomenon
guidelines for private bank CEO remuneration.
and has taken many different forms in different
However, the same skin-in-the-game argument
parts of the world. In India, it translated into the
could apply to shareholders. Scholars like Prof
rapid growth of non-banking finance companies
Anat Admati of Stanford have often argued
(NBFCs). It is quite clear that we need to impose
that capital requirements should just focus on
more regulation and transparency on NBFCs, but
the equity capital base and leverage as this
let us also be aware of the trade-off. If we impose
represent the true loss absorption capacity of a
heavy bank-type regulations on existing NBFCs,
bank. One could equally argue that having more
we will either be shutting off capital availability to
equity at stake would make shareholders much
a significant part of the economy or we will be
more cautious and long-term oriented.
shifting systemic risk to yet another part of the
financial system. By chasing risk-taking into the 6) Board of Directors & Corporate Governance:
less regulated and non-transparent recesses of The problems of moral hazard, unknowables and
the financial system, we are effectively converting uncertainty brings us to a gamut of old-fashioned
Risk into Uncertainty. There is no easy solution to solutions – corporate governance, the culture of
this wider issue, and only an intelligent regulatory compliance and the role of the board of directors.
trade-off combined with flexible and active As RBI Deputy Governor Shri. M. K. Jain said in
supervision can be made to work. a recent lecture: “Sound corporate governance
and compliance culture will permit the supervisor
5) Skin in the Game: The previous points were all
to place more reliance on the bank’s internal
about unknown unknowns. However, there is also
processes. In this regard, supervisory experience
the issue of known unknowables – particularly
underscores the importance of having appropriate
those related to moral hazard and irresponsible
levels of authority, responsibility, accountability
behavior. This can apply to managements as well
and checks and balances within each bank”. I
as shareholders. The problem arises because a
have directly quoted him as I could not have put
it more succinctly. Let me add, that the Board of it is not possible to write complete contracts
Directors of a bank, or any corporate institution (and by extension regulations) for every future
for that matter, is the first line of defense. Sadly, contingency. Thus, we are fruitlessly adding ex
it is just not taken seriously enough in India, ante complexity in order to solve for failures of
especially the role of independent directors. Do we ex-post resolution and enforcement.
need more stringent regulation of directorships?
The above list is neither exhaustive nor are the issues
Perhaps to an extent, but simply using the stick
unique to India, although some may be more important
will not work here as it will merely discourage
in the Indian context. The idea was to briefly illustrate
good quality people from participating. We need
how the framework for thinking about Uncertainty is
a serious national debate on how to attract talent
radically different from that needed for Risk. In this
to corporate boards, including those of banks,
lecture, I have applied the framework exclusively to
and provide appropriate incentives.
the issue of managing the financial sector and the
7) Insolvency, contract enforcement & dispute limitations of the Basel-type approach, but this line of
resolution: All the above issues relate to ex ante thought, based on complexity theory, can be applied
ways of dealing with the problem of uncertainty. to fields as diverse as urban design and industrial
However, even with the best management policy. Since we live in a world that is complex,
systems, things will inevitably go wrong. evolving, non-deterministic, and unpredictable, we
Therefore, ex post resolution and recovery is cannot make policies and regulations that make a
critical. In an uncertain world, no amount of ex ante “pretense of knowledge”. There is no escape from
risk analysis and management can compensate active management/supervision, skin-in-the-game,
for this. The introduction of the Insolvency and ex post resolution and old fashioned values such as
Bankruptcy Code in 2016, and its implementation corporate culture.
since 2017, are important steps in this direction.
References & Readings
Nonetheless, India continues to perform poorly
in contract enforcement and dispute resolution. • “Some Thoughts on Credit Risk and Bank Capital
With some 35 million pending cases, the legal Regulation”, address by RBI Deputy Governor
system is clogged. The World Bank’s Ease of N.S. Vishwanathan XLRI Jamshedpur, October
Doing Business rankings promoted India from 2019.
142nd in 2014 to 63rd in 2019. However, the sub- • “The Parade of Bankers’ New Clothes Continues:
ranking for contract enforcement places India at 31 Flawed Claims Debunked”, Anat Admati and
163rd place out of 190 countries. It can be argued Martin Hellwig, Revised online version, December
that this is now the single biggest constraint on 2015
India’s economic and financial health. The way in
• “Core Principles for Effective Banking
which we currently try to circumvent this problem
Supervision”, Basel Committee on Banking
is by making ever more complex regulations
Supervision, BIS, effective January 2019.
and contracts. However, as we know from the
work on “incomplete contracts” by economists • “The Pretense of Knowledge”, Friedrich von
like Oliver Hart that, in a world of uncertainty, Hayek, Lecture in Memory of Alfred Nobel, 1974
• “Rethinking Financial Stability”, David Aikman, • “The Missed Opportunity and Challenge of
Andrew Haldane, Marc Hinterschweiger & Sujit Capital Regulation”, Anat Admati, Stanford
Kapadia, Staff Working Paper no: 712, February University, December 2015
2018
• “Strengthening and Streamlining Bank Capital
• “Non-Bank Finance Companies in India’s Regulation”, Robin Greenwood. Samuel Hanson,
Financial Landscape”, RBI Bulletin October 2017 Jeremy Stein & Adi Sunderam, Brookings Papers
on Economic Activity, September 2017.
• “Danger Posed by Shadow Banking Systems to
the Global Financial System – The Indian Case”, • “Regulatory and Supervisory Expectations on
Address by RBI Deputy Governor R. Gandhi, Compliance Function in Banks”, RBI Deputy
ICRIER Annual Conference, August 2014. Governor M. K. Jain IBA Annual Global Banking
Conference, August 2019.
• “Constraining Discretion in Bank Regulation”,
Andrew Haldane, Bank of England (paper 
presented at Federal Reserve Bank of Atlanta
Conference, April 2013).
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92nd AGM Speech
Speech delivered on 92nd Annual

General Meeting
 V. G. Kannan*
Ladies and Gentlemen, the logistics arrangements and identification of the

centres will be done by the banks. The frequency for
It is my pleasure in welcoming you all to this 92nd
conducting the exam will be decided by the banks in
Annual General Meeting of the Indian Institute of
consultation with the Institute.
Banking & Finance. The report of the Council and the
audited accounts for the year 2018-19 have already RBI has designated IIBF as the certifying agency
been circulated and with your permission, I take them for the Payments Banks also. A separate certificate
as read. examination for the BCs of the Payments Banks has
also been designed.
Before I proceed with the highlights of the Institute’s
performance, I would like to share certain important Capacity Building Courses for Bank Officers
developments and events that took place during the In today’s competitive banking environment, it is
financial year 2018-19. imperative that bankers keep themselves abreast of
Certification of Business Correspondents of the latest developments in the banking and finance
Banks domains. The Reserve Bank of India had therefore
mandated acquiring qualifications in the areas of
RBI, vide their letter dated 3rd October 2018, has
Credit Management, Risk Management, Treasury
identified IIBF as the sole certifying authority for the Management, Accounting and Foreign Exchange
Business Correspondents (BCs) of banks. Timelines Operations. IIBF was one of the Institutions whose
for certifying the BCs have also been laid down. courses were identified for this purpose. In this
For ensuring seamless certification of the BCs, connection, I am happy to state that IIBF is the only
the Institute has published the courseware in 11 institute which offers courses covering all the above
languages and the examination is also held in 11 areas identified by RBI.
languages. In order to help the BCs to understand the In order to help the banks in building up the capacity
subject better, video lectures, in Hindi and English, levels of their staff, the Institute took the following
covering the courseware have also been recorded initiatives.
and have been placed on the You Tube channel of
a. The exam frequency for the capacity building
the Institute.
courses namely Credit Management, Treasury
In consultation with RBI, different models for Management, Risk Management is monthly and
certification of BCs of the banks have been designed. being conducted at more than 100 locations PAN
One of the models is the Hybrid Model. Under this, India.
*Member, Governing Council, IIBF & Chief Executive, Indian Banks' Association (IBA).
The speech was delivered on August 23, 2019 at 92nd Annual General Meeting of Indian Institute of Banking & Finance(IIBF).
b. In addition to the physical classroom training was held in July 2018. The Institute also introduced
offered to candidates, the Institute introduced two certificate courses: one on Ethics in Banking to
a Virtual Classroom Training (VCRT) for these sensitise bankers on the inter linkage of one’s own
courses. This has enabled the Institute to reach ethical behaviour with the institution’s reputation and
out to a larger audience without diluting quality. the other on Small Finance Banks (SFBs) to cater
The cost of training under the VCRT mode has to the requirement of existing staff and prospective
been absorbed by the Institute, thus reducing the employees of SFBs. A core component of the subject
cost of certification from Rs. 15,000 to Rs. 6,000. ‘Ethics in Banking’ has also been included in the JAIIB
syllabus in order to reach out to a large population of
Owing to the above initiatives, enrolments for the bankers.
capacity building course have seen a good increase.
Self-paced e-learning courses
International Conference 2018
With rapid progress in technology and advancement
To commemorate completion of 90 years of dedicated in learning systems, E-learning has been embraced
service to the banking industry, the Institute organised by the masses, a formalised teaching system with
an International Conference on 25th September the help of electronic resources. E-learning has been
2018 at Mumbai. The theme of the conference was developed by the Institute for some of its subjects and
“Banking: Stepping into the next decade.” The is made available to the candidates registering for the
conference comprised of two panel discussions; examinations, as an additional pedagogical tool. To
the plenary session being “CEO Speaks” and the further diversify its portfolio of offerings, the Institute
second session on “Economists’ Speak.” There was has developed a new mode of certification called the
also a brief talk on the establishment of the Global Self-paced e-learning cum certification courses. In the
Banking Education Standards Board (GBEStB). The first phase, two courses namely “Ethics in Banking”
conference concluded with the 35th Sir PTM Lecture and “Digital Banking” have been introduced.
also being held on the same day. The speaker, Dr. Now, let me share the highlights of the Institute’s
Tarun Khanna, Jorge Paulo Lemann Professor, performance.
Harvard Business School, Director, Lakshmi Mittal
Financial Performance
and Family South Asia Institute, Harvard University
delivered his speech on “Trust as the Foundation The balance sheet of IIBF as on 31st March 2019 at
for Finance”. A special edition of the Bank Quest, a Rs. 509.57 crore registered an increase of 15% over
quarterly journal of the Institute, which focused on the the previous year. The income of the Institute during
theme of the Conference was also released during 2018-19 at Rs. 113.31 crore witnessed an increase of
the Conference. Articles on the theme, received around 10% over the previous year. The Institute has
from both national and international experts, were made a surplus of Rs.59.22 crore, an 18% increase
published in the journal. The conference was well from the previous year. The amount transferred to the
General Reserve was Rs. 59.19 crore.
received with good participation from bankers.
Membership
Launching of New Certificate / Diploma Courses
The number of Ordinary Members was 8,86,580 as
The Institute launched a certificate course on
on 31st March, 2019. During the year, 46,606 new
“Accounting and Audit” and the first examination
members joined the Institute.
Examinations Professional, Certified Credit Professional and
Certificate in Risk in Financial Services. The mock test
About 3 lakh candidates had enrolled for the Flagship
can be taken by any candidate subject to payment of
/ Associate Examinations conducted by the Institute.
a nominal fee.
It is indeed a matter of pride for all of us that a sizeable
number of candidates appear for the flagship courses HR Meet
(JAIIB, CAIIB and DB&F) offered by the Institute. This The annual meet of the Heads of HR/Training of
helps the banks to have well qualified personnel Banks was held at the Corporate office of IIBF on
manning different banking verticals. 13th February 2019. This meet helps the Institute in
The total enrolments under the blended and certificate understanding the requirements of the bankers which
courses have also witnessed a good increase. culminate in developing new courses.
As a part of this meet, an interactive integrity session
Study Support Services
was also organised by the Institute in association with
In order to make distance learning a value proposition, Chartered Institute for Securities & Investment (CISI)
apart from publishing a courseware, the Institute London. Mr. Kevin Moore, Director, CISI, London took
provides academic support in terms of e-learning, the session and walked the participants through case
video lectures, mock tests; regular subject updates studies involving ethical behaviour.
and condensed RBI Master Circulars / Directions on
Seminars
its website, a daily e-newsletter “FinQuest”, a monthly
newsletter (IIBF Vision), a quarterly publication (Bank A one-day Seminar on Block Chain Technologies,
Quest) and contact classes. These initiatives have Artificial Intelligence and Robotics Automation
been received well. processes was held on 20th February 2019 at the
Leadership Center, IIBF. The objective of the seminar
Video Lectures was to create an awareness on these new areas
The Institute had prepared video lectures for all the among the banking fraternity. Well informed and
3 subjects of JAIIB / DB&F, 2 compulsory subjects leading IT experts like Mr. Peter Wihman- Microsoft
of CAIIB and for the certificate examination for the APAC and Mr. Rohas Nagpal from Primechain
Business Correspondents. The video lectures for the Technologies, Pune, addressed the gathering.
JAIIB, DB&F and CAIIB courses were updated during To create a greater level of awareness amongst
2018-19. bankers about the activities of IIBF in the banking
education space and implementation of the BCSBI
Mock Test
Codes and Rights of Banks’ Customers, the Institute
Mock test is an effort to simulate examination organised a Bankers’ Awareness Meet, in association
conditions and gives an opportunity to candidates with Banking Codes and Standards Board of India, at
to familiarise themselves with the pattern of on-line the Indian Institute of Bank Management, Guwahati
examinations. Such tests provide a feel of the MCQ on 20th December 2018.
pattern of the examination.
Another seminar on Professionalism & Ethics was also
Mock Test facility has been made available for JAIIB, organised by the Institute on 22nd June 2018 to create
DB&F, CAIIB (compulsory subjects) as also for three awareness amongst bankers on proper conduct
of its specialised courses, namely, Certified Treasury and application of values of integrity, accountability,
honesty in the workplace as individuals and in a Study Tours by Foreign Bankers
group.
A group of delegates of senior Bankers from Nepal,
Social Media sponsored by National Banking Institute, Kathmandu,
visited IIBF Campus in June as a part of their visit to
The Institute has its own Facebook page and YouTube
select Indian Banks.
channel. The number of subscribers have crossed
100,000 in Facebook and more than 200,000 views A delegation of 12 senior bankers of Egypt sponsored
on the YouTube channel of the Institute. by Egyptian Banking Institute (EBI), Cairo, Egypt
visited India during Sept 2018 as a part of the study
Memorial Lecture
tour on best practices in IT and Digital payment
The 9th R K Talwar Memorial Lecture was organised initiatives followed by Indian commercial Banks.
by the Institute on 8th August 2018 at the State Bank
Another team of 22 Egyptian Bankers visited India in
of India Auditorium, Mumbai in association with State
a Study Tour on “Financing of Agriculture and MSME
Bank of India. The lecture was delivered by Dr. Bibek
Sectors by Banks in India” during January 2019. The
Debroy, Chairman, Economic Advisory Council to the
members of both teams and EBI highly appreciated
Prime Minister and Member, NITI Aayog. The topic of
the efforts of the Institute in this regard.
the lecture was “The Reform Agenda.”
IT Initiatives
Training Highlights
All the activities undertaken by the Institute are in
The Institute conducted 173 training programmes
the on-line mode. While continuing to take further
during the year 2018-2019 in different areas at the
initiatives in this regard, the Institute is also in the
Leadership Centre and at the PDCs at Chennai,
process of implementing Digitally Signed Certificate
Kolkata and New Delhi. The Institute also conducted
for all the examinations to replace the paper based
35 customised training programmes in different areas
manual certificates.
for 10 Banks/FIs, which included 3 foreign banks/
Institutions. The Institute has been able to scale newer heights
mainly due to the support received by it from its
Advanced Management Programme (AMP) in
members. The contribution by the staff of the Institute
Banking & Finance
towards its overall development also needs a special
Advanced Management Programme in Banking & mention.
Finance (AMP) is a prestigious course offered by the
Proposal
Institute for developing and nurturing future leaders of
the industry in consonance with the Vision statement Now I propose that the Report of the Council and
of the Institute. The participants of this programme audited statement of Accounts of the Institute for the
are from all groups of banks - public sector, private year ended 31st March 2019 be adopted and passed.
sector and co-operative apart from foreign banks and
Thank you for your kind attention.
new generation banks. Financial Institutions have
also sponsored participants for AMPs. Seven batches

of this programme have been completed. The VIII
batch is in progress.
Financial Inclusion, Financial Literacy
and the Indian Woman
 Raiba Spurgeon*
Figure I : Active vs. inactive accounts

Introduction
In India almost half of account owners have an
While presenting her maiden budget, Ms. Nirmala account that remained inactive in the past year
Sitharaman, Union Minister of Finance and Corporate
Affairs quoted Swami Vivekananda’s letter to Swami Afghanistan
Ramakrishna in which he had said, “There is no chance Bangladesh
for the welfare of the world unless the condition of
India
women is improved”. Offering various sops focused
on empowerment of women, Ms. Sitharaman said
Nepal
that India can progress and grow only with greater Pakistan
participation of women. Gender budgeting, a concept Sri Lanka
that was proposed in the mid- 1990s, was adopted 0 20 40 60 80
by India in 2005-06 and has been part of India’s Made at least one deposit or withdrawal
annual budget presentation for the last 15 years. It in the past year
Made no deposit and no withdrawal in
is a powerful tool aimed at gender mainstreaming in
the past year
order to ensure that benefits of development reach Source: Golbal Findex database
women as much as men. Gender budgeting entails
assessment of Government budgets to establish
Official reports from the Ministry of Finance, indicates
gender differential policy impacts and to ensure that
that more than 37 crore accounts have been opened
gender commitments are translated into budgetary
under the Pradhan Mantri Jan Dhan Yojana scheme.
commitments.
Of these, 19.71 crore accounts have been opened by
As per the data from the Economic Survey of India for women. On paper, the numbers may add extensively
2018-19, the proportion of women having a bank or to India’s ambition of total financial inclusion, but one
saving account that they themselves use and control must realise that there may not always be strength
has increased from 15.5% in 2005-06 to 53% in 2015- in numbers. As on 23rd January 2019, around 15% of
16. While this is a tremendous achievement in the the Jan Dhan accounts were zero-balance accounts,
roadmap towards India’s Sustainable Development and while 84% of the accounts were stated to be
Goals, it is important to critically analyse the ‘real’ ‘operative’1 there is no clarity on the actual level of
level of financial inclusiveness that has happened. operations that is being carried out in these accounts.
*Research Officer, State Bank Institute of Consumer Banking, Hyderabad.

1
An account is deemed to be operative if atleast one transaction is conducted in the account in a span of two years.
Moving from Financial Inclusion to Financial While having access to a financial account is a great
Literacy start, it does not necessarily translate into financial
inclusion unless the account is used in day-to-day
The World Bank recently published the results of its
financial activities. While financial inclusion focuses
Global Findex Survey (2017) in which the extremely
on generating more banks accounts and providing
low utilization of accounts has been pointed out.
access to formal banking facilities, financial literacy
Globally, one-fifth of bank accounts are inactive- with
stresses on expanding one’s knowledge of financial
neither a deposit nor a withdrawal in the past 12
products and services. Hence, while financial
months (data as on July 2017). According to the study,
inclusion is a quantitative and restricted measure of
while 80% of Indian adults now have a bank account,
development, financial literacy is a qualitative and
this fast progress is accompanied by increase in the
expansive measure of development and sustainability.
percentage of inactive accounts, as 48% of bank
Financially literate people are more likely to explore
accounts saw no deposit or withdrawal activity in
financial products and services offered by various
2017, compared to 44% in 2014. This gap in financial
banks, can understand which products suit their
access and usage is even more telling for females.
needs and are able to use those products effectively
Just as countries focus on opening new accounts, it is
for their benefits. In order to make the population
also necessary for them to focus on extending access
more financially literate, financial services have to be
to finance to the segments of population that are most
tailored, especially to the needs of first-time users.
difficult to reach- the women, the poor and the rural
These novice users will, in the beginning, need
population. Unless a broader gender inclusive policy
customized and user-friendly products that help them
is put in place and acted upon, policies providing
conduct basic financial transactions on their own.
only an entry to formal finance will fail. Emphasizing
Once they are comfortable using formal financial
on financial literacy as a more comprehensive step to
services, financial literacy services that explain a host
financial inclusion is one way of moving forward.
of savings and investment products may be provided.
Figure II: Gateway to Financial Inclusion
Source: World Bank
A Global Perspective in their financial standing. Women also tend to have
lower debt literacy and so end up borrowing from
A Global Perspective
informal and high-cost sources like moneylenders
The Standard & Poor’s Ratings Services Financial and pawn shops.
Literacy Survey (Dec 2015), one of the most
Women have been socially conditioned to think that
comprehensive financial literacy surveys conducted
they are bad with money, which is ironic considering
they are the gender that is most engaged with
The gender gap in account ownership
family health, well-being and security. A UBS study
persists in developing economies
(conducted between Sept 2017 and Jan 2019) of
Adults with an account (%)
high net worth women from developed countries
100 found that while 85% women managed day-to-day
expenses, only 23% of them were engaged in long
80 High-income economies
term financial planning that included investments,
60 retirement and emergencies. The female’s distance
from finance and investment starts as a child, when
40 Developing economies she depends on her father for any financial needs and
continues into adulthood, when she depends on her
20
spouse for her investment needs. True equality comes
0 with financial empowerment- financial knowledge,
2011 2014 2017
decision- making skills, financial success and better
Men Women opportunities.
Source: Global Findex database. Financial Literacy in India
While the developed world is struggling with closing

globally, has found that financial illiteracy is gender gaps in financial literacy and financial
widespread. Only one in three adults have an empowerment, India is still making headway into
understanding of basic financial concepts. To add financially including her women. The latest Global
to this, there is strong evidence that women around Findex Survey shows that gender gap in account
the world lag far behind men in financial literacy. ownership in developing countries persists. The S&P
Surprisingly, the gender gap is independent of a Financial Literacy study (Dec 2015) had emphasized
country’s income level, financial market development on the seven-point gender gap between financially
or institutional setup. While women earn less and save illiterate Indian men and women as compared to
less, they are as responsible for their living expenses the five-point gap worldwide. Further, it was pointed
as men. In fact, since they live longer, they incur out that Indian women were far ahead of the world
in terms of financial illiteracy. 80% of Indian women
additional costs, which is, in many cases, not set off
were financially illiterate as compared to 65%
by a planned investment or insurance. Further, they
women worldwide. In a large economy like India, it
end up being unprepared for any sudden change
is important to take into account her diverse cultures,
socio-economic differences, urban-rural divide and Government Organisations (NGOs) have also been
rich-poor gap when pushing for a financial inclusion working towards financially enabling their target
policy. For the Indian woman to reach her counterparts audience. The Reserve Bank of India (RBI) set up
in developed countries, it is necessary to take a two- the Financial Inclusion and Development Department
pronged approach- a ‘financial inclusion’ policy that (FIDD) as the nodal department for formulating and
focuses on ‘financial education’. implementing financial inclusion policies within the
country. In 2007, RBI launched Financial Literacy
India has a wide gender gap in workforce participation
and Credit Counselling Centres (FLCCs), aimed at
and pay, especially in rural areas. The National
providing free financial education and counseling
Sample Survey of 2011-2012 pointed out that the
to rural and urban Indians. The job of propagating
all-India workforce participation rate for males was
these financial literacy centres were taken up by
53.26% while that of females was only 25.51%. It
NGOs, self-help groups (SHGs) and banks across
also found that irrespective of education and urban-
the country. Multiple posters featuring simple yet
rural divide, the average per day wage/salary earned
appealing slogans, that explain the basics of money,
by a female worker/employee is lesser than that
savings, borrowings and other banking products,
earned by her male counterpart. The Kerala based
have been introduced by RBI. These posters are
Kudumbashree project, which is co-sponsored
used extensively and effectively by NGOs, SHGs
by the state government and local bodies is a fine
and banks in financial literacy camps. To ensure
example of how women from the poorest of families
that effective literacy programmes are carried out
have been empowered, both socially and financially.
at the ground level, the RBI engages in training
The women-centric programme is a varied form of
bank branch managers (with special focus on rural
the traditional Bank-Self Help Group Model, and has
branch managers), who in turn educate the Business
facilitated new businesses run solely by women, has
Correspondents (BCs) attached to their branches,
improved the standard of living of their families, has
who educate the rural and urban masses. Provision
promoted functional literacy among poor women and
of a ‘Financial Diary’ that shows how to keep a
has supported them in multiple credit and non-credit
record of income and expenses is also a part of their
services. These women leaders, under the wing of
financial literacy camps. The RBI is instrumental in
Kudumbashree, have developed their leadership
undertaking multiple mass media campaigns through
and financial acumen into profitable businesses
Doordarshan and All India Radio to spread financial
and have quickly become comfortable with varied
awareness messages. Financial Literacy Week is also
financial products like savings accounts, loans and
organized every year to promote awareness on key
insurances. Active involvement of the government
topics through a focused campaign.
at the grassroot levels and coordinated policy
formulation at the central level is seen to be vital for RBI’s Financial Diary
improved financial literacy.
Recently, the National Strategy for Financial Inclusion
The government, through its multiple financial arms, for India 2019-24 was prepared by the RBI and is
has been providing basic and innovative financial based on the inputs of the Government of India
literacy programmes across the country. Side-by- and other financial sector regulators like Securities
side, many public and private sector banks and Non- and Exchange Board of India (SEBI), Insurance
Regulatory and Development Authority of India (IRDAI) and duties of policy holders, conducting annual
and Pension Fund Regulatory and Development seminars for policy holders, issuance of various comic
Authority (PFRDA). The financial inclusion document series on insurance and publishing of ‘Policyholder
includes outcomes from consultations with multiple Handbooks’. The 2017 Global Findex study had
market players and stakeholders like National Bank asked unbanked adults the reason for not having an
for Agriculture and Rural development (NABARD), account at a financial institution. Atleast, a fifth of the
National Payments Corporation of India (NPCI), respondents had stated their distrust in the system
Non- Governmental Organisations (NGOs), Self- as a reason. While the financial literacy projects
Regulatory Organisations (SROs) etc. Further, the conducted by various agencies not only reduces
National Centre for Financial Education (NCFE) was financial illiteracy, it also encourages individuals and
set up under Section 8 of the Companies Act 2013, creates a basic level of trust among the participants
to focus on promoting financial education across towards financial products.
the country for all sections of the population and to
Conclusion
implement the objectives of the National Strategy for
Financial Education (NSFE). The Global Findex study (2017) found that 56%
of unbanked people are women. Another study
RBI, under a project titled ‘Project Financial Literacy’,
conducted in the year 2012 (Visa Global Financial
aims at providing information regarding the central
Literacy Barometer survey) showed that atleast 43%
bank and other general banking concepts to various
target groups including woman, children and rural of Indian women did not understand basic money
and urban poor. Further, they have provided a link management to be able to discuss it with their children.
(available in 13 regional languages) of the same This is because many women were not taught to be
on their website for easy access. RBI, as part of its financially literate in childhood, a very important time
financial literacy mission also circulates a Financial for learning financial concepts, that help in financial
Awareness Messages (FAME) booklet that provides decision-making in adulthood. Financial capacity
awareness on essential financial needs in a concise building- knowing and understanding how to use
manner. Securities and Exchange Board of India financial services- is the key to the well-being of an
(SEBI) has designed multiple modules in their individual and society as a whole. To underline the
financial literacy programmes, aimed at different importance of gender and to sensitize the population
sets of individuals. Modules have been developed
towards equal opportunity for women, the Economic
specifically for school level children, college level
Survey India for the year 2017-18 was printed in pink.
children, homemakers, executives etc. Resource
While actions like this advertises the government’s
persons from SEBI reach out to their specific
interest in a gender-inclusive policy, the same needs
target audience and conducts workshops on basic
to be substantiated with real-life policy impacts.
financial matters like savings, investments, insurance,
retirement planning etc. Insurance Regulatory and Attainment of wholesome ‘financial literacy’ is what is
Development Authority of India (IRDAI) has been vital to the country’s betterment.
conducting awareness programmes that include In the present day, moving from financial literacy
circulation of televised messages about the rights to ‘Digital Financial Literacy’ is the ideal step
forward for the country. Having the knowledge and Sustainable Development Goals Report, Ministry of
skills to effectively use digital devices for financial Statistics and Programme Implementation, GOI http://
transactions is digital financial literacy. According www.mospi.gov.in/sites/default/files/main_menu/
to World Bank, globally, one billion of the financially SDG_Framework/Report1.pdf
excluded adults own a mobile phone and about 480
Pradhan Mantri Jan Dhan Yojana, Ministry of Financial
million have internet access. In India alone, more than
Services, Ministry of Finance, GOI https://pmjdy.gov.
50% of the unbanked have a mobile phone. While it
in/account
is too early to know the real impact of digital money
on the traditionally unbanked population, there are Economic Survey 2018-19, Ministry of Finance, GOI
early signs from some countries that mobile money https://www.indiabudget.gov.in/economicsurvey/
may help in closing the gender gap on access to the Annual reports of the Reserve Bank of India https://
financial system. India, as a country is aided by the www.rbi.org.in/scripts/AnnualReportPublications.
extremely low price that an individual need to pay for aspx?Id=1259
data connectivity. Studies show that India currently
Reserve Bank of India Financial Education Initiative
has the cheapest mobile data in the world. That along
https://www.rbi.org.in/FinancialEducation/Home.
with the entry of low-cost smartphones in the Indian
aspx
market is expected to push the average Indian’s
mobile use. For the financially unincluded individual, National Centre for Financial Education
having a mobile phone with internet connectivity https://www.ncfe.org.in/
can open a door of financial opportunities. Apart
Kudumbashree http://www.kudumbashree.org/
from helping them access financial services at their
pages/171#
fingertips, it could eliminate travel time and hence
lower the cost of access and improve affordability. Financial Literacy Around the World: Insights from the
Digitized financial services can be easily tailored to Standard and Poor’s Rating Services Global Financial
meet the need of women, can raise their financial Literacy Survey- Leora Klapper, Annamaria Lusardi
familiarity and can help them build a strong financial and Peter vanQudheusden
platform for themselves and their family. It is essential https://gflec.org/wp-content/uploads/2015/11/3313-
that the government and its financial wings look at Finlit_Report_FINAL-5.11.16.pdf?x70028
merging India’s low-cost digital access to her financial
inclusion goals as a way ahead for a financially literate Global Findex Study-2017 https://globalfindex.
state. Innovating the use of technology to deepen worldbank.org/UBS Investor Watch- Global insights:
financial literacy among women will in turn generate What’s on investors’ minds / 2019 Volume 1 file:///C:/
a multiplier effect of proliferating financial literacy to Users/sbsc/Downloads/iw-1q-2019-global-report-en.
future generations. pdf
References Visa Global Financial Literacy Barometer-2012 https://

www.bizcommunity.com/f/1306/FL_Barometer_2013.
National Sample Survey Reports, Ministry of Statistics pdf
and Programme Implementation, GOI http://mospi.nic.

in/download-reports?main_cat=NzIy&cat=All&sub_
category=All
Financial Inclusion is only a gateway in
the Economic journey
 Lalitha Sitaraman*
Introduction is mutually supportive. Financial Literacy paves the

way for Financial Inclusion and the vice versa is
Why are there so many difficulties and disparities
also true. In the late 2000s, banking services were
in this world? This question will flash in the mind of
taken to the doorsteps of the unbanked masses.
every right thinking person often. More particularly,
Awareness camps were conducted in rural areas
the economic inequalities are widening year after
to promote banking habits. Fintech developments
year between the advantageous and the not so
came in handy to achieve those objectives. The
advantageous.
policy of liberalisation, privatisation and globalisation
There is enormous wealth in this world. But still we promoted since 1991 threw open a floodgate of
happen to read news of a school boy committing opportunities for every one.
suicide after his class teacher reminded him of non-
The latest initiatives in Financial Inclusion include
payment of school fees. Till very recently, we have read
Pradhan Mantri Jan Dhan Yojana (under which,
news of drainage workers dying due to asphyxiation
poor people can open bank accounts with access to
while manually cleaning drainages. Often, we have
financial services in an affordable manner), Pradhan
to read news of a patient or a pregnant lady in labour
Mantri Suraksha Bima Yojana and Pradhan Mantri
being denied of timely medical intervention for want
Jeevan Jyoti Bima Yojana (providing accidental and
of money.
life insurance covers respectively). Direct Benefits
Since Independence, successive Governments have Transfer (DBT) is also another welcome measure,
devised so many schemes for uplifting the economic whereby the benefits of the welfare schemes are
conditions of the poor. Nationalisation of specified credited to the accounts of the poor directly without
banks, opening of a vast number of rural branches the involvement of intermediaries. United Payments
and the concept of priority sector lending were some Interface (UPI) system and BHIM App developed by
of the early steps in inclusive banking. All these National Payments Corporation of India (NPCI) enable
steps helped to shift the focus from class banking to retail payments easily through mobiles. Monthly
mass banking. The phrase Financial Inclusion had number of transactions done through UPI crossed
been used for the first time in the Annual Report of the 900 million mark in August, 2019. Also Payments
RBI for the year 2004-05. It had been stressed as a Banks are accelerating financial inclusion in the
key issue for strategic action. Since then, Financial country, particularly by offering financial services in
Inclusion and Financial Literacy have become the unbanked and underbanked regions of the country,
mantra for inclusive development. Actually, the pair as per the guidelines of RBI.
*Former Senior Manager, Indian Oversease Bank.
But looking at the conditions of the poor, it is obvious their “improved efforts to fight global poverty” by
that their conditions have not improved much. The breaking down a complex problem into “smaller, more
benefits trickle down from top to bottom at a pace not manageable questions”. The Nobel Laureate couple
enough for the massive upliftment of poor. Financial in their book ‘Poor Economics’ have said, “…we have
Inclusion is just a threshold. Much is to be delivered to abandon the habit of reducing the poor to cartoon
beyond that. There has to be a two pronged approach characters and take the time to really understand
for reducing inequalities. First, factors contributing for their lives, in all their complexity and richness”.
the widening gaps have to be identified and they have
In March 2019, Dr. Raghuram Rajan, former Governor
to be eliminated to arrest further widening. Second,
of Reserve Bank of India has spoken about the
the gaps already created have to be narrowed down.
perils of rising social and economic inequalities. He
Present conditions as picturised by Economists observes that the communities that are not able to
and studies exploit the global opportunities due to lack of good
education continue to remain so due to deprivation
Economists have analysed the evil causes and
of equal opportunities. He points out that there are
effects of inequalities from various angles. American
communities which have deteriorating schools, rising
economist and Nobel Laureate Dr. Paul Krugman in
crime and rising social illnesses and are unable to
his write up titled “The undeserving rich” picturizes
prepare their members for the global economy. In
how wealth is concentrated in the top 1% or more
short, they are caught in a vicious circle. Dr. Rajan
aptly in the top 0.1%. He writes that since the late
believes that Capitalism is under serious threat
1970s, real wages for the bottom half of the workforce
because it has stopped providing for the many.
have stagnated or fallen, while the incomes of the top
1 percent have nearly quadrupled (and the incomes The panel headed by eminent economist and former
of the top 0.1 per cent have risen even more). The Governor of Reserve Bank of India, Dr. Rangarajan,
author identifies that the top lucky few are executives had estimated in 2014 that a person spending less
of some kind, especially, though not only, in finance. than `1,407 a month (` 47/day) in cities or a person
spending less than `972 a month (`32/day) in villages
In February 2019, while speaking at the launch his
would be considered poor and that nearly 363
book, ‘A Quantum Leap in the Wrong Direction?’
million people had been poor in 2011-12. The above
in New Delhi, Nobel Laureate Dr. Amartya Sen had
poverty line estimates are based on minimum daily
been quoted by the media as saying, “This idea of
requirement of 2,400 and 2,100 calories for an adult in
progress being progress for some, but not for others
rural and urban areas respectively and on other basic
- there’s an element of religiosity in it. This basic
requirements such as housing, clothing, education,
belief that some people’s progress is like everyone’s
health, sanitation, conveyance, fuel, entertainment,
progress is something that can be rooted way back
etc. It may be noted, for reference, that when the
in our thinking”.
first such poverty line was created by the erstwhile
Indian-origin American Economist Dr. Abhijit Banerjee, Planning Commission in the mid-1970s, minimum
his wife Dr. Esther Duflo and Dr. Michael Kremer who per capita daily expenditure requirements were fixed
shared among themselves the 2019 Nobel Prize in at `2 and `2.3, respectively, with reference to calories
Economic Sciences for their “experimental approach requirement alone. While these estimates are used
to alleviating global poverty” have been lauded for
by the Government for arriving at the financial outlay Settlements in their document titled The Challenge
for attacking the problem, in the real sense the cut of Slums: Global Report on Human Settlements
off amounts are low and people with incomes much 2003, while acknowledging Indian Government’s
above these levels are also leading the miserable life massive slum rehabilitation programmes also point
of poor. out that ironically, in many cities, much of the public
housing built between the 1950s and 1970s to re-
Authors Jean Dreze and Amartya Sen, while lauding
house the residents of central city slums and squatter
India in their book, ‘An Uncertain Glory: India and its
settlements, has itself now joined the stock of slums.
Contradictions’ for its high growth in1990s (6%) and
in the last decade (7%), have analysed that during Suggestions to reduce the stark inequalities:
this period, some people, particularly among the
While we think about economic inequalities, thoughts
privileged classes have done very well, but the pace
about Karl Marx come automatically to mind. The
of improvement has been very slow for the bulk of the
philosopher and revolutionary socialist of the
people and for some, there has been remarkably little
nineteenth century had envisaged a society based on
change. They also point out that income distribution is
cooperation. “From each according to his abilities, to
getting more unequal in recent years and that, India’s
each according to his needs” is a memorable quote
real wages are stagnant. The authors insist that had
with respect to his ideology.
the income distribution remained unchanged instead
of becoming more unequal, poor people would have Dr. Amartya Sen emphasises that, for bridging the
achieved much more from India’s rapid economic divide, it is incumbent on development strategies to
growth. They highlighted that China’s economic pool and mobilise skills and abilities across the whole
inequality, per se, is no less than India’s, but Chinese spectrum of societies.
poor do not typically lack in basic amenities in the The Nobel Laureate Dr. Abhijit Banerjee & Dr Esther
way poor Indians do. It is also reiterated in the book Duflo in their book, ‘Poor Economics’ mentions
that economic, social, cultural, political and other that small changes, including tweaks in existing
inequalities must be addressed together in India so structures, often produced lasting and big outcomes
that it plays an enormously important part in reducing in reducing poverty.
the force of inequalities of class, caste and gender
If people also supplement Government’s efforts
too.
in this regard, much can be achieved. Here, the
As per the new census data on slums, released on Government may envisage a formal role for its affluent
30.09.2013, over 65 million people live in slums, up citizens. Just as Corporate Social Responsibility has
from 52 million in 2001. The census defines a slum as been made mandatory for specified corporates in the
“residential areas where dwellings are unfit for human Companies Act 2013, a concept of Individual Social
habitation” because they are dilapidated, cramped, Responsibility can be brought in. There is a saying
poorly ventilated, unclean or “any combination of in Tamil, which means that the beauty of a wealthy
these factors which are detrimental to the safety and person lies in his nature of supporting his needy
health” and covers all 4,041 statutory towns in India. relatives. Accordingly, affluent individuals can hand-
The United Nations Global Reports on Human hold their less fortunate brethren, who may be their
relatives, known persons or strangers. Like the SHG Dr. Arvind Panagariya, erstwhile Vice Chairman, NITI
concept which brought inclusion to certain extent, we Aayog, while delivering a lecture at the RIS (Research
may aspire for HHGs (Hand holding Groups) to bring and Information System for developing countries)
visible leaps in the status of economically deprived Conference at the United Nations, on 21/09/2015,
people. That a needy hand has been held has to be had spoken that “I firmly believe that with political will
demonstrated by the data. and right set of policies, it is entirely possible to end
Since e-Governance has stabilised in India and the poverty within a generation “. Let us hope that the
trendy topics of Data Analytics and Block Chain inequalities are bridged fast and poverty ends soon.
Technology are very promising, the time is more ripe References
now than ever to consider new reforms in governance.
For example, presently, payments of medical UPI data: The Economic Times dated 05/09/2019.
insurance premia and repayments of educational Paul Krugman’s column in The Hindu dated
loans and housing loans, for self and family, entitle a 21/01/2014 - His article in New York Times News
tax payer for exemptions. The same exemptions may Service - The undeserving Rich.
be considered for paying those of a third party with a
Dr. Amartya Sen’s speech on his book launch:
marginal income. The Hindu dated 28/02/2019.
Money supply alone will not reduce inequalities Dr. Abhijit Banerjee quotes: The Times of India news
and the utilisation side also has to be addressed to on 14/10/2019.
ensure that money is spent in prudent ways. Thus, Dr. Raghuram Rajan’s speech: The Hindu dated
there are educational, social and moral aspects 13/03/2019.
concerned with the task. Moral education classes
may be included for all school children so that they The United Nations Global Reports on Human
understand the virtues of leading a simple life and Settlements (UN-Habitat) - The Challenge of Slums:
of not being greedy so that money can be saved for Global Report on Human Settlements 200.3
productive purposes. In higher classes, all students
State of the World’s Cities 2010/2011: Cities for
can be acquainted with basic economic terms and
all: Bridging the Urban Divide The Hindu dated
ideas. They can be introduced to the life time skills of
07/07/2014 - Dr. Rangarajan panel on poverty
apportioning their available means to their different
wants prudently. When people become confident estimates.
they will pick up the courage to say ‘No’ to things Financial Express dated 22/05/2015 – Defining a
they don’t need immediately. This is what Dr. Abhijit poverty line for India, a write up by Shri P.P. Sangal,
Banerjee wishes to point out when he asks, “Why former director of Central Statistical Organisation.
would a man in Morocco who doesn›t have enough
to eat buy a television?”. The Hindu dated 01/01/2013 - Census on slum
population of India.
Print and visual media can be utilized by the
Government, as already being done for some social ‘An uncertain glory - India and its contradictions’ by
issues, to create awareness among people about Jean Dreze and Amartya Sen.
the issue of inequalities. Seminars, discussion fora, 
articles by eminent authors etc., as the case may be,
may also help to awake the conscience of all people.
The importance of Compliance in
Banking
 Rakesh Kaushik*
The stakeholders in a bank include its shareholders, compliance framework encompassing all guidelines
investors, customers, employees and government. emanating from RBI, (b) identify potential breaches
The activities undertaken by a bank have to conform and (c) remedy them up-front.
to the rules, laws and standards applicable to its
Non-compliance to the regulator’s instructions and
operational jurisdiction. Banks in India are required
directives can result in various types of action against
to design, implement and operate an effective
the defaulting banks, which may include imposition
compliance function as per the guidelines of the
of monetary penalties. There have also been cases,
Reserve Bank of India. The listed Banks and Banking
where SEBI has imposed monetary penalties on the
Companies are also governed by SEBI (Listing and
Compliance Officers.
Other Disclosure Obligations) Regulations, 2015
Let us have a look at the monetary penalties imposed
and other SEBI Guidelines. In case of Banking
by Reserve Bank of India on Scheduled Commercial
Companies, the requirements of the Companies Act,
Banks during the years 2018 and 2019 (Ten-month
2013 are also applicable, wherever not incompatible
period ended 31st October, 2019):
with the requirements of the Banking Regulations
Monetary Penalties imposed by RBI on Banks
Act, 1949. Banks need to have a Chief Compliance 1600
Officer, who is required to assist the top management 1400

1375
in managing effectively the compliance risks faced by 1200

983
1000 889
851
the bank. 800
600
The Risk Based Supervision Framework introduced 400 324
200
by the Reserve Bank of India consists of certain very 200
55 64 93
6 8 27 1 11 30 15
0
specific templates oriented towards the compliance PUBLIC SECTOR BANKS PRIVATE SECTOR BANKS FOREIGN BANKS TOTAL
assessment of Banks. The Chief Compliance Officers 2018 NO. OF CASES 2019 NO. OF CASES 2018 PENALTY ` MILLION 2019 PENALTY ` MILLION
are expected to ensure total compliance with all (Source: Press Releases by RBI)
specified guidelines enlisted in these templates,
The penalties imposed by SEBI during the period
which are expected to be updated on an annual basis.
from 2011-2019 including settlement charges for
Banks are expected to (a) have in place an exhaustive
various violations are as under:
* Faculty, IIBF & Former Senior Vice President, SBI Funds Management Pvt. Ltd.
1992, the other case pertained to selective disclosure
7.805 SEBI VIOLATIONS
8
7
5.58 & MONETARY PENALTIES made by the bank in February, 2019 and involved
6 IMPOSED violation of Regulation 30 of SEBI (Listing Obligations
4 2
DURING 2011-2019
and Disclosure Requirements) Regulations, 2015. In
2
0 NO. OF CASES the latter case, the bank opted for settlement with
Disclosure Lapses Violation of SEBI. The important point to be noted in both these
SEBI(Debenture PENALTY/SETTLEMENT
Trustees) Other CHARGES cases is that monetary penalties including settlement
Related Regulations
charges aggregating Rs. 1.645 Million for the above
(Source: SEBI Website) defaults were imposed on the Compliance Officers
of the Banks. Penalties imposed on the Compliance
An analysis of the nature of non-compliances shows
Officers in their individual capacity are something
that monetary penalties have been imposed for non-
which cannot be taken lightly and highlight the gravity
compliances in the following areas:
of the role of Compliance Officers in a Bank. The
Penalties imposed by SEBI Compliance Officers have to be thorough professionals
and have to perform their work diligently and without
For Disclosure Lapses
any bias or influence. This also casts a responsibility
Banks, which are listed on any recognized stock on the top managements and the boards of listed
exchange in India, are required to comply with the banks to support the compliance function in their
conditions of the listing agreement with that stock banks and also encourage a professional and ethical
exchange. As of now, the listing agreement is governed approach as well as a zero tolerance policy towards
by the provisions of SEBI (Listing Obligations and non-compliance with regulatory guidelines.
Disclosure Requirements) Regulations, 2015. A listed
Bank is required to immediately inform the Exchange For Violations of SEBI (Debenture Trustees)
Regulations, 1993 and Other Related Guidelines
about all such events, which have a bearing on the
performance/operations of the bank as well as on the The Companies (Share Capital and Debentures)
price sensitive information. This information must be Rules, 2014, made by the Central Government
adequate and should be provided in a timely manner. provide for the appointment of a debenture trustee by
The listed Bank has to ensure equitable treatment a Company before the issue of prospectus or letter of
of all shareholders, including minority and foreign offer for subscription of its debentures and also provide
shareholders. for execution of a debenture trust deed to protect the
interest of the debenture holders within sixty days
SEBI imposed monetary penalties including
of the allotment of the debentures. The debenture
settlement charges amounting to Rs. 6.16 Million in
trustee has to satisfy himself that the contents of the
September, 2019 on two listed private sector banks
trust deed are in line with the terms and conditions
for disclosure lapses. While in one case, penalty was
of the issue of debentures. The important duties of
imposed because of disclosure lapses observed in
the debenture trustee include calling for a periodical
the May, 2010 which involved violations of Clause 36
status or performance reports from the company,
of the Equity Listing Agreement and Regulation 12 of
ensuring that the company does not commit any
the SEBI (Prohibition of Insider Trading) Regulation,
breach of the terms of issue of debentures or the
covenants of the trust deed and performing such acts Penalties imposed by RBI
as are necessary for the protection of the interest of
The Reserve Bank of India has imposed monetary
the debenture holders.
penalties amounting to `375 Million on various Public
SEBI (Debenture Trustees) Regulations, 1993 provide Sector, Private Sector and Foreign Banks for a variety
that only a scheduled commercial bank or a public of reasons during the first ten months of the year 2019,
financial institution/body corporate as defined in which include non-compliance with provisions of
the Companies Act, 2013 or an insurance company various Circulars, Master Circulars, Master Directions
can act as a debenture trustee. The Regulations and Specific Directions issued by the Reserve Bank
further provide that a debenture trustee cannot be of India. The monetary penalties were imposed for
appointed as a trustee if it has lent or is proposing violations of only one or multiple directions issued by
to lend money to the company. SEBI can undertake RBI.
inspection of debenture trustees to ensure (a) The details of non-compliances observed in 2019 are
maintenance of proper records and documents, (b) as under:
compliance with provisions of Companies Act, 2013,
Non-compliance of Directions on Fraud Reporting
(c) that there are no circumstances to discontinue
the debenture trustee’s registration. SEBI can also RBI directions on fraud classification and reporting
conduct inspection to investigate into complaints were issued with the intent of creating a framework
and suo moto investigate in the interest of securities for early detection and reporting of frauds and to
business or investors. achieve the objective of taking consequent actions
like reporting to the Investigative agencies in time
SEBI has been periodically inspecting the banks
so that fraudsters are brought to book early, staff
which act as Debenture Trustees and serves Show
accountability is examined speedily and risk of fraud
Cause Notices, wherever warranted, to decide
is managed effectively. Based on the reporting by
whether any monetary penalty needs to be levied or banks, RBI aims to have quicker dissemination of the
any other action is required. Accordingly, enquiries details of frauds, unscrupulous borrowers and related
are conducted by Adjudicating Officers appointed parties to banks, so that banks are in a position to
under Section 15-I of Securities & Exchange Board of instituting necessary safeguards and preventive
India Act, 1992 read with Rule 3 of SEBI (Procedure measures by introducing appropriate procedures
for Holding Enquiry and Imposing Penalties by and internal checks and exercising caution while
Adjudicating Officer) Rules, 1995. During the period dealing with such parties. However, cases of delayed
from February, 2011 to April, 2019, monetary penalties as well as non-reporting of frauds to RBI by thirty-
including settlement charges amounting to Rs, 5.58 three banks in terms of Reserve Bank of India (Frauds
Million was recovered from various public and private classification and reporting by Commercial Banks
sector banks in seven cases for violations of SEBI and select FIs) Directions 2016 were observed. These
(Debenture Trustee) Regulations, 1993, SEBI (Issue cases included even such cases where criminal
and Listing of Debt Securities) Regulations 2008 and proceedings had been initiated by the Central Bureau
SEBI (Disclosure & Investor Protection) Guidelines, of Investigation, which indicates a poor compliance
2000. mechanism existing in the banks concerned. In many
cases, the non-compliance also included violations The second reason for delay in action, is that the
of directions on several related areas like conduct of CBI has become heavily overloaded. To resolve
current accounts, end use of funds, cyber security this issue, the Bank Frauds Cell of CBI needs to be
framework, norms on KYC/AML and risk management. strengthened immediately or else, the defaulters may
Monetary penalties aggregating Rs. 461 Million become further emboldened.
depending on the extent of non-compliance were
Thirdly, corruption could also be one of the reasons
imposed in these cases.
for delayed action in case of bank frauds.
MONETARY PENALTIES ON BANKS FOR NON-COMPLIANCE OF DIRECTIONS
ON FRAUDS CLASSIFICATION & REPORTING The fourth major reason for not declaring fraud at RO/
ZO level is faulty performance appraisal policy. If a
500 417.5 controller declares fraud, the audit rating is impacted
400
negatively which spoils his appraisal report and his
300 NO. OF CASES
promotional charges take a hit.
200 PENALTY `
30 43.5
100 5 The fifth major reason is the human tendency of
0
PUBLIC SECTOR BANKS PRIVATE SECTOR BANKS
favouritism due to various reasons. It is a strong
possibility that frauds are suppressed to enhance the
(Source: Press Releases by RBI)
career of certain persons.
In this regard, it shall also be pertinent to note that The sixth reason could be the inefficiency of auditors
there is a general feeling among bankers that there and their lack of understanding, which could result
was a reluctance on the part of bank managements in their accepting the management’s contention and
to declare and report frauds and the recent spate in avoiding the reporting of frauds.
the number of frauds is because of pressure from
Non-compliance of directions on Cyber Security
RBI for NPA and fraud declaration and the thrust on
Framework in Banks and Frauds Classification
Balance sheet cleaning/transparency. Another issue
and Reporting
worth consideration is that even after reporting frauds
and lodging complaints with CBI, not much is being Banks are required to have a cyber-security policy in
achieved. One factor, of course could be the delay place, which has to be duly approved by the Board.
in reporting of frauds which makes investigations The policy is required to expound the bank’s strategy
all the more difficult as locating certain documents for combating cyber threats which are relevant to the
and records becomes a tedious exercise, in spite of complexity level of the bank’s business and the levels
the fact that CBI has the necessary powers to make of risk that are acceptable to the bank. Any breach of
people search for and produce the old records. cyber security can result in frauds. A cyber security
incident reported by a bank to RBI which contained
Moreover, the borrowers indulging in siphoning of
details of fraudulent transactions made with the use of
funds do it through a complex maze of transactions
a cancelled debit card was treated as non-compliance
through their related parties which can be detected
of the directions issued by RBI on Cyber Security
through forensic audit only-an expensive and time
Framework in Banks and Frauds Classification and
consuming exercise ordered by the Banks.
Reporting by commercial banks and select FIs. This
resulted in imposition of a monetary penalty of `10 Financial System. This is to be perceived as a move
Million on the bank. towards greater consistency and transparency in the
published accounts. There have been many cases
In another matter, seven fraudulent messages of
where the Auditors or RBI Inspectors differ with the
a total value of 171 million USD were generated
dates of classification of assets as non-performing.
through the SWIFT system of a bank in 2016 and
The impact on profits and performance could be the
several deficiencies came out after the examination
main reason for reluctance on the part of bankers to
of the cyber security framework of the bank. This also
comply with these norms. Further, data have to be
resulted in the imposition of a monetary penalty of
shared with other banks and reported on the Central
`1 Million on the bank. In another case involving a
Repository of Information on Large Credits (CRILC) on
foreign bank, a penalty of `30 Million was imposed for
not following the directions relating to implementation timely basis. A monetary penalty of `70 Million was
and strengthening of SWIFT related operational imposed on a Bank consequent upon the statutory
controls and Cyber Security Framework. inspection with reference to the Bank’s financial
position as on March 31, 2017 revealing, inter alia,
Non-compliance with Current Account Opening non-compliance with directions issued by RBI on
and Operating Norms Income Recognition and Asset Classification (IRAC)
RBI has prescribed a Code of conduct for opening norms, sharing of information about customers with
and operating Current Accounts, and has also issued other banks, reporting of data on CRILC, fraud risk
directions on maintaining discipline, discounting/ management, and classification and reporting of
rediscounting of Bills by Banks, Frauds classification frauds.
and reporting, monitoring of end use of funds and
Non-compliance with Norms on KYC/AML,
deposits on Balance Sheet date.
Opening of Current Accounts & Fraud Reporting
Seven banks were penalised monetarily to the
Banks and financial institutions are required to
extent of `110 Million as a fallout of a scrutiny of the
follow certain customer identification procedure for
accounts of the companies of a Borrower Group as
opening of accounts and monitor transactions of
it was observed that the banks had failed to comply
suspicious nature for the purpose of reporting the
with provisions of one or more of the directions issued
same to appropriate authority. However, there have
by RBI as mentioned above.
been several cases involving failure of certain banks
Non-compliance with Norms on IRAC, Conduct of to comply with certain provisions of RBI directions
Current Accounts, Data Reporting & Fraud Risk on Know Your Customer (KYC) norms / Anti Money
Management/Classification/Reporting Laundering (AML) Standards and Opening of Current
Accounts. The non-compliance resulted in monetary
The prudential norms for income recognition, asset
penalties aggregating `33.50 Million levied in eight
classification and provisioning for the advances
cases.
portfolio of the banks have been laid down by
RBI in line with the global practices and as per In another matter, reference from customs authorities
the recommendations of the Committee on the relating to submission of forged bill of entries (BoEs)
by certain importers to their bank for remittance of plans/strategy of the bank to meet the permitted
foreign currency was received by RBI and the charges timeline for dilution of promoter shareholding. The
were subsequently substantiated which resulted in RBI subsequently directed the Bank to convey
the imposition of a monetary penalty of `10 Million on its commitment to achieve the dilution as per the
the bank concerned. stipulated timelines. Since the bank failed to comply
with RBI’s directions a monetary penalty of ` 20
Non-compliance with directions on Guarantees
Million was imposed on the Bank.
and Co-acceptances
Failure to fully automate NPA identification
The Guidelines on Guarantees and co-acceptances
process despite specific direction
issued by RBI state that in case of invocation of
guarantee, the payment to the beneficiary should In case of a Private Sector Bank, RBI issued a
be made without delay or reluctance and without specific direction to the bank to fully automate its
raising any objections. Banks are required to have NPA identification process within a specific timeframe
proper procedure to ensure that guarantees are based on the annual inspection for the year ended
immediately honoured and there is no delay on the 31st March, 2016 and subsequent extension was
pretext of requirement of legal advice or approval given after statutory inspection with reference to its
of higher authorities. Any delay in honouring the financial position as on March 31, 2017. However,
invoked guarantee undermines the very value and the bank was not able to comply with the specific
the sanctity of the bank guarantees and also spoils direction given by RBI and a monetary penalty of `10
image of banks. It can also result in the parties getting Million was imposed on the bank.
an opportunity to take legal recourse and obtain stay
400 380 PENALTIES IMPOSED
orders. In case of guarantees issued in favour of 350 IN 2019 FOR
NON COMPLIANCES
Government departments, this delays the revenue 300 RELATING TO
SWIFT OPERATIONS
collection and also gives a wrong impression about 250
210
the banks that they are in active collusion with the 200 170 NO. OF CASES
PENALTY ` MILLION
150
parties, thereby tarnishing the image of the banking 100
system. A penalty of `1 million was imposed on a 50
17 11 10
bank for non-compliance of the directions of RBI in 0
PUBLIC SECTOR PRIVATE SECTOR FOREIGN
this regard. BANKS BANKS BANKS

Non-compliance with the directions for furnishing
information under the Banking Regulation Act, Non-compliance with various directions issued
1949 by RBI on time-bound implementation and
In case of a Private Sector Bank, the RBI in exercise strengthening of SWIFT-related operational
of its powers under sections 27(2) and 35A of the controls
Banking Regulation Act, 1949, directed the Bank to RBI had issued directions on implementing and
furnish the details of the promoter’s shareholding and strengthening of SWIFT-related operational controls
to submit the details of the proposed course of action/ after certain big banking frauds involving misuse of
the SWIFT facility because of weak internal controls Financial Holding Company in the bank in excess
surfaced in early 2018. The subsequent assessment of 40% of the total paid-up equity capital to 40%
of operational controls of 50 major banks by RBI within three years from the date of commencement
revealed that most of the banks had not complied of business of the bank. However, as the bank failed
with one or more of the major directions relating to comply with the said licensing guidelines, a Show
to (i) direct creation of payment messages in the Cause Notice was served on the bank and after
SWIFT environment, (ii) integration of Core Banking considering the reply and submissions by the bank,
Solution(CBS)/Accounting System through Straight RBI imposed a monetary penalty of `10 million on the
Through Processing, (iii) to have separate maker/ bank.
checker and authorisers for CBS and SWIFT
Besides the above cases, the RBI has also imposed
Systems, (iv) independent reconciliation of SWIFT
penalties on various banks for contravention of
logs with corresponding CBS/Accounting entries,
the following directions:
(v) creating an additional layer of approval for all
payment messages beyond a certain threshold, and a) Directions on monitoring of end use of funds,
(vi) Reconciliation of Nostro Accounts on T+1/T+5 exchange of information with other banks,
classification and reporting of frauds, and on
basis.
restructuring of accounts.
On the basis of the findings of the assessment and
b) Circular on Collection of Account Payee Cheques
extent of non-compliance, Show Cause Notices
– Prohibition on Crediting Proceeds to Third Party
were issued to all the banks and after considering
Account.
the written and oral submissions and examination
of additional submissions, RBI imposed monetary c) Master Circular on Detection and Impounding of
penalties aggregating `760 Million on 38 banks, on Counterfeit Notes and the Circular on Sorting of
the basis of the extent of non-compliance in each Notes - Installation of Note Sorting Machines.
bank. d) Deficiencies in compliance with the RBI
It may be noted that RBI continues to closely monitor instructions on ‘Fit and Proper’ criteria for
compliance with these controls on an ongoing basis. directors of banks.
e) Regulatory guidelines for Prepaid Payment

Non-compliance with the guidelines on promoter
Instrument (PPI) issuers.
holding
As compared to the Scheduled Commercial Banks,
In terms of the RBI Guidelines for Licensing of New
the monetary penalties on Urban Co-operative Banks
Banks in Private Sector dated February 22, 2013
have been very small in amount in most of the cases,
read with the licensing conditions imposed by RBI in
which probably could be related to their scale of
exercise of powers under section 22 of the Banking
operations. During the first ten months of the year
Regulation Act, 1949 (the Act) at the time of issuing
2019, the total monetary penalty imposed on these
banking licence to a bank, the bank was required to
banks was ` 2.12 Crore.
bring down the shareholding of its Non-Operative
MONETARY PENALTIES IMPOSED ON Membership of Credit Information Companies.
URBAN CO- OPERATIVE BANKS (JAN-OCT'2019)
12
f) Non-adherence to Prudential Norms on Inter-
10 10
10 Bank Counter Party Limit.
NO. OF BANKS
8 7
6 4
g) Violating norms relating to Audit Committee of the
4 2 Board.
2 1 1 1 1 1
0
h) Non-compliance with guidelines relating to
0.5 1 1.5 2 3 4 5 10 25 100
MONETARY PENALTY RS. LAKH Concurrent Audit of Investment Transactions.
To sum up, compliance with the guidelines and
directions issued by the Reserve Bank of India, the
The types of violations observed in case of Urban
Securities & Exchange Board of India and other
co-operative Banks mainly fell into the following
Regulators are of paramount importance for Banks
categories:
and should be taken very seriously. The Board of
a) Non-compliance with directions issued by RBI Directors and the Top Managements of Banks have
on Income Recognition and Asset Classification
to accord top priority to the compliance function and
(IRAC) norms.
take proper steps to ensure that that the significance of
b) Management of Advances and Exposure Norms
and Statutory/ Other Restrictions. compliance is understood by all officials concerned at
all levels. This shall be a major step towards achieving
c) Violation of guidelines/directives relating to
advances to directors and their relatives. high governance standards and for enhancing the
credibility and reputation of banks.
d) Non-compliance with KYC norms/AML standards.

e) Violation of RBI Instructions/Guidelines on
BANK QUEST THEMES FOR THE COMING ISSUES

The themes for next issues of “Bank Quest” are identified as:
1. Alternative Channels of Investments - Sub -themes: Mutual Funds, Post-Office
& Bank Deposits & others: January - March, 2020
2. Strategic Technology Trends in Banks - Sub - themes: Traditional lending to

Digital flow based lending, Fintech landscape in India, Cyber Security, Big
Data Analytics, Customer Experience: April - June, 2020
3. NBFCs, Systemic Risk and interconnectedness amongst Financial Institution

s: July - September, 2020
Study of increasing Digital Banking
& Financial Technology Trends,
Challenges and Opportunities in Indian
Banking System
 Dr. Narinder Kumar Bhasin*
Introduction shift of customers from paper based to electronic/

digital payment modes, increased usage by banks'
On 15th May, 2019, Reserve Bank of India launched
customers resulting in increase in value as well as
the Payment System Vision 2021 with the core theme
volumes of retail and large value payment transactions
“Empowering Exceptional, (E)payment Experience”
with international recognition.
with focus on various new challenges on innovative
digital banking products, financial Inclusion, cyber While, there are innumerable opportunities in
security, customer protection, data privacy and digitalization on one hand, on other hand, it is
competition. Strong Payment and Settlement Systems posing new challenges to banks globally. With each
of any economy is a backbone of the country's passing day, the banking sector witnesses at least
financial system which ensure efficient, fast, effective, one new breakthrough in some part of the world
safe, secure, affordable and accurate movements that has the potential to redefine the banking sector
of funds and financial transactions originating from with Fintech collaboration.
various economic activities. The last decade in the
With significant growth in user adaptation, presence
Indian banking system has witnessed revolutionary
on digital platforms is a “must have” for banking
development and increased adaptation of innovative
institutions. The important trends being witnessed
electronic and digital banking products by customers.
in India as well as globally are the regulatory capital
Reserve Bank of India has played as pioneer in
requirements, digitalisation and technological
building the strong foundation of “state-of-the-art”
advances, new market participants, demographic
technology based payment systems through planned
and behavioural changes in the new generation of
strategy and development by following RBI`s vision
customers.
document since 2002. The last vision document for
The focus and study of the paper is on the evolution and
the period 2015-2018 focussed on two important
changing digital scenario, major digital innovations in
objective of building “less cash India” with “best-in
the financial and banking sector, increasing trends of
class” payment system by introducing innovative and
digital payment in India and various challenges and
new systems, customer centric initiatives, paradigm
opportunities in implementation of digital banking to
*
Professor, Amity School of Insurance Banking & Actuarial Science & Former Vice President Axis Bank Limited.
achieve the dream of digital India with 100% mission initiative in offering digital banking products. The
of financial inclusion. Customers, Regulations and State Bank of India launched Six Digital Banking
Technology are three important parameters to be branches sbiINTOUCH branches in July 2014 as
connected through people and processes to achieve a part of their strategy to provide next generation
this vision of Highly Digital and Cash less Indian solutions to internet savvy and mobile banking users
to increase their customer base. Bank of Baroda,
Economy and Financial System.
India's third largest bank has always taken first mover
Definition and Evolution of Digital Banking
advantage for innovation in digital banking. On
Digital Banking can be defined as digitalization of 25th July, 2019, it announced to offer four new user
various traditional banking activities and processes friendly digitally enabled investment options like One
which were earlier available to the customers by visit Nation One Card (National Common Mobility Card),
to the bank's branch or ATM only. The introduction Baroda Paypoint Colony World (A Mobile application
of internet, online and mobile banking has resulted to provide solutions to housing societies who do
in the tremendous shift and increase in adoption not have their websites), Baroda Paypoint eKart and
and usage of electronic banking payment systems. Airpay online Payment.
Digital Payments has been defined by Payment and The history and evolution of Digital Banking is traced
Settlement Act, 2007 as “electronic funds transfer back to 1960s with the launch of cards and ATMs. The
means any transfer of funds which is initiated by a concept of Digital Banking has been simultaneously
person by way of customers’ mandate, authorization evolving with the development of world wide web
or instruction to their bank to initiate banking and Internet Banking. Programmers while working
transactions by debit or credit to bank account on bank data bases came up with the idea of online
through electronic, online, internet, mobile apps and banking transactions sometime in 1990s. At that time,
includes ATM, Point of sale, Card Payments, Direct it was a thought, taking into consideration the security
deposits, transfers and withdrawal of funds.” and safety of customer financial data. New Fintech
development were at nascent stage and banks were
Digital Banking activities include online account/ fixed
still analyzing their viability and usability. USA was
deposit opening, funds transfer, credit card payments,
the first country in the world to start online banking
request for cheque book, change/block pin number,
in October 1994 and ICICI Bank was the first bank
Loan application, bill payment and investments.
to initiate Internet banking revolution in India in 1997
Digital Banking has improved customer experiences
under the brand name Infinity. India is catching up fast
with introduction of E-Galleries, E-Corner or E-Lobby
with global peers in the digital innovation space by
branches equipped with various electronic banking
rapidly adopting these digital technologies. Evolution
products like Cash Deposit Machines (CDM), Cash
of digital banking has moved on from single channel
Recyclers, Pass Book printing machines and Kiosks.
to multi channel to cross channel to Omni Channel.
New Generation Public Sector Banks like ICICI Bank,
HDFC Bank and Axis Bank were the first to take
Figure 1: A shows the global evolution of digital Fintech E collaboration. Figure 2 reflects the timelines
banking in four phases: of evolution and achievements of Payment Systems
from 1980s till date.
1. Digital Banking 1.0 -1998 - 2002 - E Banking -
Customer and Bank have a single touch point. Increasing Adaptation and Usage of Digital
Banking Products:
2. Digital Banking 2.0 - 2003 - 2008 - Multichannel
Integration- Customer uses brand through Review of Achievements of Payment System
multiples touch point with bank using siloed Vision 2018
communication.
RBI Payment System Vision 2018 was based on the
3. Digital banking 3.0 - 2009-2014 Omnichannel- four important strategic pillars of robust infrastructure,
Customer has holistic brand experience and bank responsive regulation, customer centricity and
leverages unified view of customer. effective supervision. The major achievements during
this period 2015 to 2018 were:
4. Digital Banking 4.0 - 2015 - till date - Internet of
Everything - Market of one customer centricity. Customer focus started to shift from paper-based
clearing instruments like cheques, demand
drafts and pay orders which have longer cycle of
settlement of 3-4 days due to physical movement
of the cheques from place of deposit to clearing
centre and then to drawee bank for payment. In
case cheques were not paid due to insufficient
funds reason or technical reasons like incomplete
date, signature differs, mutilation, then cheques
were returned through return clearing house again.
During this manual process or MICR, there were the
Figure 1: Four Phases of Global Digital Evolution chances of loss of cheques in transit, misplacement
Evolution of Digital Banking in India: The journey or cheques would get torn, wrong capture of MICR
of Indian Banking System has witnessed a radical data at time of encoding or at clearing centres. The
change from the conventional or traditional banking Magnetic Ink Character Recognition Based Clearing
system to electronic banking system of convenience. System of processing cheques was discontinued by
Payment Systems in India keep on evolving from RBI in 2013 and as per RBI directives, periodicity for
manual to electronic to digital banking with new processing of Non-CTS cheques in CTS clearing was
emerging technologies and Innovations. It started with reduced to ‘once in a month’ w.e.f. 01.09.2018, i.e.,
1980s with the need of Computerization, Electronic second Wednesday of the month. No such cheques
payment Systems in 2010 and move on to Digital and were accepted in CTS clearing after 31.12.2018.
• Mechanisation of Payment System Processes , Computerization
1980 • Standardisation of cheques, Encoders, MICR Implementation and Minimal use of Bank Drafts and Cheues
• Computerization of Branches, Expansion of Products and services, Connectivity with other branches,
1990 • Core Banking Systems, ATM`s and Electronic Funds Transfer, On line Banking
• Internet Banking, Mobile Banking, Real Time Gross Settlement, National Electronic Funds Transfer (NEFT) and National
2010 Elecronic Clearing Sevices (NECS)
• Emerging Financial techology ( Fintech ), E colloboration with Fintech and Adopttion of New Technology, Biometrics and
2011 Cheque Truncation Systems
• Rupay and National Automated Clearing House (NACH) Introduced by NPCI. Rupay-An Alternative to Visa and Master
2012
• Aadhar Enabled Payment System (AEPS)

2013
• *99# USSD Unstructured Supplementary Service Data

2014
• Unified Payment Interface (UPI), Bhart Bill Payment System (BBPS) , National Electronic Toll Collection System,
2016 Bharat interface for Money (BHIM)
• Bharat QR deveoped by NPCI, Master Card, Visa - Integrated Payment System - Money transferred directly in user`s linked
2017 account
• RBI Report of the Working Group on Fintech and Digital Banking and RBI Released draft Enabling Framework for
2018 Regulatory Sand Box
• RBI Payment System Vision 2019-2021 released

2019
Figure2:
Figure 2:Timelines
TimelinesofofEvolution
Evolutionof of
Payments System
Payments in India
System Source: RBI Payment Systems Indicators; RBI
in India
Journal retrieved from Website www.rbi.org.in
Source: RBI Payment Systems Indicators; RBI Journal retrieved from website www.rbi.org.in
Paper Based Clearing Consists of two of cheques, are transferred electronically to

Components: clearing house and drawee banks for payments.
CTS, though is a paper based payment system
1. Non MICR Clearing: is a process of manual
has shown marginal increase because it is more
clearing settlement adopted by the centers where
advanced, faster, time and cost effective and
the number of participating banks in clearing
more secure. Table 1 is reflecting 16% increase
house are less as well as the low volumes of
in volume and 17% increase in value during the
cheques. Cheques are physically delivered to
period 2015-16 and 2018-19 where as, Non MICR
drawee banks.
Clearing is reflecting 91% decrease in volume
2. Cheque Truncation System: CTS was and 92% decrease in value during the same
introduced in 2011 replacing MICR clearing with period indicating the shift from the manual paper
Image Based Processing of truncated cheques based payment instruments to CTS and other
with essential data without physical movement digital banking modes.
Tabel 1 `2 lakh and the beneficiary receives the funds
instantly. Table 2 reflects the 38% increase in
Paper
Based volume and 65% increase in values of RTGS
Volume in Million Value in Billions
Payment transactions during the period 2015-16 to
System 2018 -19
Year 2015-16 2018-19 2015-16 2018-2019
Tabel 2
Cheque 958.39 1111.67 69889.15 81535.92
Truncation
Payment
System
System Volume in Million Value in Billions
NON MICR 137.98 12.09 11971.64 924.73 Indicators
CLEARING
Year 2015-16 2018-19 2015-16 2018-2019
RTGS 98.34 136.63 1035551 1715520
Paper Based Payment System
ECS Debit 224.75 0.93 1651 12.60
100000 ECS Credit 39 5.36 1059 132.35
80000
60000 EFT / NEFT 1252 2,318.89 83273 2,27,936.08
40000
20000 IMPS 220.81 1,752.91 1622 15,902.57
0
2015-16 2018-19 2015-16 2018-2019 Credit Card 791.67 1,772.36 2437 6,078.81
Debit Card 9247 14,273.90 26960 39,042.64
Cheque Truncation System NON MICR CLEARING Real Time Gross Settlement
Chart 1: Comparative Study of Paper Based Payment 1800000
1600000
Systems for the period 2015-16 and 2018-19 1400000
1200000
Source: RBI Bulletin Payment System Indicators 1000000
800000
600000
400000
Various Initiatives were taken by RBI, NPCI, 200000
0
Government of India and Banks in promoting different 2015-16 2018-19 2015-16 2018-
2019
types of electronic and digital banking products. Cash Volume in Million Value in Billions
less and highly digitalised fund transfer system is the
RTGS 98.34 136.63 1035551 1715520
main objective of Payment System Vision 2021. NPCI,
an umbrella organization of retail payment system, Chart 2: Comparative Study of RTGS for the period
processes the bulk of digital payment transactions 2015-16 and 2018-19
in India. Various new digital banking funds transfer Source: RBI Bulletin Payment System Indicators
systems were introduced and the following statistics • Electronic Clearing Service (ECS): is a retail
shows that there has been continuous growth in electronic payment funds transfer system for
individual segments of retail electronic payment transactions of bulk collection and payments
systems such as:
which are repetitive in nature. An ECS Debit and
• Real Time Gross Settlement (RTGS): is an Credit transaction facilitates fund transfer from
electronic and continuous transfer of funds on real one bank to many bank accounts and many
time gross basis without netting. This payment banks to one bank account. ECS volumes and
system is used for high value transactions above values at RBI Platform are showing decreasing
trends because w.e.f. 1st May, 2016, ECS was However, w.e.f. 16th December, 2019, RBI has
replaced by National Automated Clearing House allowed NEFT facility 24x7 basis. Chart 4 reflects
(NACH) at NPCI Platform. NACH is more efficient the 85 % increase in volumes and 173% increase
and faster centralized electronic clearing system in value.
with various features of standardization and EFT / NEFT
digitalization of mandates, minimum activation
250000
time and reduction of operational cost. Chart 3, 200000
Axis Title
NACH transactions reflects the 105% increase 150000
100000
in volumes and 260% increase in value from the 50000
0
period 2015-16 to 2018-19. 2015-16 2018-19 2015-16 2018-
2019
ECS Debit & Credit EFT / NEFT 1252 2,318.89 83273 227,936.08
1800
1600
1400
1200
Chart 4 : Comparative Study of EFT / NEFT for the
1000
800 period 2015-16 and 2018-19
600
400 Source: RBI Bulletin Payment System Indicators
200
0
2015-16 2018-19 2015-16 2018-2019 • Immediate Payment Service (IMPS): is 24x7
ECS Debit 224.75 0.93 1651 12.6 instant electronic funds transfer systems between
ECS Credit 39 5.36 1059 132.35
all the banks in India through ATM, Mobile
NACH and Internet. IMPS was launched by NPCI on
22nd Nov, 2010 and the users can transfer the
14000
12000 money through MMID and M Pin. Chart 5 reflects
10000
8000 the tremendous 694% increase in volumes and
6000
4000 880% increase in values because of mobile and
2000
0 internet banking with benefits of safe, secure
2015-16 2018-19 2015-16 2018- 2019 cost effective and 24 hours availability including
Volume in Million Value in Billions holidays.
Series1 1392.79 2,861.38 3715.09 13,383.60
IMPS
Chart 3: Comparative Study of ECS Debit, ECS
16000
Credit & NACH for the period 2015-16 and 2018-19 14000
12000
Source: RBI Bulletin Payment System Indicators 10000
8000
6000
• National Electronic Funds Transfer (NEFT) 4000
2000
0
is one to one nationwide electronic payment 2015-16 2018-19 2015 -16 2018 - 2019
System where individuals, corporate, firms can
transfer funds to others having a bank account IMPS 220.81 1,752.91 1622 15,902.57
throughout India. Till recently, NEFT system was Chart 5 : Comparative Study of IMPS for the period
offered on RBI Platform in 23 batches from 8.00 2015-16 and 2018-19
AM TO 6.30 PM except 2nd and 4th Saturday. Source: RBI Bulletin Payment System Indicators
Mobile Banking Services are offered 24x7x365 by
banks to their customers through Mobile Applications
via internet banking or mobile data connection.
Customers can download the mobile app from play
store and with internet banking password/customer
ID and can generate Mpin. Customers can do
various transactions like view the account balances,
credit card balance, transfer funds, create on line
fixed deposits, change or block password, make
investments etc. There has been an increase in the
registered customer base for mobile banking as well Chart 7 : Comparative Study of Mobile Banking
by 1492% in volumes and 632% increase in value. Volumes & Values for the period 2015-16 and
during 2015-16 to 2018-19. The sharp increase 2018-19
in mobile banking was due to convenience, cost Source: RBI Bulletin Payment System Indicators.
effectiveness, reduced visits to branch, anywhere any
Unified Payments Interface (UPI): is another
time availability, P2P Payments, utility bill payments
etc. important, instant and real time initiative in retail
electronic payment system introduced in 2016.
This interface is regulated by RBI and facilitated by
NPCI which connects multiple bank accounts and
customers can instantly transfer the funds through
mobile device with virtual address of the customers.
UPI has made processing simple to the extent of
text message via mobile application without the
requirement of bank account. Chart 8 shows that
UPI recorded volume of `5165.11 million and value
of `7970.69 billion during the financial year 2018-19
Chart 6: Comparative Study of Mobile Banking
and the increasing trend in FY 2019 - 20 (April - June
Volumes & Values for the period 2015-16 and
2019) reflect 2223.16 Million in volume and 4215.83
2018-19
billion in value. UPI transactions have exceeded all
Source: RBI Bulletin Payment System Indicators
other modes of digital payment system and have
Card Payment System - Indian Customers are become a role model for other countries. NPCI has
increasingly using the Cards more for shopping at provided UPI open architecture to more than 30 Non-
point of sales, online shopping through internet and Banking Players by closely working with Payments
mobile banking as compared to cash withdrawals at
Council of India and Internet Mobile Association of
ATMs. Chart 7 shows a 124% increase in volume and
India to provide solutions to Start Ups and Fintech
149% increase in value for credit cards and a 54%
Companies.
increase in volume and 44% increase in value for
debit cards.
Bharat Interface for Money (BHIM) is a funds transactions and 168% increase in point of sales
transfer application on Unified Payment Interface transactions during the four year period from 2015-16
(UPI) for quick transactions of payments in a simple to 2018-19.
and easy way. This application can be downloaded
from play store in smart mobile devices with android Number of ATMs and Point of Sales
version 5.0 and above. Customers can send and
receive money through BHIM Application by using 4000000
Virtual Payment Address i.e. UPI ID and Mobile 3500000
3000000
number. Chart 8 shows that BHIM volume `186.78
NUMBER
2500000
million and `796.37 billion value during the financial 2000000
1500000
year 2018-19 and increasing trends continues in FY 1000000
2019-20 (April - June 2019). 500000
0
USSD : *99# is Unstructured Supplementary ATM Point of
Sales
Service Data launched by NPCI to offer common In Actuals 2015-16 212061 1385668
banking services through mobile devices initially by In Actuals 2018-19 221703 3722229
two telecom providers MTNL and BSNL. Banking
Customers can dial *99# on their mobile devices and Chart 9 Aadhaar Based Retail Payment Systems
do various transactions like funds transfer, balance
consists of Aadhar Enabled Payment System (Inter
enquiry, changing UPI pin etc. All GSM service
Bank) through Micro ATMs (e.g. Cash withdrawal/
providers and 41 banks in India are offering USSD
Cash Deposit) and APBS Credit (Disbursement
service. Table 8 reflects that during the period 2018-
19, USSD volumes have touched 1.51 Million and based on UIDAI no.). These two initiatives are taken
value of transactions being 2.67 billion. by NPCI to provide an impetus to Financial Inclusion.
Retail Payments on NPCI Platform It is a very simple and easy to operate bank led model
where the customer's BIN (Bank identifier number),
10000
8000 Finger print and Aadhar Number can do transactions
6000
4000
at Micro ATMs through the business correspondents.
2000 APBS enables to disburse Direct Benefit Transfers
0
UPI BHIM USSD ToTAL directly to customer’s bank accounts after receiving
F.Y-2018-19 Volume (in Mn) 5165.11 186.78 1.51 5353.4
F.Y-2018-19 Value (in Bn) 7970.69 796.37 2.67 8769.73 the Aadhar numbers. Chart 10 reflects increasing
volumes and values both in AEPS and APBS credit.
Chart 8 : Comparative Study of UPI, BHIM & USSD
for the period 2015-16 and 2018-19
Source: RBI Bulletin Payment System Indicators
ATMs and Point of Sales (POS) numbers are also

increasing. Chart 9 shows 4.54% increase in ATM
Labs, Self regulatory body, dedicated organizational
Aadhar Based Retail Payments on
structure to be created by each regulator are other
NPCI Platform
important recommendations given by the group.
2000
1500 The study group also recommended that regulated
1000 Financial Institutions and Banks need to be motivated
500
0 to collaborate with FinTech/start-ups to provide
AEPS APBS TOTAL
CREDIT better customer services, delightful experience and
F.Y-2018-19 Volume
(in Mn)
247.68 1494.4 1742.08 compliance with regulations. FinTech collaborations
F.Y-2018-19 Volume 670.1 862.26 1532.36 in various areas like lending, payments, data privacy,
(in Bn)
data analytics, and risk management should be
Chart 10 encouraged. Indian banks and Fintech companies
have started the process of E-Collaboration with
New Emerging Financial Technology (Fintech) &
investment and funding by FINTECH Companies
E-Collaborations
like Paytm, Freecharge, Google, etc. According to
The Indian Banking and Payment System is BCG Report, Indian Banking industry is poised with
witnessing various new emerging technologies like potential growth and market size of 100 Billion Dollars
Block chain, Distributed Ledger Technology (DLT), by 2023. According to NASSCOM, Indian Fintech
Artificial Intelligence (AI) Machine Learning, Robotic Market is expected to touch 2.4 Billion dollars by 2020.
Process Automation (RPA), Bio metrics, Chatbots and Indian banks have already started E-Collaborations
use of Big Data and Predictive Analysis offered by for innovative technology for processing of financial
the Fintech Companies. Fintech provides innovative transactions through Artificial intelligence, Blockchain
technology and effective payment solutions to and Robotics Process Automation. Three main
the traditional banks and enhance customer’s challenges of Fintech namely Cyber Security, lack
digital banking experience. Reserve Bank of India of Human touch and Acceptance by winining banks'
constituted the Working Group on Fintech and customers' trust and confidence, however, need to be
Digital Banking in November 2017 to understand strengthened.
the emerging major Fintech developments and the
Challenges and Opportunities in Implementation
process of adaptation of new delivery channels by
of Digital Banking
the financial sector and markets. The study group
also focused on opportunities, risks, challenges, so Challenges
that appropriate regulations and guidelines can be Sustainable Competitive Advantage: The main
formulated. Various recommendations were made challenge in implementation of digital banking is
by the Study group to develop better understanding about its continuity and sustainability. Customer
of Fintech Products and the inherent risks involved. education and Financial Literacy should be continued
Regulatory actions may be classified into five broad to make more people digitally inclusive.
categories based on the level of risks. Creation of
Customer Retention: has become another important
Innovation Labs, Insurance Companies collaborating
challenge in today`s post-loyalty world. Consumer’s
with Insuretech, Regulatory Sand Box / Innovation
demands are changing in this tech savvy and highly are phishing, vishing, hacking, credit card frauds,
digital era as they are not tied up with traditional cloaning etc.
banks. Technology giants are offering superior digital
Increasing Digital Banking Complaints: are having
offerings like Amazon, Face book, Google to attract a negative impact in digital banking. As per the
the customers. Banks need to innovate or partner Annual Banking Ombudsman Report 2017-18, the
with them. total number of complaints received in the year 2017-
Digital Native, Intelligent, Social, Connected (DISC) 18 were 163590 received by the 21 Ombudsman
Approach - need to be adopted by the banks today offices which reflect 24.9% more than in the year
to understand customer context and provide fresh, 2016-17. The major reasons for the complaints relates
agile and relevant digital solutions to consolidate to mismatch in the services promised at the time of
their digital leadership. Merchant Acceptance and opening of accounts and actual services delivered
by bankers. For example, commitment failures
Infrastructure need to be increased both in rural and
(6.8%), non compliance with fair customer services
urban space.
code (22.1%). The complaints relating to Digital and
Skilled Resources: Automation in banking process E-Banking and Cards amount to 28% of total number
through Digitalization, Artificial Intelligence (AI) of complaints (ATM & Debit Card - 15.1% , Mobile and
and Robotic Process Automation (RPA) have Electronic Banking - 5.2% and Credit Card - 7.7%)
brought about sociological challenges. Banks need which has increased 9% more than the previous year.
to understand the impact on jobs and train the Customer satisfaction and trust of customer electronic
workforce with new IT skills so they can be moved to mode of transactions is further affected with rise in
newer roles. Capacity building of human resources number of cyber crimes and frauds. Indian Economy
and training on the new digital and Fintech products has witnessed the highest number of online frauds
are necessary to enable banks to ensure responsible as a Survey by FIS, a financial services technology
growth, as well as to have a positive impact in the provider showed that 18% of Indian banking customer
future. suffered from online banking frauds in 2017.
Cyber Security Risks : The Centre for Software and IT Too Big to Fail: NPCI has grown so exponentially
Management (CSITM) in their study conducted at IIM in digital banking payment systems that in February
Bangalore has pointed that one of the most important 2019, RBI has classified it as “Too Big to Fail”. To
challenges in building trust among the customers is minimise or avoid the concentration risk in retail
about cyber security risks. In their study, they have electronic payments Systems, RBI encourages more
identified the potential risks in Digital wallets, specific payments system operators to control and process
digital banking transactions.
bank’s app for account holders, direct link with user’s
bank, and basic USSD services. The study pointed Opportunities
towards some privacy and security concerns in digital
New Innovative Product Design: Due to various
wallets where time of doing transactions, automatic initiatives taken by RBI, Government of India and
linkage and amount deduction happens without the Banks in promoting digital banking have resulted in
mandate of the customer. Other types of security risks increasing adoption and usage of digital banking by
customers. The new age customers are aware of the through cards, digital wallets and QR Codes.
benefits and ready for new digital solutions. Banks
Other Important Opportunities
need to focus more on product design, service
delivery, and customer support. Bharat Bill Payment, • Increasing Mobile and Payment Infrastructure.
Interbank Web based Platform, E-mandate part of • Government and RBI as a regulator that have
NACH and Digital platform for high value electronic been promoting the development of a strong
transactions are the proposed new launches by NPCI. digital economy.
Better Regulatory Environment: Data Connectivity • The start-up machinery of India, especially the
and the Spread of Smart phones have improved FinTech boom, has given a chance to all banks
the digital ecosystem by providing an efficient and and NBFCs to connect with agile and brilliant
effective regulatory environment. start-ups and take these solutions to their
Leveraging the power of Social Media: Social customers.
Media Technology, Digital Assistants and third party Conclusion
channels like Facebook, Twitter for leveraging internal
There could not be a better time to be in digital banking
capabilities are likely to become the primary channels
in the Indian Payment System than now. Above
by 2022 apart from online and internet banking.
statistics shows the increasing trends in adaptation of
Organisations that are able to identify this and
digital banking products and new Fintech emerging
organise efforts around this, will see huge dividends.
products. While there will always be challenges,
Digital Financial Inclusion: Pradhan Mantri Jan opportunities also exists for those banks and financial
Dhan Yojana (PMJDY) launched in 2014 played a Institutions who are ready to innovate and offer more
revolutionary role in building a digital economy. The digital financial products to the customer. Banks
number of beneficiaries increased to 36.41 Crore with and Fintech E-Collaboration with new digital ideas
`100985.21 Crore Deposits and with 29.10 Crores have a positive impact on economic and business
Rupay Card issued as on 24th July, 2019. Number development. Infosys Finacle launched Research
of beneficiaries at rural and semi urban centre bank report in 2018 in which, 300 banks participated
branches touched 21.58 crore which was possible where 70% respondents suggested that Artificial
through JAM-Jan Dhan Aadhar and Mobile together. intelligence will have significant impact in improving
The Digital India Initiatives to connect people with customer support/services and 50% respondents
various payments systems like UPI, Small Finance and believed that 40% of the current electronic and digital
Payments Banks, Bank, Business Correspondents, transactions will move to public cloud. The research
Bharat Net, The National Optical Fibre Network also recommends that Open Banking (Application
(NOFN), AEPS and Biometrics have played an Programming Interface), Machine Learning,
important role and still have more opportunities to Chatbots, and RPA are the strong emerging Fintech
achieve deeper penetration of Financial Inclusion top Innovations of the future. The Digital Payment
through digitalisation. Demonetization in 2016 also Ecosystem with Fintech collaboration and global
became a tool to digital economy where, more Indian technological giants are acting as aggregators for the
citizens from smaller cities started paying digitally retail transactions. Measurement of Digital Payments
is extremely important to monitor progress. The new challenges-and-opportunities.
emerging financial technologies in Indian Payment
• RBI Payment System Vision 2021; Retrieved from
System will continue to be evolving, reaching
RBI Website www.rbi.org.in.
global heights with regulatory compliance and risk
management to achieve the vision of Digital Indian • RBI Journal July 2019; Payment System Indicator
and Financial Inclusion. Retrieved from RBI Website www.rbi.org.in.
References: • NPCI Statistical Data on Retail Electronics

Payment System; Retrieved from NPCI Website
• Rajnish Khare, 5th March, 2018, Commentary,
www.npci.org.in.
Banking Technology, Banking in the Digital Era,
Challenges and Opportunities, Retrieved from • Progress Report on Prada Mantri Jan Dhan
https://asianbankingandfinance.net/banking- Yojana ; Retrieved from www.pmjdy.gov.in
technology/commentary/banking-in-digital-era- 
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Banking: Sailing across the economic
downturn
 Gopal Shekhar Jha*
A common theme for discussion, shared these days changing ecosystem. Innovative banking products,
by all is “Economy is slowing down”. Corporates, re-engineered customer friendly processes and real
Government, Banks, Economists and even at a small time monitoring system are need of the hour.
gathering at tea stalls, people are busy with unending
Product for the need:
brain storming. The auto sector demand is sinking.
The reality sector and even the low priced biscuit 1. Cash flow based loan products: Collateral backed
packets are unable to find consumers. Recession is finances have remained all-time favourites with banks.
approaching, some experts warn. US-China Trade The factories, power plants, flats or land accepted as
war added to the negative sentiments in the global security lost sheen after dip in property market. A few
economy, say forecasters. Banks tried shortcuts to keep their balance sheet sizes
afloat by targeting credit cards and personal loans
Other experts believe that the long established
business. But such measures can offer a few breaths
dynamics of economy is shaking and these are
mid-air turbulences. Mr. Rajnish Kumar, Chairman during the slump in collateralized credit but not a
of India’s largest Bank, SBI, insists that “There is no long life. Advancement of E-commerce sites, GST
recession in the country, just decline in demand in portal, E-way bills, Digital payments and automation
certain sectors”. Tech-savvy millennial generation in logistics management have paved the way for
is entering the arena. Customers are now, well getting real time data on transactions and cash flow
informed, demanding and impatient. Consumer of a business. A shift, in favour of cash flow based
aspirations, financial behaviour, product offerings loan products, will make the approval and disbursal
as well as business models are changing sooner process fast. Real time business data will assist better
than expected. All major economic activities are monitoring of allocated funds. Any hiccups in the
being automated, from manufacturing to Tax returns cycle will be visible immediately at the financers’ end.
assessment. New age entrepreneurs are ruthlessly Timely repayment is an added advantage. Cash flow
disrupting long established business processes. based lending will go well with the start-ups and small
Inability of stakeholders to absorb the change swiftly businesses, having good revenue generation but less
is causing the jerk, they opine. access to collaterals.
The debate continues. But, all agree to a fact: the 2. Financing business models: Turnover and
course of economic activities is shifting. Banks, projected profits, influenced the credit approval
playing a vital role in economy, must adapt to the process of banks during the last few decades. The turn
*Faculty & Chief Manager, Baroda Academy-SPBT College, Bank of Baroda.
of the century witnessed entry of tech savvy millennial generating large quantity of waste in a municipal area
generation and affordable data access to all. They have obligation of composting green waste inside
acted as an ideal breeding ground for app based the campus. This compels them to purchase a bio-
business ideas. New business models capitalize on composting machine worth 10-20 lacs. Government
an idea, of solving a problem or just to crack the directions for rain water harvesting, waste water
complicated maze of processes, for consumer friendly treatment and reuse are generating credit demand
access to a product. This, in turn, generates revenue. for purchase of sewage treatment plants. Fund
These businesses require minimum inventory and availability is also crucial for structural changes
office spaces. Optimising resources by utilising required in the existing construction to abide by the
machine learning, data backed customer selection, norms. Municipalities are initiating projects to clean
with targeted product delivery, are the USPs of these old dumping yards by using new technologies like
business models. Rise of OLA, Food Panda, Amazon, bio-mining and bio-remediation. The infrastructure
Metlife, Paisa bazaar, OYO rooms had a twister effect setup, like laboratories, recycling plants, earthmovers
on well established business models of retail Stores, and employing labour for the cleaning process,
restaurants, brokers, travels and hospitality sector. require financial support. Banks have a golden
Bankers need to understand such new revenue opportunity to design products to cater to these newly
models and devise ways to assess their viability. SBI, created demands from economic and environmental
Bank of Baroda and other major banks have tied up compliance activities.
with Amazon, Ola and similar companies. The sales
4. Financing new aspirations: New-gen consumers
data available with these companies is real time,
have a frequent urge to upgrade their cars and
accurate and in line with actual transactions of their
houses. The inclination for better features and offers
business partners. Whether, it is to finance a car to an
has reduced car possession time from 7-8 years to
Uber driver or an overdraft limit to an Amazon seller,
2-3 years. Availability of relatively new car models at
aggregator data may help in redesigning risk rating
an attractive price point creates a sense of “Value for
sheets of banks for estimating credit requirements
money” and affordability in pre-owned car segment.
of new entrepreneurs. Guarantee from aggregator
The global experience shows that, in a developed
companies further ensures regular recovery of funds.
market, sale of new to pre-owned car maintains a ratio
Value chain finance, cold chain finance, factoring,
of 1:3 respectively. About 50% customers in the latter
financing against GST receivables comprise new
category belong to 25-34 years’ age bracket. Experts
offerings by banks to grab the opportunity.
believe that a shift in demand towards pre-owned
3. Financing new purposes: Government agencies car market caused the slowdown in new car sales.
are enacting new policies for revenue collection and Maruti True-Value, Cars24, Mahindra First choice, Olx
environment protection. Generation of sales invoice, cash my car, are major players in used car segment.
e-way transportation bills and quarterly filing of GST Steady rise in their number and turnover supports
returns are mandatory now. Compliance requires the assumption. The traditional vehicle loan products
computers, printers, network and other investments, make bankers reluctant to finance pre-owned cars as
even at a kirana store or a transporter with a small the correct valuation is a grey area in the process. Use
fleet. A housing society or a commercial building, of data analytics and artificial intelligence tools may
enable banks in tracking the correct history of cars decision, avail credit and fulfil their wishes instantly.
and ensure proper valuation. Majority of the people Vidhyalakshmi, udhyammitra, psbloansin59minutes
planning to purchase pre-owned cars are first time portals are launched by government to enable
buyers. Many of them might not have any loan history. individuals and entrepreneurs to apply for educational
It is important for banks to design new products loans, SME loans, housing loans or personal loans
for easy credit availability to these customers. The respectively, at their convenient place and time. They
housing sector is also showing a similar trend and can upload their documents, select preferred bank
a tie up with 24acres.com, Magicbricks and other branch and submit their request. Portal takes care of
companies in resale housing market is an upcoming verifying KYC details, IT returns, GST claims, credit
opportunity to give a positive boost to bank business. history and even the turnover in the bank account
declared by the applicant. Provisional loan approval
5. Subscription is better than ownership:
is available without any manual intervention or a need
Purchasing music cassettes or a CD of latest movie
to visit the bank branch. Recently, HDFC bank started
songs was a craze a decade ago. Now, everybody is
offering pre-approved car loans to its customers on
subscribing to itunes, t-series, saavn apps. Builders
carmakers’ websites. Use of application programming
are launching projects for elderly, where flats are
Interfaces (APIs), data based on credit history and
available on subscription basis. Mahindra & Mahindra,
transaction with the bank, makes loan application
Zoomcar.com are rolling out monthly plans for cars-
process seamless and fast for the customers making
on-subscription. Customer can now subscribe
up their mind to purchase a car even at mid-night.
for furniture on Livefeather or Furlenco websites.
Consumers are avoiding asset creation on ownership 2. Ask less, verify more-online-anytime: Availability
basis and investing large sum in one go. The added of new digital infrastructure enables banks in better
obligations of an owned asset and issues at the identification of customer and faster verification of
time of disposal or re-location are major deterrents. income and business data. Digital records of Invoice
These are fuelling the demand for subscription based issued, e-way bills, transactions of a firm through
revenue model in construction, auto, furniture and aggregators/E-Commerce/ POS are now accessible
even service sector. New financial products offerings, to lending institutions. The RBI committee recently
designed with adequate study and risk profiling of recommended digital KYC, enabling digital site
upcoming business models is essential to realize the visit with geo-location tagging and video KYC to
funding demand of the sector. boost the speed and authenticity of customer and
asset verification process. Use of digital signatures
Process with customer in mind:
may help in easy & seamless on-boarding of
1. Request credit whenever you desire: An ocean customers. Digital platform available for documents
of information is available online, regarding newly upload (Digi-lockers), online stamping and online
launched products, facts, comparison, reviews and mortgage repository (CERSAI) will help in ensuring
all. Increased customer awareness is changing the proper charge creation. Demanding less number of
rules of the game customers who like a mobile set documents while creating 360-degree risk profile of
or decide to buy a mixer-grinder on a go accessing the customer, based on the available data sources,
Amazon or Flipkart sites to help them take informed can aid credit access to individuals and MSME sector,
hitherto excluded from formal credit market. economic behaviour of customer. The established
credit monitoring and recovery strategies of banks
3. Get the product delivered at doorstep: Change
may have become obsolete in the altered setting.
in lifestyle and economic environment have squeezed
New data sources available on public domain
the time available with individuals and enterprises to
regarding job vacancies, dividend, legal action and
cater to the unending banking processes for availing
other announcements related to a company can give
a facility. ICICI bank has recently launched “Instabiz”,
better idea about the health of the company. The
a product for enterprises. Customer can avail about
data from banking transactions, GST, POS, e-way
115 products and services with this app at their
bill, aggregators, crowd-sourced data, social media
convenient time and place. They can apply for Bank
sentiment etc. are available for reference to the bank.
Guarantee online and get it delivered at doorstep.
Monitoring assisted by the latest data processing
Cutting edge products for seamless delivery of
technologies like artificial intelligence, data mining
all banking services, whenever and wherever the
and strategic alliances with fintech companies can
customer desires, will help in retaining business.
help the banks in accurately assessing the cash flow
4. Co-origination is better than competition: At the of an individual or enterprise. Any mis-match in cash
time of recession and low credit demand, bank tend flow pattern like decrease in salary component of a
to move down to smaller cities and rural areas. The person, increase in receivables of an enterprise or tax
search for borrower in these areas forces them to outstanding should automatically raise red flags for
target customers already covered by micro-finance initiating recovery efforts.
companies. They may already be in significant debt.
2. Identify risk on source of income: Retail lending
Further, financing the same group, ignoring basic
has been the favourite domain of banks. Retail
banking norms, or offering increased credit limit, will
products depend heavily on the expected future
sooner or later, lead to stretched household finances
income of the applicant. Credit limit is computed on
and credit recovery issues. Banks joining hands
the basis of projections. Banks still refer to the credit
with microfinance companies for co-origination of
history and IT returns for predicting delinquency risk
credit proposals makes sense. Cash rich banks
of an individual. Income and repayment history of a
get the benefit of extended network of micro-credit
person may project a rosy picture. But the sector,
companies for proper customer identification and
in which he is employed, may be revealing erosion
recovery. The cash starved companies, in turn, get
in future growth prospects. Banks are not linking
funds to retain their regular customers. The benefit
the industry risk data with the individual income
of need based personalized customer service offered
expectations. Lack of regular stress testing of retail
by these companies, can help banks to maintain
credit exposure, caused the rot in credit card and
higher Net Interest Margin (NIM) during tough period.
educational loans portfolio during the last recession
A stitch in Time: phase, after heavy layoff by reputed companies. Bank
1. Monitor fund flow: The last economic downturn should start factoring the risk on the source of income
appeared about a decade ago. The subsequent years during credit risk assessment of retail assets.
saw a path-breaking advancement in technology and 3. Recruit and train: “Bankers will have to develop
modifications in policies, political priorities and socio- industry knowledge in key areas or bring on board
industry experts, since consultants can be biased.” her default circumstances are different. A person
This is what Dr. Raghuram Rajan says in his book may have simply forgotten an Equated Monthly
“What the economy needs now”. The recent debacle Installment (EMI) or might be experiencing a financial
of IL&FS and other big companies has exposed the hardship. Businesses may be in need of extra funds
risk of relying heavily on external credit agencies. to withstand difficult times, before achieving enough
A blind faith on consultants conducting techno- cash-inflow for repayment. Maintaining contact with
economic viability of projects led banks to lose the customer, through visits, courtesy call or online
money. Banks are required to create a talent pool portal may help them to share their financial problems
and groom the talent pool members, to analyse like blocked investments, increase in input prices
and foresee future risk on bank funds, will assist. etc. with banks. Bank will get a deeper insight into
The senior management of a bank is instrumental their financial position. Recovery strategies need to
in approving most of the credit decisions. They are be tailor-made accordingly. Revision in credit terms,
having a long traditional background but limited restructuring of accounts or offering top up finance to
technological expertise. Active collaboration of their eligible customers, without compromising on safety
banking experience with new employees having of funds, may be the solution. Educating borrowers
command on latest technologies may create a magic about managing finances and optimum level of
for banking sector. Regular updating of knowledge inventory may also help revive business in certain
and skills of bankers will enable them to identify the cases. Creating a strong credit base and future loyal
potential and take calculated risks on projects and customers should be the final destination.
businesses of the future. Preparation is the key to
6. Rush to Recovery may hurt: A downturn in
success – particularly in a financial downturn.
economy creates large number of delinquent
4. Keep the eyes open: Financial downturn tempts accounts. The overdue amount increases, making
fraudsters towards getting easy money to come out bankers eager to recover. Historically, banks have
of their personal financial crunch or bad investments. always dealt with higher volumes of delinquent loans
The basic Modus-operandi involves bypassing rules, by hiring in-experienced staff and hurling them on field
creating fake or forged documents or synthetic for recovery. The loan collection strategy, designed
identities for availing credit facility or for diverting without having any background of the customer
funds from sanctioned limits. Economic down-turn or his business cycle, may backfire. Experiences
weakens the credit demand and thus increases the confirm that, inappropriate recovery methods lead to
cash holding of a bank. High pressure on bankers customer dissatisfaction, further loss of credit quality
to meet credit targets, makes them susceptible to and increased litigation. The banking sector has
fall into the trap. Use of AI, Fraud risk Management experienced it during the last recession period around
software technologies and Fintech partners for 2008-09 where the newspapers used to be filled with
identity verification, fund monitoring, tracking financial news of customers harassed by recovery agents
behaviour and social media activities may prove to causing reputational loss to banks. It is better to select
be an important shield against the deception risk at good recovery personnel and train them properly
every point in banking business. about the laws of the land. Ensuring compliance of
standard banking procedures and empowering them
5. Connect to know: Every customer and his/
with sufficient information on customer background
is very important. The objective of hiring a recovery in troubled waters of economic downturn. As a CII ad
professional should be to build better customer says: “Brands may be loved today, but they need to
connect, enrich customer confidence and in turn endear themselves to new sets of customers’ every
increase on-time recovery of bank’s dues. day. And they can do so only by making changes that
are relevant to the new audience.”
Conclusion: The current economic downturn differs
from what happened in 2008-09. Tech-savvy, high References
spending, “Millennials” are now the new customers
1. Various articles from economictimes.indiatimes.
of financial institutions. Their aspirations, choices
com
and awareness level, in the affordable data world, are
poles apart from what was expected by the earlier 2. https://www.openlink.com: CNBC ; Dick Bove:
generations. Information about laws and customer Banks could take ‘the easy road’ on loans and
rights is available on fingertips to refer. The economy cause a recession
is witnessing shifts in business models, financial 3. https://www.bankingexchange.com: Four Ways
requirements and service quality expectations of Financial Institutions Can Prepare their Collections
customers. The changing ecosystem necessitates Strategies for a Potential Recession
banks to offer innovative products, easily accessible
4. https://hbr.org : How the Great Recession
delivery channels along with real time monitoring.
Changed Banking
New data sources are available through Artificial
Intelligence, Fintech platforms, portals of GST, IT, 5. https://www.mckinsey.com:Used cars, new
E-way bill, courts, MCA, CERSAI, CRILC, Social media platforms: Accelerating sales in a digitally
sites and others. 3600 customer risk profile generated disrupted market ; A big, stable, largely
by new data platforms provides better insight into countercyclical market
socio-economic behaviour of the customer and 6. https://www.bigskyassociates.com: A Slow
enterprises. Imbibing them in banks’ processes will Economy Challenge, Opportunity
be the success mantra for a stable balance sheet size
7. https://www.livemint.com: In an event of a global
and asset quality. A delighted customer will help in
recession, monetary easing won’t be of much help
capturing a better market share. Last but not the least,
8. Reserve bank of India: rbi.org.in
regular training and empowering human resources
will be at the heart of all banking endeavours, to sail 
Bank Quest Articles - Honorarium for the Contributors

S.No. Particulars Honorarium Payable
1 Invited Articles `7000
2 Walk-in Articles `4000
3 Book Review `1000
4 Legal Decisions Affecting Bankers `1000
भारत में वित्तीय साक्षरता का प्रसार -
रणनीतियाँ
 विजय प्रकाश श्रीवास्तव*
हमारे देश भारत को विकासशील देशों की श्रेणी में रखा साक्षर व्यक्ति, चाहे उनकी शिक्षा का स्तर जो भी हो, वित्तीय
जाता है। विकासशील देशों की स्थिति अल्पविकसित देशों से मामलों में भी साक्षर होंगे, यह निश्चित रूप से नहीं कहा
बेहतर होती है पर विकसित देशों की श्रेणी में शामिल होने जा सकता। यह अनुमान जरूर लगाया जा सकता है कि
के लिए उन्हें लंबा रास्ता तय करना होता है। विकासशील अल्प शिक्षित समुदाय में वित्तीय साक्षरता की कमी ज्यादा
देशों के कई लक्षण बताए गए हैं। इनमें प्रति व्यक्ति औसत देखने को मिलेगी। लेकिन यह नहीं कहा जा सकता कि
आय कम होती है, संसाधनों की प्रचुरता भले हो, इनके पास उच्च शिक्षित वर्ग में सभी के पास वित्तीय साक्षरता का भी
वांछित स्तर का मजबूत बुनियादी ढांचा अर्थात इंफ्रास्ट्रक्चर ऊंचा स्तर होगा।
नहीं होता। कृषि के लिए इन देशों में आधुनिक तरीकों वित्तीय साक्षरता से आशय अपने वित्तीय मसलों को समुचित
का व्यापक इस्तेमाल अपेक्षाकृत कम होता है तथा आबादी रूप से संभालने की जानकारी रखना है। अंतर्राष्ट्रीय
अक्सर पूर्णतः साक्षर नहीं होती। भारत में यह सारे लक्षण आर्थिक सहयोग एवं विकास संगठन द्वारा दी गई परिभाषा
देखने को मिलते हैं हालांकि आज़ादी के बाद देश ने काफी के अनुसार वित्तीय साक्षरता वह प्रक्रिया है जिसके द्वारा
प्रगति की है। वित्तीय उपभोक्ता/निवेशक वित्तीय उत्पादों,अवधारणाओं तथा
साक्षरता का विकास से सीधा संबंध है। अमेरिका, जोखिमों को बेहतर ढंग से समझते हैं तथा जानकारियों,
ब्रिटेन,जर्मनी जैसे विकसित देशों में साक्षरता करीब शत अनुदेशों एवं अन्य सुविचारित सलाह के जरिए वित्तीय
प्रतिशत है। नवीनतम उपलब्ध आंकड़ों के अनुसार भारत जोखिमों एवं अवसरों के प्रति ज्यादा जागरूक बनते हैं।
की आबादी में लगभग तीन चौथाई लोग साक्षर हैं। साक्षर इससे वे सोच-समझकर वित्तीय निर्णय ले सकते हैं, उन्हें पता
उनको माना जाता है जो पढ़ और लिख सकते हैं। इस प्रकार होता है कि सहायता के लिए कहाँ जाएं तथा अपने वित्तीय
से अल्प शिक्षित लोगों को भी साक्षर कहा जाएगा। यह भी कल्याण हेतु कौन से कदम उठाएँ।
एक तथ्य है कि हमारे देश में साक्षर लोगों में उच्च शिक्षित इस प्रकार यदि कोई व्यक्ति वित्तीय साक्षर है तो उसके पास
लोग कम हैं। इसके बहतु से कारण हैं जैसे उच्च शिक्षा बचत तथा निवेश के विभिन्न विकल्पों, इन विकल्पों के गुण-
महंगी है जिसका खर्च सभी वहन नहीं कर सकते, उच्च दोषों तथा संबन्धित जोखिमों की समझ होगी जिनके आधार
शिक्षा की सुविधाओं का पूरा विस्तार भी नहीं है और एक पर व्यक्ति उपयुक्त निर्णय ले सकेगा। वित्तीय साक्षरता
बड़ी जनसंख्या थोड़ी-बहतु शिक्षा प्राप्त कर रोज़ी कमाने में व्यवहार में तब दिखती है जब वित्तीय बाज़ार में उपलब्ध
लग जाती है। विकल्पों का आकलन कर सर्वोत्तम विकल्प का चयन किया
*संकाय सदस्य, इंस्टिटयूट अाॅफ ब्�किंग पर्सनल सिलेक्शन।
जा सके। यह साक्षरता लोगों के व्यक्तिगत हित में तो होती विगत दो दशकों में हएु परिवर्तनों ने वित्तीय साक्षरता की
ही है, इसका लाभ राष्ट्र को भी मिलता है। अल्प विकसित, आवश्यकता को और भी महत्वपूर्ण बना दिया है। हमारे देश
विकासशील व विकसित, सभी देशों की सरकारें अपने यहाँ की आबादी में युवाओं का प्रतिशत दनिया ु के किसी भी देश
वित्तीय साक्षरता को बढ़ावा देना चाहती हैं। इसमें सरकारों से ज्यादा है। इनमें से बहतु से युवा अच्छी आय अर्जित कर
के अपने प्रयास होते हैं तथा अन्य एजेंसियों की भी मदद ली रहे हैं। भले ही इन युवाओं ने प्रौद्योगिकी या अन्य विषयों
जाती है। वित्तीय साक्षरता के प्रसार के पीछे निम्नलिखित में आधुनिक और उच्च शिक्षा प्राप्त की हो, यह जरूरी
मुख्य उद्देश्य होते हैं- नहीं है कि उनके पास वित्तीय प्रबंधन की कुशलता भी हो।
- लोगों में बचत करने की प्रवृत्ति विकसित हो जिसका खर्च करने को उनके पास तमाम प्रलोभन होते हैं। यह वर्ग
उपयोग वे वर्तमान एवं भावी जरूरतों के लिए बचत बचत करना सीखे, निवेश की आदत डाले, इस दृष्टिकोण
कर सकें । साथ ही लोगों को विभिन्न वित्तीय उत्पादों से इसे वित्तीय साक्षर बनाना आवश्यक है। छंटनी और
की जानकारी व समझ हो ताकि उनके लिए सर्वोत्तम डाउनसाइजिंग के संभावित खतरों का सामना अपने वित्तीय
उत्पाद चुनना आसान हो। आधार को सुदृढ़ बनाकर ही किया जा सकता है जिसमें
वित्तीय साक्षरता काफी मदद कर सकती है।
- जीवन के विभिन्न पड़ावों पर वित्तीय जरूरतों का
अनुमान लगा कर लोग पहले से इंतजाम करके रखें वैश्वीकरण एवं उदारीकरण के चलते वित्तीय बाज़ार का
ताकि उन्हें अनावश्यक ऋण के कुचक्र में न फंसना दायरा बहतु बढ़ चुका है। वित्तीय उत्पादों में अब काफी
पड़े । विविधता है। इन उत्पादों की पेशकश के लिए बहतु से
नए संगठन बाज़ार में आ चुके हैं। कुछ उत्पादों की रचना
- लोग ब्�किंग की आदत को अपनाएं, ब्�किंग सुविधाओं
जटिल होने के कारण उन्हें समझना मुश्किल होता है। इन
का पूरा लाभ उठाएँ तथा महाजनों व सूदखोरों के चंगल
ु
विविधताओं व जटिलताओं के बीच सही निर्णय लेने एवं
से बचे रहें।
दर्विक्रय
ु से बचने में वित्तीय साक्षरता की भूमिका को आसानी
- लोग वित्तीय आयोजना का महत्व समझें तथा इस पर से समझा जा सकता है।
अमल कर अपना व परिवार का भविष्य सुरक्षित करें ।
प्रौद्योगिकी के दखल से आज हमारे जीवन का प्रत्येक क्षेत्र
- वित्तीय समावेशनको प्रोत्साहन मिले। प्रभावित है। वित्तीय क्षेत्र में भी यह दखल निरं तर बढ़ता जा
रहा है। इससे सुविधा तो हईु है पर जोखिम भी बढ़ गए हैं।
- वित्तीय वंचन न्यून हो।
वित्त से जुड़े साइबर अपराधों की बढ़ती संख्या चिंता का
वित्तीय साक्षर होने का मतलब वित्तीय प्रबंधन की औपचारिक कारण बन चुकी है। आज वित्तीय साक्षरता का एक उद्देश्य
शिक्षा हासिल करना नहीं है। इसके पीछे मान्यता यह है यह भी है कि लोग साइबर धोखाधड़ी के शिकार न हों
कि जब लोग वित्तीय उत्पादों एवं सेवाओं की उपलब्धता जिसमें फिशिंग, स्किमिंग, क्लोनिंग आदि शामिल हैं।
से परिचित होंगे तो अपनी आवश्यकता के अनुसार सही
वित्तीय साक्षरता एक व्यक्ति को निम्नलिखित स्तरों पर
उत्पाद चुन सकें गे। इस प्रकार वित्तीय साक्षरता लोगों के
प्रभावित करती है-
सशक्तिकरण का भी एक माध्यम है।
वित्तीय मामलों का ज्ञान: वित्तीय साक्षरव्यक्तियों को यह - इलेक्ट्राॅनिक ब्�किंग को गांवों में वह लोकप्रियता नहीं
जानकारी होती है कि कौन से वित्तीय उत्पाद उपलब्ध हैं, मिली है जो कि शहरों में है। गांवों में डेबिट कार्ड एवं
इनमें क्या अंतर है, इन्हें लेने हेतु क्या पूर्व अपेक्षाएँ हैं, ब्याज एटीएम का प्रयोग करने वाले लोग भी कम हैं हालांकि
की गणना कैसे होती है, इनके साथ कौन से जोखिम जुड़े अब इनकी संख्या निरं तर बढ़ रही है।
हएु हैं तथा जोखिम व प्रतिफल का क्या संबंध है।
उपर्युक्त से यह स्पष्ट संकेत मिलता है कि वित्तीय साक्षरता
वित्तीय व्यवहार: वित्तीय मामलों की जानकारी वित्तीय के क्षेत्र में हमारे देश में बहतु कुछ किया जाना बाकी है।
व्यवहार पर असर डाल सकती है। वित्तीय व्यवहार में
वित्तीय समावेशन एवं वित्तीय साक्षरता
शामिल हैं- बचत करने की आदत, ऋण लेने की प्रवृत्ति,
धन प्रेषण के विकल्पों का चुनाव, बकायों व बिलों आदि के वित्तीय समावेशनके महत्व पर ज़ोर देते हएु संयक्त
ु राष्ट्रसंघ
भुगतान की ज़िम्मेदारी। ने भी इसे परिभाषित किया है। इस परिभाषा के अनुसार
वित्तीय दृष्टिकोण: लोगों के वित्तीय दृष्टिकोण का पता वित्तीय समावेशन ऐसे वित्तीय तंत्र की उपलब्धता है जिसमें
वित्तीय आयोजना के उनके तरीके, बचत, उपभोग व खर्च सभी विश्वसनीय लोगों को ऋण, बचत व भुगतान की
करने की उनकी सोच आदि से चलता है। वित्तीय दृष्टिकोण सुविधाएं उपलब्ध हों।
तथा वित्तीय व्यवहार परस्पर संबन्धित हैं। वित्तीय समावेशन वित्तीय वंचन का निदान है। वित्तीय वंचन
वित्तीय साक्षरता पर हमारे देश में किए गए विभिन्न सर्वेक्षणों के लिए जो आम कारण बताया जाता है वह है - नियमित
एवं अध्ययनों से यह स्पष्ट रूप से जाहिर होता है कि इसकी आय या निरं तर आय का अभाव। लेकिन यह एकमात्र
स्थिति संतोषजनक नहीं है। कुछ महत्वपूर्ण निष्कर्ष इस प्रकार कारण नहीं है। लोग यदि अपनी आय को सही प्रकार से
हैं- नहीं उपयोग में लाते,अनुपयुक्त ढंग से खर्च करते हैं तथा
- महिलाओं की अपेक्षा पुरुष वर्ग को वित्तीय उत्पादों व इसमें से भावी जरूरतों के लिए नहीं बचाते तो यह भी वित्तीय
विकल्पों की ज्यादा जानकारी है। शहरी आबादी में लोग वंचन को जन्म दे सकता है। वित्तीय साक्षरता उक्त प्रवृत्तियों
अधिक जानकार हैं। से छु टकारा दिला सकती है।
- उच्च आय वर्ग के लोगों की जानकारी मध्यम व निम्न वित्तीय समावेशन की कोई भी रणनीति तब तक कारगर
आय वर्ग के लोगों से ज्यादा है। अधिक पढ़े -लिखे लोग नहीं होगी जब तक इसमें वित्तीय साक्षरता को शामिल न
इस मामले में कम पढ़े लिखे लोगों से बेहतर पाए गए। किया जाए। किसी भी वित्तीय प्रणाली में निम्नलिखित पाँच
कार्यकलापों का समावेश होता है -
- अभी भी ग्रामीण महिलाओं का एक वर्ग अपनी बचत
को घर में रखना ज्यादा पसंद करता हैं, बैंक जाने - जोखिमों से बचाव एवं इनका विविधीकरण
में उन्हें संकोच होता है। बैंक में खाता खोलने को वे - संसाधनों का आबंटन
मुश्किल काम समझती हैं।
- व्यवस्था की निगरानी एवं इस पर नियंत्रण
- ग्रामीण इलाकों में आज भी कुछ लोग स्थानीय महाजनों
- बचत जुटाना
से ऋण ले रहे हैं। ऋण की शर्तें जो भी हों पर इसमें
उन्हें आसानी महसूस होती है। - वस्तुओं व सेवाओं का सुविधापूर्ण विनिमय
वित्तीय वंचन अर्थव्यवस्था के लिए एक प्रकार से जोखिम के व्यक्तियों, रक्षा सेवा कर्मचारियों, महिलाओं, वरिष्ठ नागरिकों
समान है। इस वंचन की मौजूदगी यह बताती है कि संसाधनों एवं अन्य लक्ष्य समूहों को सामान्य ब्�किंग प्रक्रियाओं की
के आबंटन में कहीं न कहीं दोष है। संसाधनों के आबंटन जानकारी देना है।
में बराबरी ला पाना मुश्किल है पर संसाधनों की पहँच ु सभी भारतीय प्रतिभूति एवं विनिमय बोर्ड - सेबी के संक्षिप्त
तक हो, इसे जरूर सुनिश्चित किया जाना चाहिए। यही नाम से जानी जाने वाली यह संस्था निवेशकों के हितों की
वित्तीय समावेशन का उद्देश्य है। वित्तीय उदारीकरण आज के रक्षा करती है। इस क्रम में संस्था ने ऐसे जानकार लोगों
समय की मांग बन चुका है पर समावेशी समाज बनाने हेतु को नियोजित किया है जो विभिन्न समूहों को बचत, निवेश,
वित्तीय व्यवस्था पर निगरानी व नियंत्रण रखना भी जरूरी वित्तीय आयोजना, ब्�किंग, बीमा एवं सेवानिवृत्ति उपरांत वित्त
है। अर्थव्यवस्था में बचत जुटाने को प्रोत्साहन देने के पीछे प्रबंधन की उपयोगी जानकारी दे सकें । इस हेतु सेबी द्वारा
दो मुख्य कारण हैं। सामाजिक स्तर पर यह बचत लोगों नियमित रूप से कार्यशालाओं का आयोजन किया जाता है।
के भविष्य को सुरक्षा प्रदान करती है। फिर इस बचत से
बीमा विनियामक एवं विकास प्राधिकरण- यह संस्था
अर्थव्यवस्था को भी मजबूती मिलती है। यह बचत सरकारी
बीमा क्षेत्र की विनियामक है। बीमा पॉलिसी लेने वालों
योजनाओं के वित्तपोषण में काम आती है। वस्तुओं व सेवाओं
को उनके हक एवं कर्तव्यों से अवगत कराने हेतु संस्था
का विनिमय तब बढ़े गा जब लोगों के पास क्रयशक्ति हो।
संचार के विभिन्न माध्यमों को उपयोग में लाती है। बीमा
वित्तीय समावेशन का ध्यान क्रयशक्ति एवं उपभोग बढ़ाने
उपभोक्ताओं को शोषण से बचाने में इस संस्था की सराहनीय
पर होता है। वित्तीय साक्षरता लोगों को उत्पादक गतिविधियों
भूमिका है।
में संलग्न होकर अपनी आय, क्रयशक्ति एवं उपभोग के
स्तर को ऊंचा करने की राह दिखाती है। पेंशन निधि विनियामक एवं विकास प्राधिकरण- इस
संस्था का ध्यान वित्तीय सुरक्षा के जरिए सामाजिक सुरक्षा
28 अगस्त, 2014 को शुरू की गई प्रधानमंत्री जनधन
पर है। पेंशन के विषय में उठने वाली विभिन्न जिज्ञासाओं का
योजना वित्तीय समावेशन की दिशा में अब तक का सबसे
समाधान इसकी वेबसाइट पर उपलब्ध है। पेंशन समस्याओं
महत्वाकांक्षी कदम है। यह कदम वित्तीय समावेशनके प्रति
के निवारण हेतु यह प्राधिकरण अन्य संस्थाओं के साथ भी
शासकीय प्राथमिकता को दर्शाता है। इसमें वित्तीय साक्षरता
सहयोग करता है।
का उद्देश्य भी जोड़ा गया है। हमारे देश में वित्तीय साक्षरता
को प्रोत्साहित करने हेतु अनेक संगठन कार्यरत हैं। कुछ नेशनल इंस्टीट्यूट ऑफ सिक्युरिटीज़ मार्केट - सेबी
महत्वपूर्ण संगठनों एवं उनके कार्यकलापों की संक्षिप्त द्वारा प्रवर्तित यह संस्था वित्तीय संस्थानों के मानव संसाधन
जानकारी आगे दी गई है - को सशक्त करने हेतु विविध प्रशिक्षण कार्यक्रम आयोजित
करती है। इस संस्था के अंतर्गत राष्ट्रीय वित्तीय शिक्षण कें द्र
भारतीय रिज़र्व बैंक - यह देश का कें द्रीय बैंक और
भी है जिसके द्वारा निवेशकों, विद्यालयोें के विद्यार्थियों तथा
ब्�किंग क्षेत्र का विनियामक है। बैंक की वेबसाइट पर दी
वित्तीय साक्षरता हेतु सेबी द्वारा नियोजित प्रशिक्षकों के लिए
गई जानकारी एवं सामग्री वित्तीय साक्षरता के लिए इसकी
पाठ्य/प्रशिक्षण सामग्री तैयार की जाती है।
प्रतिबद्धता को दर्शाती है। बैंक द्वारा ‘प्रोजेक्ट फाइनेंशियल
लिटरेसी‘ नाम से शुरू की गई योजना का उद्देश्य विद्यालय- भारतीय ब्�किंग कोड एवं मानक बोर्ड, भारतीय राष्ट्रीय
महाविद्यालय के विद्यार्थियों, ग्रामीण व शहरी क्षेत्रों के निर्धन भुगतान निगम वाणिज्यिक बैंक, म्यूचअ
ु ल फंड, स्टॉक
एक्सच ेंज आदि भी अपने - अपने तरीकों से वित्तीय साक्षरता देश की प्रगति को यदि रफ्तार देनी है, यदि विकसित देश
के प्रसार में जुटे हएु हैं। विगत 4-5 वर्षों में बैंकों द्वारा का दर्जा हासिल करना है तो वित्तीय साक्षरता के प्रयासों
ग्रामीण विकास एवं स्वनियोजन प्रशिक्षण संस्थान स्थापित को व्यापक बनाना एवं इनमें गति लाना जरूरी है। इस हेतु
करने के कार्य में तेजी आई है। ये संस्थान वित्तीय समावेशन कुछ उपाय पहले ही सुझाए गए हैं। इनके साथ निम्नलिखित
एवं वित्तीय साक्षरता दोनों उद्देश्यों की प्राप्ति में सहायक हैं। उपायों को जोड़े जाने की आवश्यकता है-
भारतीय रिजर्व बैंक के निर्देश पर अनुस ूचित वाणिज्यिक स्कू ल पाठ्यक्रम में वित्तीय साक्षरता को अनिवार्य रूप
बैंकों एवं क्षेत्रीय ग्रामीण बैंकों ने वित्तीय साक्षरता और ऋण से शामिल करना- इस दिशा में सांकेतिक कदम उठाए
परामर्श कें द्र स्थापित किए हैं। राष्ट्रीय, क्षेत्रीय एवं स्थानीय गए हैं पर इसको व्यापक रूप दिया जाना जरूरी है। छठी
स्तर पर मौजूद गैर सरकारी/स्वयंसवी े संगठनों द्वारा भी से दसवीं कक्षा के बीच यह विषय रखा जा सकता है। यह
वित्तीय साक्षरता के क्षेत्र में महत्वपूर्ण कार्य किया जा रहा है। ज़िम्मेदारी सभी शिक्षा बोर्डों को लेनी होगी। समय-समय पर
वित्तीय साक्षरता में लगे संगठनों की संख्या, उनकी राष्ट्रीय वित्तीय संस्थानों के प्रतिनिधि भी विद्यालयों में जाकर यह
पहचान एवं पहँच ु को देख ें तो एक आशाजनक चित्र उभर मार्गदर्शन प्रदान कर सकते हैं।
कर सामने आता है। बीते वर्षों में वित्तीय साक्षरता को लेकर वित्तीय साक्षरता प्रशिक्षकों का प्रमाणन- सर्टिफाइड
विभिन्न स्तरों पर किए गए प्रयासों एवं इनके परिणामों को फायनेंशियल लिटेरसीट्रेनर का पाठ्यक्रम शुरू करने से
उपयुक्त मान्यता मिलनी चाहिए। अब तक की उपलब्धियां प्रशिक्षकों की एक फौज तैयार की जा सकती है जो प्रोफेशनल
हमारा हौसला बढ़ाने वाली हैं। यह याद रखना जरूरी है कि ढंग से वित्तीय साक्षरता के प्रसार का कार्य करेगी। सेबी,
जनसंख्या के हिसाब से भारत दनिया ु का दसरा
ू विशालतम नेशनल इंस्टीट्यूट ऑफ सिक्युरिटीज़ मार्के ट, राष्ट्रीय वित्तीय
देश है जहां बहस ु ंख्यक आबादी अल्पशिक्षित एवं कम शिक्षण संस्थान, नेशनल स्टॉक एक्सच ेंज आदि संस्थाएं यह
आय वाले लोगों की है। अल्पशिक्षित लोगों को वित्तीय कार्य करने हेतु उपयुक्त हैं। यह प्रमाणन हासिल करने हेतु
साक्षर बनाना अधिक प्रयासों की मांग करता है। अल्प आय विद्यालय-महाविद्यालय के शिक्षकों, तालुका व ब्लॉक स्तर
वर्ग वाली जनता वित्तीय साक्षर होकर अपनी आय बढ़ाने, के कर्मचारियों को प्रेरित किया जाना चाहिए जो वित्तीय
उत्पादक कार्यकलापों को अपनाने एवं भविष्य सँवारने की साक्षरता को आधारभूत स्तर तक पहंच ु ा सकते हैं।
राह पर चल सकती है।
बैंकों द्वारा व्यापक पहल - अपनी पहँच ु के हिसाब से
दनिया
ु की निगाहें आज भारत पर टिकी हईु हैं। संभावनाओं दरस्थ एवं अन्य इलाकों में भी बैंक वित्तीय साक्षरता का
ू
से भरे इस देश व देशवासियों में निहित क्षमताओं का पूरा प्रसार करने हेतु सबसे अधिक उपयुक्त हैं। इनके प्रतिनिधि
लाभ तभी उठाया जा सकेगा जब हम मानव संसाधन विकास अपनी शाखा के आस-पास के क्षेत्रों में 2-3 घंटे के सत्र
पर पूरा ध्यान दें। वित्तीय समावेशन तथा वित्तीय साक्षरता आयोजित कर सकते हैं। बैंक के भीतर भी काउं टर स्टाफ
को मानव संसाधन विकास की एक रणनीति के रूप में देखा तथा रिलेशनशिप प्रबन्धक को अनुदेश होने चाहिए कि वे
जाना चाहिए। चाहे संगठन हो या राष्ट्र, इनकी पहचान इनके ग्राहकों को पर्याप्त जानकारी दें एवं उनका सही प्रकार से
लोगों की गुणवत्ता से बनती है। यदि एक राष्ट्र में सक्षम, मार्गदर्शन करें । विशेषकर ग्रामीण व अर्धशहरी शाखाओं
जानकार, जागरूक एवं सशक्त लोग हैं तो राष्ट्र भी मजबूत में ग्राहक सेवा समिति बैठकों में अधिकाधिक ग्राहकों को
होगा। इसमें वित्तीय साक्षरता भी अपनी भूमिका निभाएगी।
आमंत्रित कर वित्तीय साक्षरता को भी कार्यसूची में रखना शर्तें हिन्दी/क्षेत्रीय भाषा में भी उपलब्ध कराई जाएं।
बैंक में ग्राहकों के विश्वास को मजबूत करेगा। बैंक द्वारा स्वयं सेवा समूहों द्वारा प्रयास - ऐसे कई समूहों को एक
जारी पासबुकों में दो पृष्ठों पर ग्राहकों हेतु उपयोगी वित्तीय साथ एकत्र कर सदस्यों को उनके लिए उपयोगी जानकारी
जानकारी रखी जा सकती है। दी जाए। सदस्यों को संदेश और लोगों तक पहँच ु ने को भी
मोबाइल अलर्ट में वित्तीय साक्षरता का संदेश - बैंक/ कहा जाए।
क्रेडिट कार्ड कंपनियाँ ग्राहकों को प्रेषित संदेशों में वित्तीय हमारे देश में डिजिटल ब्�किंग ज़ोर पकड़ रही है। कंप्यूटर
साक्षरता का भी एक वाक्यशामिल करें । संदेशों में विविधता तथा मोबाइल फोन पर किए जाने वाले ब्�किंग संव्यवहारों में
हो अर्थात एक ही बात को दहराने ु की बजाए नए-नए निरं तर वृद्धि संभावित है। अतः वित्तीय साक्षरता में डिजिटल
उद्देश्यपरक संदेश दिए जाएँ। ब्�किंग से जुड़ी जानकारी शामिल कर इसका दायरा व्यापक
जन संचार माध्यमों का उपयोग - सरकारी एजेंसियां व बनाना आवश्यक हो गया है।
निजी कंपनियाँ भी वित्तीय साक्षरता के प्रसार हेतु जन संचार विभिन्न संगठनों द्वारावित्तीय साक्षरता हेतु किए जा रहे
माध्यमों का अधिक उपयोग करें । संदेश सरल व ग्राह्य भाषा प्रयासों में ताल-मेल स्थापित कर इनकी प्रभावशीलता को
में हों। निजी क्षेत्र इस कार्य को कार्पोरेट सामाजिक दायित्व बढ़ाया जा सकता है।वित्तीय साक्षरता एवं वित्तीय समावेशन
के रूप में ले। राष्ट्रीय मिशन हैं जो गंभीर एवं समन्वित प्रयासों से ही पूरे
वित्तीय विज्ञापनों हेतु आचार संहिता- वित्तीय संस्थाएं किए जा सकते हैं।
अपने विज्ञापनों में झूठे, बढ़ा-चढ़ा कर एवं भ्रामक दावे न 
करें इस पर कड़ी निगरानी हो। योजनाओं के फार्म के साथ
Diamond Jubilee and CH Bhabha Banking Overseas Research

Fellowship (DJCHBBORF) for the year 2019-20
The Institute invites applications for DJCHBBORF. The objective of the fellowship is to
provide the successful candidate an opportunity to undertake a research study on the
latest developments in the field of banking and finance in India or abroad. The last date
for receipt of applications is extended to 28.02.2020. For more details visit www.iibf.org.in
कोर बैंकिंग सॉल्यूशन
 सुबह सिंह यादव*
कोर ब्�किंग क्या है? कभी भी (Any time) ब्�किंग उन्मुख में गई। इसलिए स्मार्ट
कोर ब्�किंग सॉल्यूशन बैंक शाखाओं का एक ऐसा नेटवर्किं ग कार्डों, हैंड होल्ड पद्धतियों, कियोस्क, इन्टरनेट ब्�किंग, इमेज
है, जिसके अन्तर्गत ग्राहक दनिया के किसी भी कोने (भाग) प्रोसेसिंग, मोबाइल ब्�किंग 24x7 इलेक्ट्रॉनिक ब्�किंग सेवा
ु
से अपने खातों को प्रबन्धित कर सकता है और विभिन्न का भरपूर प्रयोग संभव हआ ु जिससे पारं परिक ब्�किंग (ईंट
ब्�किंग सुविधाओं का प्रयोग कर सकता है। दसरे और गारा मॉडल) में ग्राहक सेवा पर आने वाली लागत को
ू शब्दों में
कोर ब्�किंग सॉल्यूशन के अन्तर्गत अब ग्राहक को ब्�किंग काफी मात्रा में कम करके लाभप्रदता में वृद्धि संभव हईु है।
लेनदेन के लिए अपनी उस शाखा में जहां बैंक खाता है, ब्�किंग सुधारों के बाद भारत में विदेशी बैंकों तथा नई
जाने की जरूरत नहीं है। अब यह लेनदेन किसी भी अन्य पीढ़ी के निजी बैंकों का प्रवेश हआ ु । इन बैंकों के पास
स्थल से किसी भी समय किया जा सकता है। ग्राहक बैंक निम्नलिखित प्रमुख विशिष्टताएं थी:
की किसी भी शाखा में (जो सीबीएस नेटवर्क पर है) से अ. उन्नत प्रौद्योगिकी (Advanced Technology)
ब्�किंग सेवाओं का लाभ उठा सकता है, इस बात से कोई
सरोकार नहीं है कि ग्राहक ने बैंक की किस शाखा में अपना ब. प्रौद्योगिकी अनुकूल स्टॉफ (Technology Savvy Staff)
खाता खोल रखा है। ऐसी स्थिति में वह बैंक जो कोर ब्�किंग और
सॉल्यूशन का क्रियान्वयन कर रहा है, ग्राहक किसी विशेष स. परिमार्जित उत्पाद (Sophisticated Products)
शाखा के ग्राहक की अपेक्षा बैंक का ग्राहक बन जाता है। इस प्रतिस्पर्धा की स्थिति में भारतीय बैंकों को अपना
भारतीय बैंकों ने वैश्विक स्तर पर हो रहे गतिशील परिवर्तनों बाजार अंश (Market share) बनाए रखने के लिए निरन्तर
के अनुरूप, अपने सूचना प्रौद्योगिकी नेटवर्क के निर्माण आधुनिक प्रौद्योगिकी अपनाने को विवश किया। नये बाजारों
में बडी मात्रा में निवेश किया जिससे ग्राहक खातों के की तलाश तथा दनियाभरु में वित्तीय बाजारों के एकीकरण,
केन्द्रीकरण द्वारा कोर ब्�किंग सॉल्यूशन (Core Banking सूचना प्रौद्योगिकी का और अधिक प्रयोग करने का दौर
Solution) का सार्वभौमीकरण करने से समान गुणवत्ता की आरम्भ हआ ु । सूचना प्रौद्योगिकी के चमत्कार को देखने
सेवाएं प्रदान करने में सुविधा हईु । कोर ब्�किंग सॉल्यूशन के उपरान्त एक संवर्धित अनुभव के बारे में ग्राहकों की
के बाद ब्�किंग का प्रत्येक पहलू प्रौद्योगिकी के माध्यम से अपेक्षाओं में भी बड़ा परिवर्तन देखा गया। भुगतान एवं
रूपान्तरित हो गया और इन्टरनेट ब्�किंग क्रांति का माध्यम निपटान प्रणाली अब काफी परिपक्व अवस्था में आ गई
बन गया है, जहां ई-कॉमर्स उसका ईंधन है। ब्�किंग सेवाएं है तथा तत्काल सकल निपटान (RTGS), इलेक्ट्रॉनिक
अब कैसे भी (any mode) कहीं भी (Any where) और समाशोधन सेवा (ECS), राष्ट्रीय इलेक्ट्रॉनिक निधि अंतरण
सहायक महाप्रबंधक (सेवानिवृत) बैंक अ‍ाॅफ बडाैदा।
(NEFT), चेक ट्रंकेशन आदि के माध्यम से कम समय बैंक द्वारा स्थापित ऐसी केन्द्रीयकृत व्यवस्था है जहां उसके
में निधियों का अन्तरण संभव हआ ु है। कारोबार में लेनदेन ग्राहक अपनी शाखा के अतिरिक्त भी अपना व्यवसाय
लागतों को कम करने और दक्षता बढ़ाने के लिए प्रौद्योगिकी सम्पादित करते हैं। अतः यह भौगाेिलक विशिष्ट लेनदेन
को सतत रूप से उन्नत किया जा रहा है। परिणामस्वरूप की बाधाओं को समाप्त करती है। वास्तव में देखा जाए
वैश्विक रूप से शाखाओं के आकार में कमी आ रही है, तो अंग्ज रे ी के कोर (Core) शब्द का अर्थ है, सैन्ट्रलाइज्ड़
जिससे उनका स्वरूप अधिक सुगठित आरै ग्राहक अनुकूल ऑनलाइन रियल टाइम एक्सच ेंज (Centralized Online
हो रहा है। इस संबंध में बिल गेट्स का यह कथन समीचीन Realtime Exchange)। अतः केन्द्रीयकृत डाटा केन्द्र से
प्रतीत होता है, “सूचना प्रौद्योगिकी और कारोबार अभिन्न रूप बैंक शाखाएं अप्लीकेशन तक पहंच ु बना सकती है। खुदरा
से जुड़ते जा रहे हैं। मुझे नहीं लगता कि कोई भी इनमें से ब्�किंग ग्राहकों के अलावा भी आज कोर ब्�किंग कॉरपाेरेट
एक के बारे में कोई सार्थक बात दसरे ू की बात किए बिना ग्राहकों की आवश्यकताअोें का समाधान करने के लिए तथा
कर सकता है “अतः बैंकों के सामने चुनौती है-” सूचना व्यापक बैंिकंग सॉल्यूशन प्रदान करने के लिए भी उपलब्ध
प्रौद्योगिकी अपनाओ या समाप्त हो जाओ। इस संदेश के है। संक्षेप में कोर ब्�किंग सेवा नेटवर्किं ग समूह की बैंक
अनुसार सूचना प्रौद्योगिकी एवं कोर ब्�किंग सॉल्यूशन बैंकों शाखाओं के समूह द्वारा प्रदान की जाने वाली ऐसी सेवाएं हैं
की भाग्य विधान सेवाएं बन चुकी है। जहां ग्राहक अपने खाते तक पहंच ु बना सकते हैं तथा किसी
गार्टनर के अनुसार कोर ब्�किंग व्यवस्था एक ऐसी बैक एण्ड भी सदस्य शाखा कार्यालय से बुनियादी लेनदेन का कार्य
प्रणाली है जो दैनंदिन के लेनदेनों को प्रसंस्कृत करती है तथा सम्पादित कर सकते हैं। कोर बैंक को प्रायः खुदरा ब्�किंग
अपडेट्स को खातों तथा अन्य रिकॉर्ड्स में दर्ज करती है। से सम्बद्ध किया जाता है तथा कुछ बैंक खुदरा ग्राहकों को
कोर ब्�किंग व्यवस्था आश्चर्यजनक रूप में जनरल लेजर ही अपने कोर ब्�किंग ग्राहक मानते हैं। व्यावसायिक लेनदेन
व्यवस्था तथा रिपोर्टिंग साधनों में इन्टरफेस के साथ जमाओं, प्रायः उनकी संस्था के ब्�किंग प्रभाव द्वारा प्रबंधित किए जाते
उधार तथा साख प्रसंस्करण क्षमताओं को शामिल करती हैं। कोर ब्�किंग में जमाओं तथा ऋणों को भी शामिल किया
है। कोर ब्�किंग अप्लीकेशन प्रायः बैंक के लिए विशालतम जाता है। कोर ब्�किंग कार्यों में लेनदेन के खाते ऋण, रहन
खर्चों में से एक है और संसाधन आवंटन के अर्थों में विरासत तथा भुगतान सम्मिलित हैं। बैंक इन सेवाओं को उपलब्ध
सॉफ्टवेयर एक प्रमुख मुद्दा है। इस प्रकार की व्यवस्थाओं पर बहल ु क माध्यमों द्वारा प्रदान करते हैं। इन माध्यमों में एटीएम,
किये जाने वाले खर्चे सेवाभिमुखी आर्कि टेक्चर तथा सहायक इन्टरनेट ब्�किंग मोबाइल ब्�किंग तथा ईंट - गारा शाखाएं
तकनीक पर आधारित होते हैं। सम्मिलित हैं। ब्�किंग सॉफ्टवेयर तथा नेटवर्क प्रौद्योगिकी के
द्वारा एक बैंक अपने रिकॉर्ड कीपिंग को केन्द्रीकृत करने को
आज ब्�किंग व्यवसाय में अचानक वृद्धि हईु है और बैंकों ने संभव बनाता है तथा इससे किसी भी जगह से पहंच ु बनाई
अपने आपको परम्परागत ब्�किंग कार्यांे जैसे जमा स्वीकार जा सकती है।
करना ऋण देना आदि की व्यवस्था से रूपान्तरित करके
एक वित्तीय सुपर हाउस वाली संस्था के रूप में रूपान्तरित ऐतिहासिक परिप्रेक्ष्य
कर लिया है जहाँ एक ही छत के नीचे उत्पाद तथा सेवाओं कोर ब्�किंग कम्प्यूटर तथा टेलीकम्यूनिकेशन प्रौद्योगिकी के
के सम्पूर्ण गुलदस्ते प्रदान किए जाते हैं। बैंक द्वारा इन अभ्युदय के साथ संभव हआ ु जिसके द्वारा शाखाओं के
सभी क्रियाओं को चालू करने वाली प्रक्रिया कोर ब्�किंग मध्य सूचना को तीव्रता तथा कुशलता से साझेदारी करना
कहलाती है। एक परिभाषा के अनुसार “कोर ब्�किंग” एक संभव है। 1970 के दशक से पहले वास्तविक खाते को
प्रतिबिम्बित करने में कम से कम एक दिन लगता था और पर ध्यान केन्द्रित कर सके।
बड़े -बड़े लेजरों में काम होता था जिससे कई समस्याओं का 3. बैंक तथा ग्राहक की सुविधा को ध्यान में रखते हएु ऐसा
सामना करना पड़ता था। बैंकों को नियमित रूप से टीम करना जरूरी था।
बनाकर इस कार्य को मिशन मोड में संभाला जाता था। कुछ
समय बाद कम्प्यूटरीकरण की आरम्भिक स्थिति में किसी भी 4. ब्�किंग लेनदेनों को गति प्रदान करने के लिए।
एक लेनदेन को वास्तविक खाते में परिलक्षित करने में कम 5. ग्रामीण तथा दरस्थ
ू इलाकों में ब्�किंग सेवाओं की
से कम एक दिन इसलिए लगता था क्योंिक प्रत्येक शाखा उपस्थिति का विस्तार करना।
का अपना अलग से स्थानीय सर्वर होता था और प्रत्येक कोर ब्�किंग सॉल्यूशन की प्रक्रिया
शाखा में सर्वर से डाटा को एक बैच में दिन के अंत में
(End of The Day-EOD) डाटा केन्द्र के सर्वर को भेजा सभी शाखाओं के आरपार कोर ब्�किंग व्यवस्था का
जाता था। विगत 30 वर्षों में अपने परिचालनों को सम्बल क्रियान्वयन बैंक तथा ग्राहक को बहतु से सामान्य लेनदेनों
प्रदान करने के लिए बैंकों को कोर ब्�किंग अनुप्रयोगों को को तीव्र करने में सहायता करता है। कोर ब्�किंग सॉल्यूशन
अपनाना पड़ा। इसके लिए इन बैंकों ने कोर Centralized में सभी बैंक शाखाएं केन्द्रीयकृत सर्वर से ब्�किंग अनुप्रयोगों
online Realtime Exchange or Environment सृजित तक पहंच ु बढ़ाती हैं, जो बहतु ही सुरक्षित डाटा केन्द्र में
किया। इसका अभिप्राय यह हआ स्थित/पोषित होता है। ब्�किंग सॉफ्टवेयर/अप्लीकेशन
ु कि सभी बैंक शाखाएं
केन्द्रीयकृत डाटा केन्द्रों से अनुप्रयोगों (Applications) तक मूलभूत परिचालन को सम्पादित करता है, जैसे लेनदेन का
पहंच रख-रखाव, आहरित राशि तथा भुगतान का शेष ब्याज,
ु बना सकती हैं। संग्रहीत की गई जमाएं तुरन्त सर्वर
पर दिखाई देने लग जाती हैं तथा ग्राहक किसी भी शाखा से जमाओं एवं उधारों की गणना आदि। इस ब्�किंग अनुप्रयोग
बैंक में जमा किया गया पैसा निकाल सकते हैं। को केन्द्रीकृत सर्वर पर फैलाया जाता है तथा किसी भी जगह
से इन्टरनेट के प्रयोग से इस तक पहंच ु बनाई जा सकती है।
कोर ब्�किंग सॉल्यूशन की आवश्यकता क्यों पड़ी? कोर ब्�किंग सॉल्यूशन के आधारभूत तत्व जो ग्राहकों की
ग्राहकों की बढ़ती ब्�किंग आवश्यकताओं को पूरा करने सहायता करते हैं, वे हैं इन्टरनेट ब्�किंग, मोबाइल ब्�किंग,
के लिए तथा बाजार की चुनौतियों से निपटने के लिए कोर एटीएम, पीओएस तथा कियोस्क व्यवस्था, निधि अन्तरण,
ब्�किंग की आवश्यकता पड़ी। यह बात बैंकों पर भी समान नेफ्ट, आरटीजीएस इत्यादि।
रूप से लागू होती है क्योंकि उन्हें अपना अस्तित्व बचाना है। इन्टरनेट तथा सूचना प्रौद्योगिकी में हएु विकास ने बैंकों में
बैंक सूचना प्रौद्योगिकी का प्रयोग करके अपनी परिचालन शारीरिक कार्य को घटा दिया है तथा कुशलता में वृद्धि की
लागत को न्यूनतम कर सकते हैं तथा प्रतिस्पर्धी दरों पर है। कम्प्यूटर सॉफ्टवेयर को विकसित करने के फलस्वरूप
उत्पाद एवं सेवाएं प्रदान कर सकते हैं। कोर ब्�किंग कार्य निष्पादित करने में सुविधा हईु है, जैसे
उपर्युक्त परिप्रेक्ष्य में निम्नलिखित कारणों से कोर ब्�किंग लेनदेन दर्ज करना, पासबुक का रख रखाव, उधार तथा
सेवाओं की आवश्यकता हईु : जमाओं पर ब्याज की गणना, ग्राहक रिकॉर्ड, भुगतान, शेष
1. निरं तर परिवर्तित हो रही बाजार एवं ग्राहकों की तथा निकासी। यह सॉफ्टवयेर बैंक की विभिन्न शाखाओं में
आवश्यकताओं की पूर्ति करने हेत।ु स्थापित किया जाता है तथा उसके बाद टेलीफोन सेटेलाइट
तथा इन्टरनेट पर आधारित कम्प्यूटर नेटवर्क के साधनांे द्वारा
2. ब्�किंग प्रक्रियाओं को उन्नत तथा सरल बनाने के उद्देश्य इसे इन्टरकनेक्ट किया जाता है। कई बैंक कोर ब्�किंग के
से ताकि बैंक स्टाफ बिक्री (Sale) और विपणन सामग्री लिए प्रचलित अनुप्रयोग का कार्यान्वयन करते हैं। जबकि
दसरे
ू बैंक वाणिज्यिक स्वतन्त्र सॉफ्टवेयर वेन्डर पैकेज ¾¾ इसी प्रकार ब्�किंग उत्पादों की संपूर्ण सेवा श्रृंखला (जमा
को क्रियान्वित अथवा प्रचलित करते हैं। बैंकों के पास खाता, बचत खाता इत्यादि सहित) कहीं भी प्राप्त की
कोगनीजेंट (Cognigzant), एजवर्व (Edgeverve), सिस्टम जा सकती है। दसरे ू शब्दों में, शाखा ब्�किंग को हटाते
लिमिटेड (System Limited), केपजेमिनी (Capgemini) हएु कहीं से भी ब्�किंग सुविधा प्राप्त करना।
एक्सेन्चर (Accenture), आईबीएम (IBM) और टाटा ¾¾ 24x7 ब्�किंग सेवाओं का प्रावधान अर्थात् एकाधिक
कंसलटेंसी सर्विसेस (Tata Consultancy Services) आदि माध्यमों द्वारा (जिसमें मोबाइल ब्�किंग तथा वेब भी
बैंकों के स्तर पर कोर ब्�किंग को क्रियान्वित करते हैं। जहां शामिल हैं) ब्�किंग करना संभव हआ ु है।
एक ओर विशाल वित्तीय संस्थाएं अपने स्वयं के पैकेज
प्रचलित कोर को क्रियान्वित करती हैं, वहीं सामुदायिक बैंक ¾¾ ग्राहक संबंध पर सुनिश्चित, सामयिक तथा कार्यवाही
तथा साख संघ सिस्टम प्रदाताओं को अपने कोर सिस्टम करने योग्य सूचना तक पहंच ु ।
को बाह्यस्रोतीकरण (आउटसोर्स) करने की ओर प्रवृत्त हएु ¾¾ मोबाइल एवं इन्टरनेट ब्�किंग के माध्यम से तीव्र भुगतान
हैं। जहां एक ओर वास्तविक कोर ब्�किंग प्रदाताओं पर प्रोसेसिंग।
कोई सर्वसम्मति अथवा सार्वजनिक विस्तार नहीं है, वहीं ¾¾ सभी शाखाओं तक पहंच ु , अप्लीकेशन (अनुप्रयोग)
गार्टनर अथवा फास्टर रिसर्च जैसी विभिन्न बाजार कंपनियां केन्द्रीय सर्वर तथा डाटा सेंटर से होना संभव हआ
ु है।
प्लेटफार्म डीलर्स का वर्णन करते हएु वार्षिक डीलर्स सर्वेक्षण अतः किसी एक शाखा में जमा की गई राशि तुरन्त
जारी करते हैं। सर्वर में परिलक्षित हो जाती है और ऐसी स्थिति में
कोर ब्�किंग सॉल्यूशन की न्यूनतम विशेषताए ं इस ग्राहक विश्वभर में किसी भी शाखा से इन राशियों को
प्रकार हैं : निकाल सकता है।
1. ग्राहक ऑन बाेर्डग िं 2. जमा तथा आहरण को प्रतिबंिधत ¾¾ कोर ब्�किंग सॉल्यूशन से बैंक तथा ग्राहक के मध्य
करना, 3. लेनदेन प्रबंधन, 4. ब्याज-गणना तथा प्रबन्धन, एकल दृश्य Single view संभव हआ ु है।
5. भुगतान प्रोसेसिंग (नकदी, चेक/जांच, अधिशेष, नेफ्ट, ¾¾ कहीं से भी, किसी भी समय की अवधारणा कोर ब्�किंग
आरटीजीएस इत्यादि), 6. ग्राहक सेवा प्रबन्धन गतिविधियां सॉल्यूशन से पुनर्परिभाषित हईु है।
7. नये बैंक उत्पादों का निर्माण, 8. ऋण संिवतरण तथा
प्रबन्धन, खाता प्रबन्धन, न्यूनतम शेष, ब्याज दर, पैसे की ¾¾ कोर ब्�किंग सॉल्यूशन ग्रामीण इलाकों में रहने वाले
निकासी की बारम्बारता की अनुमति इत्यादि के लिए मानदण्ड लोगों के लिए बहतु लाभदायक है। किसान सब्सिडी के
स्थापित करना। लिए ई-भुगतान सीधे अपने खाते में ही प्राप्त कर सकते
हैं। इसी तरह, शहरों से गांवों में कोषों का हस्तान्तरण
कोर ब्�किंग सॉल्यूशन बैंक तथा ग्राहक दानों के लिए तथा इसका विपरीत क्रम भी आसानी से किया जा
लाभदायक है। सकता है।
¾¾ ग्राहकों के लिए लाभदायक इस अर्थ में है क्योंकि- बैंकों को लाभ
¾¾ नकदी जमा, आहरण, पासबुक, खाता विवरण, मांग ¾¾ कोर ब्�किंग सॉल्यूशन के क्रियान्वयन के बाद ब्�किंग
ड्राफ्ट इत्यादि जैसी सामान्य एवं नियमित सेवाएं काउं टर परिचालन में कुशलता एवं सुधार आया है जिससे
पर शीघ्र उपलब्ध हो जाती हैं।
ग्राहकों की मांगों और उद्योग के समेकन का निराकरण (Turn Key) डाटा सेंटर सॉल्यूशन के क्रियान्वयन में
हआु है। सहायता प्रदान कर रहे हैं।
¾¾ इससे बैंक के अन्तर्गत तथा शाखाओं में भी प्रक्रिया का कोर ब्�किंग सॉल्यूशन की चुनौतियां
मानकीकरण हआ ु है। ¾¾ कोर ब्�किंग विक्रेता (Vender) के सामने सबसे बड़ी
¾¾ सीबीएस व्यवस्था ने बेहतर ग्राहक सेवाएं प्रदान की है चुनौती यह है कि उन्हें आज की वैश्विक आवश्यकताओं
जिसके चलते बैंकों में ग्राहकों को बनाए रखना संभव के अनुरूप कोर ब्�किंग सॉल्यशून का तालमेल बैठाना
हआ
ु है। है। यह दरूह
ु कार्य है क्योंकि इसका सबसे बड़ा कारण
¾¾ जब हाथ (Manual) से प्रविष्टि की जाती थी तो यह है कि सभी भौगोलिक सीमाओं में कारोबार एक
गलतियां होने की गुंजाइश बनी रहती थी। अब सीबीएस जैसा नहीं है।
से बहल
ु क प्रविष्टि के उन्मूलन से गलतियां नहीं होती। ¾¾ एक क्लासिकल कोर ब्�किंग सॉल्यूशन उत्पाद केन्द्रित
¾¾ सीबीसी के कारण नए उत्पाद आरम्भ करने तथा होता है। ग्राहकों के प्रकार, खाते के प्रकार, मुद्रा,
विद्यमान उत्पादों में परिवर्तनों को प्रबंधित करने की ब्याज, फीस, न्यूनतम शेष आदि गुण धर्म एक उत्पाद
क्षमता आसान हो गई है। से जुड़े हएु होते हैं।
¾¾ लेनदेनों में सुनिश्चितता आई है तथा गलतियां न्यूनतम ¾¾ आज प्रौद्योगिकी एक भिन्नकारक तत्व नहीं रह गई
हईु हैं। है। आज यह नेतृत्व तथा कारोबार को आवश्यकता
है तो एक दृश्य, मापनीय कारोबार रूपान्तरण लाभ
¾¾ बैंक ऑफिस डाटा तथा स्वयंसव
े ा परिचालनों का जैसे प्रमुख उद्धारक की। इस लाभ को प्रदर्शित करने
निरन्तर विलय हआ
ु है। के लिए एक प्रक्रिया केन्द्रित कोर ब्�किंग सॉल्यूशन ही
¾¾ दस्तावेजीकरण तथा अभिलेखों (रिकॉर्डस) का उन्नत एक मात्र समाधान (सॉल्यूशन) है।
प्रबंधन, क्योंकि केन्द्रीकृत डाटाबेस के परिणामस्वरूप ¾¾ कोर ब्�किंग सॉल्यूशन जिस मूलभूत धारणाओं से
आंकड़ों तथा प्रबन्धन सूचना प्रणाली रिपोर्टों का तीव्र अपनाया था वह यह थी कि सीबीएस सूचना प्रबन्धन,
संग्रहण संभव हआ ु है। बेहतर ग्राहक सेवा और उन्नत जोखिम प्रबन्धन के नए
¾¾ सरकार तथा भारतीय रिज़र्व बैंक जैसी विनियामक अवसर प्रदान करेगा। निवल परिणाम यह है कि जिस
संस्थाओं को विभिन्न रिपोर्टें को आसानी से प्रस्तुत तेजी के साथ लेनदेन किए जाते हैं उसके संदर्भ में कम
करना सभव हआ ु है। कीमत के लेनदेनों की लागत में कमी, उन्नत ग्राहक
¾¾ खाता खोलने, नकदी को प्रोसेस करने, उधार को सेवाओं और बैंकों में नियामक के यहां भी सूचना के
शोधन करना, ब्याज की गणना करना, परिवर्तित ब्याज प्रभावी प्रवाह के संदर्भ में बैंक प्रौद्योगिकी का लाभ
दरों जैसी नीतियों में परिवर्तन को लागू करना इत्यादि उठाने में सक्षम नहीं हो सके।
में सुगमता एवं सुलभता होना। ¾¾ प्रौद्योगिकी उन्नयन ब्�किंग क्षेत्र को विस्तृत और
¾¾ भारत में ईएसडीएस सॉफ्टवेयर जैसे बहतु से संगठन समावेशी बनाता है और इस दौरान अर्थव्यवस्था की
लागत प्रभावी कोर ब्�किंग सॉल्यूशन तथा टर्न-की सतत और समावेशी प्रगति के लिए मुख्य भूमिका का
निर्वहन भी करता है। हमें प्रौद्योगिकी को रामबाण मानने के रूप में आया। 1990 के पूर्वार्द्ध तक वही एकमात्र
की भूल नहीं करनी चाहिए। हमें यह याद रखना होगा ग्राहक केन्द्रित प्रौद्योगिकी थी। इसके बाद फोन ब्�किंग,
कि आखिरकार प्रत्येक मशीन के पीछे एक आदमी इन्टरक्टिव वाइस रेसपान्स प्रणाली, इन्टरनेट, जटिल
काम करता है (There is always a man behind डाटाबेस माइनिंग और दरस्थ ू चैनल अर्थात रिमोर्ट
the machine) हां, आज प्रौद्योगिकी ने अपने आपको डिस्ट्रीब्यूशन चैनल आए और इनके उपयोग में वृद्धि
उस सीमा तक विकसित कर लिया है कि यह बैंकों में हईु ।
निहित उद्दश्यों को प्राप्त करने में एक प्रमुख भूमिका ¾¾ तीव्र परिवर्तनों के साथ समन्वयन कोर ब्�किंग समाधान
में आ गई है। शायद इसी उद्देश्य से बैंकों ने कोर की सबसे प्रबल चुनौती है। इस संबंध में आवश्यकता
ब्�किंग सॉल्यूशन और इसमें कई रूपों में आमूलचूल इस बात की है कि कोर ब्�किंग के कार्यान्वयन के
परिवर्तन किया गया और अब शाखा का ग्राहक बैंक पहले चरण में हम जो प्राप्त नहीं कर सके उनकी ओर
का ग्राहक बन गया। बैंकों ने प्रौद्योगिकी तो अवश्य ध्यान दिया जाए आरै कोर ब्�किंग समाधान से आगे की
अपनाई लेकिन लागत, गति और सुविधा की दृष्टि से बात सोच ें। वित्तीय उद्योग की ओर अधिक वैश्वीकरण,
उन्हें इसका पूरा लाभ नहीं मिल पाया। संकेद्रीकरण, विनियमन और विविधीकरण के साथ
¾¾ आज वित्तीय संस्थाएं विशेषकर ब्�किंग उद्योग जैस-े जैसे चलने वाले बैंक इसे सरल बनाएंगे और जो इसे प्राप्त
नये प्रतिस्पर्धी वातावरण और संशोधित प्राथमिकताओं कर सकें गे वे और अधिक सफल बन जाएंगे। ठीक
के साथ सामंजस्य स्थापित कर रहे हैं, वैसे वैसे कोर यहीं पर अगली पीढ़ी की ब्�किंग की संकल्पना केन्द्र में
ब्�किंग समाधान प्रणाली की भूमिका अधिक कारगर आ रही है। शाखा ब्�किंग, मोबाइल ब्�किंग जैसे विविध
होती जा रही है। नए युग की ब्�किंग अद्यतन प्रौद्योगिकी माध्यमों (चनैलों) की प्रभावशीलता बढ़ाने, इन्टरनेट
मांग करती है। अतः बैंकों को ऐसे पुराने समाधानों के ब्�किंग के लिए बैंक विस्तृत सेल्स ग्राहक संबंध पर
बोझ से अपने को उन्मुक्त करना होगा जिन्हें उस समय विचार किया जाना चाहिए जो प्रयोगकर्ता की संपूर्ण
बनाया और क्रियान्वित किया गया था जब वित्तीय विश्व ग्राहक विवरण तथा पहंच ु बनाएगा और 360 डिग्री
की स्थिति बिल्कु ल भिन्न थी। का विहंगम दृश्य सभी चैनलों और उत्पादों के बीच
¾¾ प्रौद्योगिकी का अर्थ अब केवल प्रक्रियाओं को स्वचालित उपलब्ध कराने के समानान्तर सेवा गुणवता में भी सुधार
कर देना भर नहीं रह गया है। इसने विश्वभर के ग्राहकों लाने की क्षमता रखता है। यह विविध स्पर्श बिन्दुओं
को तीव्र और लागत प्रभावी उत्पाद और सेवाएं उपलब्ध तथा फोन कॉल या ई-मेल के बीच ग्राहक संबंधों को
कराकर प्रत्येक उद्योग में क्रांति ला दी है जो सामान्य केन्द्रीयकृत एकल प्रणाली के दायरे में लाने को भी
स्थिति में वहनीय नहीं था और इसके साथ ही वस्तुएं सक्षम बनाता है। अतः बैंकों के लिए यह आवश्यक
एवं सेवा के उत्पाद व्यवहार्य और लाभप्रद बने रहे। हो जाता है कि वे लेनदेन आधार से ग्राहक आधार की
किसी भी उत्पाद और/या सेवा को एक साथ लाने का ओर बढ़ें।
सटीक और सही उपाय प्रौद्योगिकी है, जो इस समय कोर ब्�किंग से आगे
कोर ब्�किंग के समक्ष एक बड़ी चुनौती है। ब्�किंग “ब्�किंग आवश्यक है लेकिन बैंक नहीं” के बिल गेट्स के
सेवाएं भी प्रौद्योगिकी से ही संचालित होने लगी हैं। कथनानुसार अगली पीढी का उद्देश्य ग्राहक सुविधाएं देने
ब्�किंग में प्रमुख तकनीकी नवोन्मेष 32 वर्ष पूर्व एटीएम पर केन्द्रित होना चाहिए ताकि बैंकों को अपने ग्राहकों को
समुचित उत्पाद और सेवाएं बेचने में सहायता मिल सके बैंकों 4. पूंजी पर्याप्तता फ्रेमवर्कः पूंजी पर्याप्तता फ्रेमवर्क की
की सफलता इस बात पर निर्भर करेगी कि जनांकिकीय प्रत्याशाओं को पूरा करने के लिए अप्लीकेशन व्यवस्था
लाभ उठाने हेतु बैंक अपने आपको पुनः कैसे व्यवस्थित विद्यमान है
करते हैं। अगली पीढ़ी के बैंक जीवन-चक्रीय उत्पादों और 5. टीवी ब्�किंग : वैकल्पिक माध्यम के रूप में ब्�किंग
सेवाओं को एक छत के नीचे आजीवन उपलब्ध कराएंगे सेवाओं को अधिकाधिक परिवारों तक पहंच ु ाना
और सभी उत्पाद एवं सेवाएं एक छत के नीचे मिलेगी आवश्यक हो गया है।
अर्थात विभिन्न अंतर-संबंध अप्लीकेशन होगा जो व्यवसाय
की आवश्यकतानुसार लचीले होंगे तथा उनके बीच कोई 6. कोषागार प्रणालिया : बैंक के प्रमुख क्रियाकलापों के
अंतरण चक्र नहीं होगा। अतः यह आवश्यक होगा कि सभी एक भाग के रूप में प्रौद्योगिकी समाधानों के संदर्भ में
प्रणालियों और प्रचालन इकाइयों के मध्य बाधारहित श्रृंखला कोषागार की ओर पर्याप्त ध्यान दिया जाना आवश्यक
बनी रहे और इसे नियंत्रणाधीन लागत के अन्तर्गत प्राप्त है।
किया जाए। इस नवीन संसार के समर्थन में यह प्रौद्योगिकी 7. बैंक ग्राहक संबंध प्रबंधन का प्रयोग करने पर भी विचार
विद्यमान होगी जो इन सभी और आधिकारिक सुविधाओं को कर सकते हैं, जिसमे प्रयोगकर्ता के संपूर्ण विवरण का
समाहित कर सके। बैंकों को प्रौद्योगिकी कर्मचारी केन्द्रित समावेश होता है।
की अपेक्षा ग्राहक केन्द्रित होना चाहिए। यहां कोर ब्�किंग इस प्रकार डार्विन के सिद्धान्त को बैंकों पर लागू करने
से परे कपितय प्रौद्योगिकियों का उल्लेख करना उचित होगा से एक निष्कर्ष यह निकलता है कि प्राकृतिक चुनाव की
जा बैंकों को लाभ पहंच ु ाएगी और निकट भविष्य में इनका प्रक्रिया से विकसित होने वाली प्रतिकूल प्रौद्योगिकी समाप्त
महत्व बढ़ेगा- हो जाएगी और नवीन, अधिक दक्ष और लचीली प्रौद्योगिकी
1. व्यावसायिक आसूचना ग्राहक क्षेत्रांे उत्पाद मिश्रण, चैनल अधिक प्रतिस्पर्धी बनकर उभरगी।
मिश्रण आदि सहित विविध व्यावसायिक रणनीतियों पर बैक ऑफिस केन्द्रीकरण (Back Office Centralization)-
निर्णय लेने में बैंक की मदद करती है। भारतीय बैंकों ने परिचालन और रणनीतिक लाभ प्राप्त करने
2. मानव संसाधन प्रबन्धनः एक प्रभावी एवं कुशल मानव में काफी सफलता प्राप्त की है। ऐसा मुख्यतः बैक ऑफिस
संसाधन प्रणाली में बड़ी मात्रा में संभावित क्षमता निहित परिचालनों में प्रौद्योगिक अपनाने और उसका उन्नयन करने
है। के माध्यम से हआ ु है। उस समय ऐसा प्रतीत होता था कि
3. मोबाइल ब्�किंग प्लेटफार्म की व्यापारिक आवश्यकताओं बैक ऑफिस परिचालनों में कम्प्यूटरीकरण का प्रयोग करने
में तीन प्रमुख बातें शामिल है- (अ) अन्य माध्यम की से कुछ कर्मचारी अतिरिक्त हो जाएंग ें जिन्हें फ्रंट ऑफिस
तुलना में मोबाइल ब्�किंग में प्रति बैंक लेनदेन लागत में लगाकर अधिक संतोषप्रद सेवाएं दी जा सकें गी और यह
न्यूनतम आती है (ब) उत्पादों का प्रचार मोबाइल से कार्य न्यून प्रत्यक्ष एवं परोक्ष लागत पर हो जाएगा। लेकिन
किया जा सकता है और इससे सेवाओं की मांग में ऐसा लगता है कि यह कार्य प्रस्तावित योजना के अनुसार
वृद्धि हो सकती है। (स) प्रीपेड मोबाइल रिचार्ज, निधि नहीं हो पाया। अतः विकल्प की अपेक्षा ग्राहकों में संवर्धन के
अंतरण और बिल भुगतान जैसी मूल्यवर्धित सेवाओं को प्रति पहंच
ु संभव करने के लिए बैंकों को ग्राहकों की, माध्यमों
भी आरम्भ किया जा सकता है। तक पहंच ु का ध्यान में रखते हएु माध्यमों की रणनीति के
साथ अपने व्यवसाय को भी बदलने की आवश्यकता होगी।
बैंकों के पास यह भी अवसर है कि वे ऐसी प्रौद्योगिकी का इन दिनों अधिकांश संगठनों में यह वास्तव में व्यापार और
उपयोग करें जो विशाल जनसंख्या के लिए ब्�किंग को सुगम सूचना प्रौद्योगिकी को अलग करती है। सभी उद्यम-व्यापी
बनाए अर्थात् बैंक बोलने वाले एटीएम, ब्रेल में विवरण, ब्रेल सूचना पहलों की सफलता के लिए यह अपेक्षित है कि इस
की-बोर्ड वाले एटीएम, मूक बधिर ग्राहकों के लिए समर्पित अंतर को समाप्त कर इन दोनों को एक नए रूप में एकीकृत
सेवा माध्यम, कमजोर नजर वाले व्यक्तियों के लिए इन्टरनेट कर दिया जाए।
सेटिंग को विशिष्ट रूप से निर्मित (तदनुकूल) करने जैसे उपसंहार
रूझानों की ओर ध्यान दे सकते हैं।
कोर ब्�किंग के अन्तर्गत जानकारी को शाखाओं के बीच
आज ग्राहक की 24x7 वैयक्तिक रूप में फोन पर, ऑनलाइन शीघ्रता से कुशलता के साथ साझा करना संभव हआ ु है। यह
या कुछ स्थलों में टेलीविजन के द्वारा ब्�किंग सेवाओं तक कम्प्यूटर और दरू संचार प्रौद्योगिकी के कारण संभव हआ ु है।
पहंच ु बनी हईु है। बढ़ता ग्राहक आधार तत्काल परितोष का कोर ब्�किंग सॉल्यूशन से कर्मचारी समझ बढ़ जाती है और
ही एक उत्पाद है, जबकि बैंकों के लिए यह आवश्यक है मानवीय त्रुटि तथा धोखाधड़ी की घटनाएं भी कम हो जाती
कि सभी क्षेत्रों के ग्राहकों के लिए प्रस्तुत की जा रही सेवाओं हैं। बैंकों को चाहिए कि वे आज के डिजिटल युग के आज
में संतल ु न बनाए रखें। उनके लिए यह भी आवश्यक है कि के ग्राहकों को अधिक विकल्प, अधिक पहंच ु और सुपर्दु गी
वे जरूरत के मुताबिक, विश्वसनीय और प्रतिस्पर्धी सेवा का तथा क्षेत्र की बेहतर, तेज और अधिक कुशल पद्धति प्रदान
उदाहरण पेश करें जो विभिन्न माध्यमों के जरिए एक समान कर उन्हें समर्थ बनाए। ग्राहक अब पुरानी ब्�किंग व्यवस्था
स्तरीय सूचना और अन्तःक्रिया प्रदान कर सकें । ऐसा करते की ओर नहीं लौटेंगे क्योंकि अब वे निरन्तर आगे बढ़ रहे
समय रणनीति का होना आवश्यक है। प्रौद्योगिकी किस हैं। बैंकों को ग्राहकों की गति से चलना होगा। प्रौद्योगिकी में
प्रकार व्यापार और ग्राहकों के संबंधों को प्रभावित करेगी, इतनी तीव्रता से बदलाव हो रहा है कि जांच पड़ताल के बाद
यहां इसका स्पष्ट अभाव दिखाई देता है। इस प्रकार बैंकों इसे अपनाने के लिए प्रतीक्षा नहीं कर सकते इसका कारण
में प्रौद्योगिकी को बाह्य दबावों के परिणामस्वरूप अपनाया यह है कि किसी प्रौद्योगिकी को अपनाने के लिए संक्षिप्त
जा रहा है न कि बैंक कर्मचारियों द्वारा साझा किया जा रहे अंतराल में और कोई नवीन विचार भी आ सकता है। अतः
विजन के द्वारा जो एक निचले स्तर या एकदम ऊपरी स्तर यहां यह कहना समुचित होगा कि हमें निरन्तर आगे बढ़ते
पर मौजूद हो या कि सकारात्मक बाह्य प्रभावों पर आधारित रहना चाहिए। सीबीएस से आगे देखने से भी अच्छे परिणाम
कॉरपोरेट विजन से प्रभावित हो। दीर्घकालीन विजन और मिल सकते हैं।
रणनीति के अभाव ने प्रौद्योगिकी के उस प्रभाव को कम

किया जिस रूप में उसका उपयोग किया जाता था। सूचना
प्रौद्योगिकी की दीवार भले ही एक रूपक मात्र हो, लेकिन
Bank Quest included in UGC CARE List of Journals

IIBF’s Quarterly Journal, Bank Quest has been included in the Group B of UGC CARE list of
Journals. The University Grants Commission (UGC) had established a “Cell for Journals Analysis”
at the Centre for Publication Ethics (CPE), Savitribai Phule Pune University (SPPU) to create and
maintain the UGC-CARE (UGC – Consortium for Academic and Research Ethics). As per UGC’s
notice, research publications only from journals indexed in UGC CARE list should be used for all
academic purposes.
Indian Institute of Banking & Finance
MICRO Research Papers: 2019-20
Indian Institute of Banking & Finance (formerly The Indian Institute of Bankers) was established in 1928
and is working with a mission “to develop professionally qualified competent bankers and finance
professionals primarily through a process of education, training, examination, consultancy/ counselling and
continuing professional development programmes”. One of the objectives of the Institute is to promote
research relating to operations, products, instruments, processes, etc. in banking and finance and encourage
innovation and creativity among banking and finance professionals. ‘Micro Research’ is a sort of an essay
competition for members of the Institute (bankers) to present their original ideas, thoughts and best practices
on areas of their interest. This initiative was started in 2004-05. Since then, the Institute invites Micro
Research papers every year, on topics identified by the Research Advisory Committee of the Institute.
The competition is open to life members of IIBF, who are presently working in banks and financial
institutions. In this regard, the Institute invites Micro Research papers for the year 2019-20. (See important
clause on copyrights below1)
1. Importance of Credit Rating
2. Linking loans to external benchmarks – Implications for bank customers & borrowers
3. Alternative Channels for House-hold savings
4. HR strategies for attracting and retaining talent
5. Role of emerging technologies in banking operations\
6. Money Markets v/s Capital Markets
7. Intellectual Property Rights based financing by banks
The essays/papers will be judged on their content/relevance and originality. The authors of the accepted
papers will be rewarded with a citation and cash prize ranging from Rs. 3,000/- to Rs. 10,000/- depending on
the merit of the paper.
The essays/papers will be judged on their content/relevance and originality. The authors of the accepted
papers will be rewarded with a citation and– cash prize ranging from Rs. 3,000/- to Rs. 10,000/- depending on
the merit of the paper.
The last date for submission of the paper is 31st January, 2020
Applicants must mention following details on the front page of their papers:
Name:
Membership No.:
Topic:
Designation & Employer:
Correspondence address:
Mobile no. /Landline no.
Email ID:
Applications without membership numbers/incomplete details will not be considered.
Phone: 022 - 022 - 68507000/68507033/68507011
1 Candidates may please note that copying materials as it is from various sources should completely be avoided. Wherever information used in the essay is taken from
other sources, the author should acknowledge and provide complete reference of the source. It should be ensured that there is no violation of copyrights, if any.
Indian Institute of Banking & Finance
Macro Research Proposals for the year 2019-20
Indian Institute of Banking & Finance (Estd: 1928) is working with a mission "to develop professionally qualified
competent bankers and finance professionals primarily through a process of education, training, examination,
consultancy/counselling and continuing professional development programmes. One of the objectives of the Institute
is to promote research relating to Operations, Products, Instruments, Processes, etc. in Banking and Finance and to
encourage innovation and creativity among banking and finance professionals. With this in view, in 2003, the
Institute had started to fund research studies on selected areas in banking and finance, known as 'Macro Research',
the term macro suggesting the scope of the research and to distinguish it from the other research initiative of the
Institute namely the 'Micro Research'. Under the Macro Research scheme, the Institute invites proposals from
research scholars from universities, colleges and banks to take up research in identified areas.
Topics for Macro Research:

The Institute encourages empirical research in which the researchers can test their hypothesis through data
(primary/secondary) from which lessons can be drawn for the industry (banking & finance) as a whole. In this regard,
the Institute invites Macro Research Proposals for the year 2019-20 on the following topics. (See important clause
on copyrights below1)
1. Impact of the Insolvency and Bankruptcy Code on Banks

2. Need for specialised Development Financial Institutions for long term financing
3. Prospects for Small Finance Banks and Payments Banks
4. Monetary Transmission Policy
5. Future of NBFCs in India
6. Future of Co-operative Banks in India
Who can participate?
Teams sponsored/identified by research organizations/institutes, as well as individuals presently serving in
banks/corporates/research organizations/institutions having a proven track record, are eligible to apply. Research
proposals from bankers are specially encouraged. The individuals applying under this scheme should not be more
than 58 years as on 31.12.2019.
The winners of the macro research award during the last two years (2018-19 and 2017-18) are not eligible to
apply for the research award. If the research is undertaken by individuals, the proposal should be routed through
their organizations after taking requisite permission, wherever applicable.
Research Proposal:
The Research Proposal/s submitted should, among others, focus on the research objective/s, hypothesis, research
design, methodology and execution plan of the proposed project.
Evaluation:
The Research proposals will be evaluated in terms of its objective, relevance and methodology. Action points flowing
from the research for policy making, should be clearly listed out in the final research report to be submitted. The
track record of the research organizations/researchers submitting the proposal is also taken into account for awarding
the research. All the research proposals will be prima facie considered for suitability and final selection will be made
1 Candidates may please note that copying materials as it is from various sources should completely be avoided. Wherever information used in the proposal/report is
taken from other sources, the author should acknowledge and provide complete reference of the source. It should be ensured that there is no violation of copyrights, if
any.
after the short listed researchers make a presentation to the members of the Research Advisory Committee (RAC) of
the Institute.
Research Grant:
The selected research project carries a cash award of Rs.2,50,000/- (Rupees two lakh and fifty thousand only). On
commencement of the project a part (25%) of the award money will be given by way of advance as per the request
of the researcher. The balance will be disbursed only on acceptance of the final report. In case a report is found
unacceptable during the midterm review and final review, the research organization / researcher will not be paid the
balance amount. In case a research organization/researcher abandons the project mid-way, they would be required to
refund the advance availed together with interest at the prevailing MCLR of the State Bank of India (SBI).
Size of research report:

Around 200-250 pages
Time frame:
After completing the research work, the final research report should be submitted within a maximum period of six
months from the time the project is awarded. In case of delay in submission of report, the award may be forfeited.
Applicant research organizations/researchers are required to submit typed proposals in English along with a brief
bio-data highlighting their experience in conducting similar research. The front page of the proposal should contain
following details:
Name
Designation
Address
E-mail
Phone No.
Title of Research
Proposal
Major Objective/s of
Research
The last date for submission of the proposal is 31st January 2020. Applications may be sent via post or courier to:
The Director of Academic Affairs,

Indian Institute of Banking & Finance,
Kohinoor City, Commercial-II,
Tower-I, 2nd Floor, Behind Kohinoor Mall,
Off. L.B.S. Marg, Kurla (West), Mumbai-400 070
Phone: 022 - 022-68507000/68507033/68507011
Along with the hard copy, the soft copy of the proposals should also be sent at academic@iibf.org.in
Scheme for Research Fellowship in “Banking Technology”
(Joint initiative of IIBF & IDRBT)
Adoption of technology has changed the contours of banking. The Core Banking Solutions (CBS) opened new vistas. A customer no
longer banks with a branch but with a bank. Banks, of today, have however moved beyond CBS and have embraced newer and emerging
technologies like Big Data Analytics, Artificial Intelligence, Blockchain, etc. These technologies have ushered in a metamorphosis of
change in the Indian banking landscape and are considered to be a creative force. Nevertheless, these emerging technologies are not
without their challenges. Cyber security assumes critical importance as in an internet-based banking environment, cyber frauds can
happen with global footprints. Research covering the above emerging technologies may therefore prove to be highly beneficial for the
banks.
In the above milieu, Indian Institute of Banking & Finance (IIBF) and Institute for Development & Research in Banking Technology
(IDRBT) have taken an initiative to jointly announce a “Research Fellowship in Banking Technology.”
About IIBF
Indian Institute of Banking & Finance (IIBF), formerly known as The Indian Institute of Bankers (IIB), is a professional body of banks,
financial institutions and their employees in India. Since its inception in 1928, IIBF has emerged as a premier institute in banking and
finance education for those employed as well as seeking employment in the sector, aiming for professional excellence.
About IDRBT
The Institute for Development and Research in Banking Technology (IDRBT) was established by Reserve Bank of India in March 1996
as an Autonomous Centre for Development and Research in Banking Technology. Over the years, the institute has positioned itself at the
intersection of academia and industry by focussing on research relevant to banking technology and reaching it to banks through training,
consultancy, publications and coordination of various bank technology forums.
Themes or Thrust Areas
The research fellowship in Banking Technology, a joint initiative of IIBF and IDRBT, aims to sponsor technically and economically
feasible research projects which has the potential to contribute significantly to the Banking and Finance industry.
Research proposals are invited in the following thrust areas:
• Cyber Security
• Analytics
• Mobile Banking
• Emerging Technologies
• Payment Systems
Research Proposal:
The research proposal submitted should, inter alia, focus on the research objective/s, hypothesis, research design, methodology and
execution plan of the proposed project.
Eligibility
Teams sponsored/identified by research organizations/institutes, as well as individuals working in Banks/Fin-Tech Companies/ corporates
/research organizations/institutions having a proven track record, are eligible to apply. If the research is undertaken by individuals, the
proposal should be routed through their organizations after taking requisite permission, wherever applicable.
The staff / faculty members of IIBF and IDRBT are not permitted to apply for the research fellowship.
Time frame:
The final research report should be submitted within a maximum period of six months from the time the project is awarded. In case of
delay in submission of report, the award may be forfeited.
During the period of six months, the awardee can avail the infrastructural facilities available at IDRBT for a maximum period of four
weeks. This phase which will be available twice during the six-month period, can be used by the awardee to carry out his/her research,
test the same in simulated conditions, interact with the faculty of IDRBT and with CTOs/CISOs of banks and financial institutions.
IDBRT may provide suitable mentoring and guidance to the researcher for accomplishment of his/her project. IDRBT may also provide
logistic support to the research candidate. Costs to be incurred in this connection will be borne by the researcher.
Candidates may highlight in their proposal their tentative plan to avail the mentorship and facilities at IDRBT and how it will enhance
their work.
A mid-term review of the project should be submitted within a maximum period of 4 months, which will be reviewed and suggestions
for improvements made, if any, should be incorporated in the final report.
Evaluation:
Research proposals, which should be amenable for implementation on ground, will be evaluated in terms of its objective, relevance and
methodology. All the research proposals will be examined for its suitability and the final selection will be made after the short-listed
researchers make a presentation to the committee jointly formed by IIBF & IDRBT. Final report should clearly mention key action points
for policy makers for implementing the project.
Research Grant:
The selected research project which carries a cash award of Rs.5,00,000/- (Rupees Five lakhs only) will be fully funded by the Institute.
On commencement of the project, a part (25%) of the award money may be given by way of advance, based on the request of the
researcher.
On completion of the project, the researcher will be called to make a final presentation of his/her work done before the committee jointly
formed by IIBF & IDRBT. The committee may also include CTOs/CISOs of banks and financial institutions. The balance of the research
grant will be disbursed only on acceptance of the final report. In case a report is found unacceptable during the final review, the research
organization / researcher will not be paid the balance amount. In case, a research organization/researcher abandons the project mid-way,
they would be required to refund the advance availed together with interest at the prevailing MCLR of the State Bank of India (SBI).
Research report:
It should be comprehensive covering all aspects described in the research proposal.
Submission
Applicant research organizations/researchers are required to submit soft copy of the proposals in English MS Word file along with a brief
bio-data highlighting their experience in conducting similar research and forwarding letter from the employer at academic@iibf.org.in
The scheme is open from 15.10.2019 to 14.01.2020.
Applicants must mention following details on the front page of their proposals:
Name:
Topic:
Objective of Research:
Designation & Employer:
Correspondence address:
Mobile no. /Landline no.
Email ID:
Qualification/s
Hard copy of the proposals along with the above mentioned details should also be sent at:
The Director of Academic Affairs,
Kohinoor City, Commercial-II,
Tower-I, 2nd Floor, Behind Kohinoor Mall,
Off. L.B.S. Marg, Kurla (West), Mumbai-400 070
Tel.: 022-68507000/68507033/68507011
Bank Quest Articles - Guidelines For Contributors
Contributing articles to the Bank Quest : supplied including full name, designation, name
(English/Hindi) of organization, telephone and fax numbers, and
Articles submitted to the Bank Quest should be e-mail address (if any), or last position held, in
original contributions by the author/s. Articles will case of retired persons. Passport size photograph
only be considered for publication if they have should also be sent along with the submission.
not been published, or accepted for publication 4) Format:
elsewhere. The article, should be submitted in MS Word,
Articles should be sent to: Times New Roman, Font Size 12 with 1½ line
The Editor: Bank Quest spacing. A soft copy of the article should be sent
by e-mail to publications@iibf.org.in
Kohinoor City, Commercial-II, Tower-1, 2nd Floor, 5) Figures, charts and diagrams:
Kirol Rd., Kurla (W), Mumbai - 400 070, INDIA. Essential figures, charts and diagrams should
Objectives: be referred to as 'Figures' and they should be
numbered consecutively using Arabic numerals.
The primary objective of Bank Quest is to present
Each figure should have brief title. Diagrams
the theory, practice, analysis, views and research
should be kept as simple as possible. in the
findings on issues/developments, which have
text, the position of the figure should be shown
relevance for current and future of banking and
by indicating on a separate line with the words:
finance industry. The aim is to provide a platform
'Insert figure 1'.
for Continuing Professional Development (CPD) of
the members. 6) Tables:
Vetting of manuscripts: Use of tables, wherever essential, should be
printed or typed on a separate sheet of paper and
Every article submitted to the Bank Quest is first
numbered consecutively using Arabic numerals
reviewed by the Editor for general suitabillty. The
(e.g. Table-1) and contain a brief title. In the body
article may then be vetted by a Subject Matter
of the article, the position of the table should be
Expert. Based on the expert's recommendation,
indicated on a separate line with the words 'Insert
the Editor decides whether the article should
Table 1'.
be accepted as it is, modified or rejected. The
modifications suggested, if any, by the expert 7) Picture/photos/illustrations:
will be conveyed to the author for incorporation The reproduction of any photos, illustration
in case the article is considered for selection. or drawings will be at the Editor's discretion.
The author should modify the article and Sources should be explicitly acknowledged by
re-submit the same for the final decision of the way of footnote, all computer-generated printouts
Editor. The Editor has the discretion to vary this should be clear and sharp, and should not be
procedure. folded.
Features and formats required of authors : 8) Emphasis:
Authors should carefully note the following before Words to be emphasised should be limited in
submitting any articles: number and italicised. Capital letters should be
1) Word length: used only at the start of the sentences or for
proper names.
Articles should generally be around 2000-3000
words in length. Copyright:
2) Title: It is important that authors submitting articles should
declare that the work is original and does not infringe
A title of, preferably, ten words or less should be
on any existing copyright. He/ she should undertake
provided.
to indemnify the Institute against any breach of such
3) Autobiographical note and photograph: warranty and consequential financial and other
A brief autobiographical note should be damages. Copyright of published article will vest with
publisher (Institute).
Sr. Price
No. (` )
30 Certificate Examination in English Micro-finance Perspectives 2014 M/s Macmillan India Ltd. `365/-
Microfinance & operation
31 Certificate Examinations English Basics of Banking (Know 2015 M/s Taxmann `140/-
for Employees of I.T. and Your Banking – I) Publications Pvt. Ltd.
BPO Companies
32 Certificate Examination English Basics of Banking (Know 2013 M/s Taxmann `195/-
in Card Operations for Your Banking – II) Publications Pvt. Ltd.
Employees of I.T. and
BPO Companies
33 Certificate Examination English Customer Service & 2017 M/s Taxmann `525/-
in Customer Service Banking Codes and Publications Pvt. Ltd.
& Banking Codes and Standards
Standards
34 Certificate Examination in English IT Security 2016 M/s Taxmann `425/-
IT Security Publications Pvt. Ltd.
35 Certificate Examination English Micro Small & Medium 2017 M/s Taxmann `375/-
in MSME Finance for Enterprises in India Publications Pvt. Ltd.
Bankers
36 Certificate Examination in Hindi Anti-Money Laundering 2014 M/s Taxmann `245/-
Anti-Money Laundering & Know Your Customer Publications Pvt. Ltd.
& Know Your Customer (Hindi)
37 Certificate Examination in English Rural Banking Operation 2017 M/s Taxmann `545/-
Rural Banking Operation Publications Pvt. Ltd.
38 Certificate Banking English Compliance in Banks 2017 M/s Taxmann `1,135/-
Compliance Professional Publications Pvt. Ltd.
Course
39 Certified Information English Information System for 2017 M/s Taxmann `645/-
System Banker Banks Publications Pvt. Ltd.
40 Certificate Examination English International Trade Finance 2017 M/s Taxmann `255/-
in International Trade Publications Pvt. Ltd.
Finance
41 Diploma Examination in English Treasury, Investment and 2017 M/s Taxmann `595/-
Treasury, Investment and Risk Management Publications Pvt. Ltd.
Risk Management
42 Advance Wealth English Introduction to Financial 2017 M/s Taxmann `595/-
Management Course Planning Publications Pvt. Ltd.
43 Advance Wealth English Risk Analysis, Insurance 2017 M/s Taxmann `240/-
Management Course and Retirement Planning Publications Pvt. Ltd.
44 Advance Wealth English Investment Planning, Tax 2017 M/s Taxmann `420/-
Management Course Planning & Estate Planing Publications Pvt. Ltd.
45 Certificate Examination in English Anti-Money Laundering & 2017 M/s Macmillan India Ltd. `325/-
Anti-Money Laundering Know Your Customer
& Know Your Customer
46 Certificate Examination English Prevention of Cyber Crimes 2017 M/s Macmillan India Ltd. `245/--
in Prevention of Cyber & Fraud Management
Crimes & Fraud
Management
47 Diploma in Cooperative English Cooperative Banking- 2017 M/s Macmillan India Ltd. `315/-
Banking Principles, Laws & Practcies
48 Diploma in Cooperative English Management and 2017 M/s Macmillan India Ltd. `445/-
Banking Operations of co-operative
Banks
49 Diploma in International English International Banking 2017 M/s Macmillan India Ltd. `285/-
Banking & Finance Operations
50 Diploma in International English International Corporate 2017 M/s Macmillan India Ltd. `290/-
Banking & Finance Finance
Sr. Price
No. (` )
51 Diploma in International English International Banking-Legal 2017 M/s Macmillan India Ltd. `245/-
Banking & Finance & Regulatory Aspects
52 Diploma in Banking English Information 2017 M/s Macmillan India Ltd. `435/-
Technology
53 Diploma in Banking English Design, Development 2017 M/s Macmillan India Ltd. `338/-
Technology & Implementation of
Information System
54 Diploma in Banking English Security in Electronic 2017 M/s Macmillan India Ltd. `314/-
Technology Banking
55 Diploma in Retail English Retail Liability Product & 2017 M/s Macmillan India Ltd. `380/-
Banking Other Related Services
56 Diploma in Retail English Retail Assets Product & 2017 M/s Macmillan India Ltd. `360/-
Banking Other Related Services
57 Certificate English Foreign ExchangeFacilities 2017 M/s Macmillan India Ltd. `473/-
Examination in Foreign for Individual
ExchangeFacilities for
Individuals
58 Certificate Course for English Non-banking Financial 2017 M/s Taxmann `615/-
Non-banking Financial Companies Publications Pvt. Ltd.
Companies
59 Certified Credit English Banker's Hand Book on 2018 M/s Taxmann `990/-
Professional Credit Management Publications Pvt. Ltd.
60 Certified Accounting and English Bankers' Handbook on 2018 M/s Taxmann `660/-
Audit Professional Accounting Publications Pvt. Ltd.
61 Certified Accounting and English Bankers' Handbook on 2018 M/s Taxmann `750/-
Audit Professional Auditing Publications Pvt. Ltd.
62 Certificate Examination English Small Finance Banks 2018 M/s Taxmann `865/-
for Small Finance Banks Publications Pvt. Ltd.
63 Certificate Course in English Ethics in Banking 2018 M/s Taxmann `475/-
Ethics in Banking Publications Pvt. Ltd.
64 Certificate Examination English Hand Book on Debt 2017 M/s Taxmann `325/-
for Debt Recovery Recovery Publications Pvt. Ltd.
Agents
65 Certificate Examination Hindi Hand Book on Debt 2017 M/s Taxmann `400/-
for Debt Recovery Recovery (Hindi) Publications Pvt. Ltd.
Agents
66 Certificate Examination Tamil Hand Book on debt. 2009 M/s Taxmann `195/-
for Debt Recovery Recovery in Tamil Publications Pvt. Ltd.
Agents / DRA Tele-callers
67 Certificate Examination Malayalam Hand Book on debt. 2009 M/s Taxmann `195/-
for Debt Recovery Recovery in Malayalam Publications Pvt. Ltd.
68 Certificate Examination Bengali Hand Book on debt. 2009 M/s Taxmann `195/-
for Debt Recovery Recovery in Bengali Publications Pvt. Ltd.
69 Certificate Examination Hindi Hand Book on debt. 2009 M/s Taxmann `195/-
for Debt Recovery Recovery in Hindi Publications Pvt. Ltd.
70 Certificate Examination Kannada Hand Book on debt. 2009 M/s Taxmann `195/-
for Debt Recovery Recovery in Kannada Publications Pvt. Ltd.
71 Certificate Examination Assamese Hand Book on debt. 2009 M/s Taxmann `195/-
for Debt Recovery Recovery in Assamese Publications Pvt. Ltd.
Sr. Price
No. (` )
72 Certificate Examination English Inclusive Banking: Thro’ 2018 M/s Taxmann `535/-
for Business Business Correspondents Publications Pvt. Ltd.
Facilitators/Business
Correspondents
73 Certificate Examination Hindi Inclusive Banking: Thro’ 2018 M/s Taxmann `540/-
Facilitators/Business in Hindi
Correspondents
74 Certificate Examination Kannada Inclusive Banking: Thro’ 2018 M/s Taxmann `540/-
Facilitators/Business in Kannada
Correspondents
75 Certificate Examination Oriya Inclusive Banking: Thro’ 2018 M/s Taxmann `530/-
Facilitators/Business in Oriya
Correspondents
76 Certificate Examination Gujarati Inclusive Banking: Thro’ 2018 M/s Taxmann `500/-
Facilitators/Business in Gujarati
Correspondents
77 Certificate Examination Marathi Inclusive Banking: Thro’ 2018 M/s Taxmann `475/-
Facilitators/Business in Marathi
Correspondents
78 Certificate Examination Kannada Inclusive Growth Thro’ 2018 M/s Taxmann `540/-
for Business Business Facilitator/ Publications Pvt. Ltd.
Facilitators/Business Business correspondence
Correspondents in Kannada
79 Certificate Examination Bengali Inclusive Growth Thro’ 2018 M/s Taxmann `540/-
Correspondents in Bengali
80 Certificate Examination Telugu Inclusive Growth Thro’ 2018 M/s Taxmann `570/-
Correspondents in Telugu
81 Certificate Examination Tamil Inclusive Banking thro’ 2018 M/s Taxmann `730/-
for Business Business correspondent a Publications Pvt. Ltd.
Facilitators/Business tool for PMJDY in Tamil
Correspondents
82 Certificate Examination Assamese Inclusive Banking thro’ 2018 M/s Taxmann `520/-
for Business Business correspondent Publications Pvt. Ltd.
Facilitators/Business a tool for PMJDY in
Correspondents Assameese
83 Certificate Examination Malayalam Inclusive Banking thro’ 2018 M/s Taxmann `650/-
for Business Business correspondent Publications Pvt. Ltd.
Facilitators/Business a tool for PMJDY in
Correspondents Malayalam
84 Certificate Examination Hindi Small Finance Banks 2019 M/s Taxmann `870/-
for Small Finance Banks Publications Pvt. Ltd.
85 Certificate Examination Marathi Hand Book on debt. 2019 M/s Taxmann `400/-
for Debt Recovery Recovery in Marathi Publications Pvt. Ltd.
86 Certificate Examination in Hindi IT Suraksha (Hindi) 2019 M/s Taxmann `400/-
IT Security Publications Pvt. Ltd.
87 Certificate Examination Hindi Customer Service & 2019 M/s Taxmann `600/-
in Customer Service Banking Codes and Publications Pvt. Ltd.
& Banking Codes and Standards (Hindi)
Standards
88 Certificate Examination English Inclusive Banking Thro' BC 2019 M/s Taxmann `345/-
Payment Banking (Payment Bank - English) Publications Pvt. Ltd.
89 Certificate Examination Hindi Inclusive Banking Thro' BC 2019 M/s Taxmann ` 345/-
Payment Banking (Payment Bank - Hindi) Publications Pvt. Ltd.
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TRAINING DEPARTMENT
INDIAN INSTITUTE OF BANKING AND FINANCE
IIBF conducts Training programmes on different subjects and areas for the officials of
Commercial Banks/ RRBs/ Co-operative Banks and Financial Institutions.
CREDIT MANAGEMET INTEGRATED TREASURY MANAGEMENT

CREDIT APPRAISAL RETAIL BANKING
CREDIT MONITORING HOUSING FINANCE
RECOVERY MANAGEMENT RISK BASED INTERNAL AUDIT
ADVANCED CREDIT APPRAISAL
GENERAL TRAINING PROGRAMMES
BRANCH MANAGERS’ PROGRAMME
TURNAROUND STARTEGIES FOR LOSS MAKING BRANCHES CUSTOMISED TRAINING PROGRAMMES INCLUDING
INDUCTION TRAINING PROGRAMMES FOR BANKS/FIs
LEADERSHIP DEVELOPMENT PROGRAMMES
BASED ON THEIR REQUIREMENTS
TRAINERS TRAINING PROGRAMME
KYC/AML/CFT
COMPLIANCE
• Experienced and qualified Faculties - Trainee oriented methods
• State-of-the-art Training facilities
• Environment encouraging learning
• Training facilities at Professional Development Centers at Chennai, New Delhi and Kolkata
FOR FURTHER DETAILS, PLEASE CONTACT

Dr. T. C. G Namboodiri, Director (Training) Indian Institute of Banking & Finance (IIBF)
Email: drnamboodiri@iibf.org.in Corporate Office, 3rd Floor, Kohinoor City,
Phone: 022 2503 7119 | Cell: +91 99203 78486 Commercial - II, Tower - I,
Or
Mumbai - 400 070, India.
Ms. Ravita Wadhwa, Dy. Director (Training)
Email: ravita@iibf.org.in www.iibf.org.in
Phone: +91-22-6850 7032 | Cell: +91 98718 99953

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(ISSN 00194921)

Beyond Risk: Policy making for an Uncertain World

Speech delivered on 92nd Annual General Meeting

Financial Inclusion, Financial Literacy and the Indian Woman

Financial Inclusion is only a gateway in the Economic journey

The importance of Compliance in Banking

Study of increasing Digital Banking & Financial Technology

Banking: Sailing across the economic downturn

भारत में वित्तीय साक्षरता का प्रसार - रणनीतियाँ

कोर बैंकिंग सॉल्यूशन

Bank Quest HONORARY EDITORIAL ADVISORY

GOVERNING COUNCIL MEMBERS

Financial Inclusion is more of a social issue which needs to be addressed by the

The next article of the issue, “The Importance of Compliance in Banking” is

I wish you all a very Happy & a Prosperous New Year!

Beyond Risk: Policy making for an

Subscription for Bank Quest and IIBF VISION

Period One year

Speech delivered on 92nd Annual

Ladies and Gentlemen, the logistics arrangements and identification of the

Figure I : Active vs. inactive accounts

*Research Officer, State Bank Institute of Consumer Banking, Hyderabad.

Source: World Bank

While the developed world is struggling with closing

References Visa Global Financial Literacy Barometer-2012 https://

Introduction is mutually supportive. Financial Literacy paves the

Officer, who is required to assist the top management 1400

in managing effectively the compliance risks faced by 1200

(Source: Press Releases by RBI)

e) Regulatory guidelines for Prepaid Payment

BANK QUEST THEMES FOR THE COMING ISSUES

2. Strategic Technology Trends in Banks - Sub - themes: Traditional lending to

3. NBFCs, Systemic Risk and interconnectedness amongst Financial Institution

Introduction shift of customers from paper based to electronic/

• Aadhar Enabled Payment System (AEPS)

• *99# USSD Unstructured Supplementary Service Data

• RBI Payment System Vision 2019-2021 released

Paper Based Clearing Consists of two of cheques, are transferred electronically to

ATMs and Point of Sales (POS) numbers are also

References: • NPCI Statistical Data on Retail Electronics

 Gopal Shekhar Jha*

Bank Quest Articles - Honorarium for the Contributors

 विजय प्रकाश श्रीवास्तव*

*संकाय सदस्य, इंस्टिटयूट अाॅफ ब्�किंग पर्सनल सिलेक्शन।

Diamond Jubilee and CH Bhabha Banking Overseas Research

 सुबह सिंह यादव*

सहायक महाप्रबंधक (सेवानिवृत) बैंक अ‍ाॅफ बडाैदा।

Bank Quest included in UGC CARE List of Journals

Macro Research Proposals for the year 2019-20

Topics for Macro Research:

1. Impact of the Insolvency and Bankruptcy Code on Banks

Size of research report:

The Director of Academic Affairs,

CREDIT MANAGEMET INTEGRATED TREASURY MANAGEMENT

FOR FURTHER DETAILS, PLEASE CONTACT

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