DFS secy urges PSBs to boost global competitiveness and governance

NEW DELHI: Public sector banks need to aspire to global competitiveness, strengthen governance and operational resilience, and expand their role as sectoral champions across both traditional and emerging industries, a top official told the two-day brainstorming session of state run banks.

M Nagaraju, secretary department of financial services, underlined that public sector banks have moved beyond the phase of survival and stability and are now positioned to play a larger role as champions of growth, innovation, and leadership in the journey towards Viksit Bharat by 2047. The discussion during the two-day "PSB Manthan" emphasised that PSBs should aspire to evolve into globally competitive banks, with the scale, presence, and capabilities to support Indian enterprises overseas and stand alongside leading financial institutions worldwide. It stressed the importance of modernising technology of state run banks by moving beyond legacy systems to agile and interoperable platforms capable of delivering seamless digital services, enhancing cyber resilience, and integrating effectively with digital public infrastructure. It was suggested PSBs put in place robust governance frameworks for Artificial Intelligence.