Finance minister Nirmala Sitharaman on Sunday announced setting up "a high-level committee on banking for Viksit Bharat" to comprehensively review the sector and align it with India's next phase of growth.
Observing that the banking sector today is characterised by strong balance sheets, historic highs in profitability, improved asset quality and coverage exceeding 98 per cent of villages in the country, she said we are well placed to futuristically evaluate the measures needed to continue on the path of reform-led growth of this sector at this juncture.
"I propose setting up a high-level committee on banking for Viksit Bharat to comprehensively review the sector and align it with India's next phase of growth," she said.
The vision for NBFCs for Viksit Bharat has been outlined with clear targets for credit disbursement and technology adoption, she said.
In order to achieve scale and improve efficiency in the public sector NBFCs, she said, as a first step, it is proposed to restructure the Power Finance Corporation and Rural Electrification Corporation.
“I propose a comprehensive review of the Foreign Exchange Management (Non-debt Instruments) Rules to create a more contemporary, user-friendly framework for foreign investments, consistent with India’s evolving economic priorities,” she said.