BS EDIT: Empty Chairs Weaken Governance at PSBs

By Business StandardPublished On May 6, 2026

Reform Meets Reality

RBI’s new governance norms stress stronger boards—but many PSBs lack key members

Leadership Gaps

Several banks operate without non-executive chairpersons or even full-time CEOs

Shorthanded Boards

Many PSBs have fewer directors than required, limiting oversight and decision-making capacity

Missing Expertise

Shortage of independent directors and chartered accountants weakens audit and risk functions

Policy-Execution Mismatch

Principle-based governance norms may falter without fully staffed and capable boards

Urgency of Appointments

Timely, robust appointments are essential to ensure governance, performance, and stability