MUMBAI: The Reserve Bank on Monday held a conference for the directors on the boards of Private Sector Banks. The conference was held in Mumbai.
RBI governor Shaktikanta Das inaugurated the Conference themed ‘Governance in Banks – Driving Sustainable Growth and Stability’. The Conference also included addresses by the Deputy Governors and technical sessions on Governance and Assurance Functions, Credit Risk, Operational Risk, IT/Cyber Risk and Data Analytics.
Deputy Governors MK Jain and M Rajeshwar Rao, along with Executive Directors representing the RBI’s Department of Supervision, Department of Regulation and Enforcement Department, and other senior officials, also participated in the Conference, the central bank said in a release.
“The Governor acknowledged the role played by the banks in supporting the economy and maintaining resilience along with improved financial performance in the face of several adverse shocks in recent times,” the RBI release said.
Das asked the directors of banks to further strengthen the governance and assurance functions (risk management, compliance and internal audit) so that the banks are able to identify and mitigate risks at an early stage. The Governor also emphasized the need for banks to ensure continued financial and operational resilience.
Das’ address to the bankers came at a time when there has been instability in some banks in the US.
One of the most prominent lenders in the world of technology startups, Silicon Valley Bank, which was struggling, collapsed on March 10, after a run on the bank by the depositors. Its closure led to a contagion effect and the subsequent shutting down of other banks – Signature Bank and First Republic Bank.
The collapse of a few regional banks in the US has sent ripples across the global banking industry and posed fears of a contagion effect across economies. (ANI)