"Banks to take commercial decisions without any fear of government": Arun Jaitley

Union Finance Minister Arun Jaitley on Wednesday asked Chief Executive Officers (CEOs) of Public Sector Banks (PSBs) and Financial Institutions (FIs) to take commercial decisions without fear or favour as the government is committed to providing them financial autonomy, both in letter and spirit.

He insisted that the banks should have strong public grievances redressal mechanism in place, so that their clients do not have to approach the Government to redress their grievances.

Jaitley said the adoption of differentiated strategies and capital augmentation plans through innovative financial instruments would allow the banks to meet their capital requirements. He said that this would also at the same time facilitate appropriate credit expansion to meet the needs of the productive sectors of the economy so that the momentum of economic growth may be sustained.

He further was speaking at the Quarterly Performance Review Meeting with the Chief Executive Officers (CEOs) of the Public Sector Banks (PSBs) and Financial Institutions (FIs) for the quarter ending December, 2014 here today. The meeting was chaired by the Finance Minister accompanied by the Minister of State for Finance Jayant Sinha.