Six private sector candidates apply for Canara Bank MD & CEO role

For the first time, six candidates from the private sector have applied for the post of Managing Director (MD) and Chief Executive Officer (CEO) of public sector lender Canara Bank. Interviews are scheduled for December 22, according to sources who spoke on condition of anonymity.

 

“A total of 19 candidates have applied for the top post, including one from State Bank of India, 12 from other public sector banks, and six from private sector banks,” one source said. The interviews for all applicants will be conducted by the Financial Services Institutions Bureau (FSIB), they added.

 

The tenure of current MD & CEO, K Satyanarayana Raju, ends December 31. 

On October 9, the government opened up one MD position in State Bank of India (SBI) and other PSBs for private sector bankers. This was seen as a major overhaul in the way leadership is chosen in India’s public financial institutions. The government gave FSIB the power to assess and recommend candidates, setting aside their Annual Performance Appraisal Reports (APARs). 

Several PSB executives have received total no-objection certificates (NOCs) from their respective banks, including candidates from Bank of Baroda, Bank of India, Union Bank of India, UCO Bank, Indian Bank, Indian Overseas Bank, Bank of Maharashtra and Central Bank of India, the source said.

 

On FSIB recommendations, the final name for the position will be approved by the Appointments Committee of the Cabinet (ACC), which is headed by Prime Minister Narendra Modi.

 

“The final selection is expected to be based on the candidate's leadership track record, experience in handling large-scale banking operations and familiarity with regulatory and governance requirements,” sources said.

 

The post of MD & CEO in Canara Bank carries a pay scale of ₹2,05,400-₹2,24,400 per month, plus allowances as admissible to chief executives of PSBs from time to time.

 

Candidates from the private sector must have a minimum of 21 years of professional experience, including at least 15 years in banking, with either a minimum of two years on the board of a bank, or at least three years at the highest level on a substantive basis, immediately below the bank board level.

 

For candidates from PSBs, the applicant must have a minimum of 21 years of experience in banking and be either Deputy Managing Directors (DMDs) of SBI, with at least one year of service as DMD, executive directors (EDs) of nationalised banks with at least one year of service as ED, or MD & CEO of a nationalised bank, having served on the post for at least one year; and have a residual service of two years, treating 60 years as the date of superannuation. Chief Vigilance Officers (CVOs) of public sector banks, except CVO of Canara Bank, are also eligible.

 

The FSIB is an autonomous body responsible for making recommendations for appointing senior executives to public-sector financial institutions. Established in 2022, the bureau is headed by former Secretary of the Department of Personnel & Training, Bhanu Pratap Sharma, as its chairman, with the secretaries of the Department of Financial Services and the Department of Public Enterprises serving as its members, along with other expert members.