RBI proposes upper age limit of 70 yrs for bank CEOs, whole-time directors

Recent events in a dynamic and rapidly evolving financial landscape have led to increasing scrutiny of the role of promoters, major shareholders and senior management vis-a-vis the role of a board

The RBI has proposed an upper age limit of 70 years for CEOs and whole-time directors of banks and a maximum term of 10 years for those belonging to the promoter group, as part of the exercise to improve governance in the banking sector.

The discussion paper released by the Reserve Bank of India (RBI) on Thursday said that chief executive officers (CEOs) and whole time directors (WTDs) belonging to the promoter group should pass on the managerial leadership to professionals after ten years.

"The upper age limit for CEO/WTDs of banks is 70 years. Beyond this nobody can continue