Govt to announce high-powered panel on banking reforms for Viksit Bharat
New Delhi: The government will soon announce a high-powered committee on banking reforms for Viksit Bharat, Union finance minister Nirmala Sitharaman said on the first day of its two-day PSB Confluence 2026 on Monday.
Sitharaman said the conclusions from the confluence will provide substantive inputs to the proposed high-powered committee on banking for Viksit Bharat.
The confluence, organized by the department of financial services (DFS) under the ministry of finance, brought together senior leadership of public sector banks (PSBs) and public financial institutions (PFIs), senior government officials and domain experts to deliberate on emerging opportunities and strategic priorities for the banking and financial sector.
She highlighted the importance of the seven themes identified for the two-day deliberations in taking forward the banking sector, financial inclusion and credit. She also emphasized that the historically low level of non-performing assets (NPAs) puts the banking sector in a position of strength to take forward the next phase of reforms.
The first day
The first day covered four of the seven themes—deposit mobilization, banking for youth, supporting the investment cycle and global capability centres (GCCs).
On banking for youth, Sitharaman said the future of banking must reflect the aspirations of India’s youth, noting that 29% of the country’s population is between 15 and 29 years of age.
The discussions examined ways to develop banking propositions responsive to the aspirations and financial needs of young people. The participants also explored the potential of leveraging Mera Yuva Bharat (MY Bharat), a national platform of the department of youth affairs under the ministry of youth affairs and sports, for wider youth engagement.
With more than 26 million registered users and an extensive outreach network, MY Bharat can help strengthen young people’s connection to the formal financial system and enhance awareness of opportunities in education finance, entrepreneurship, internships, and careers in the financial sector, according to the release.
The deposit mobilization discussions focused on strengthening the deposit base through deeper customer engagement. The investment-cycle session examined ways to enhance institutional capabilities and financing solutions to support the evolving investment cycle.
The discussions on global capability centres (GCCs) focused on positioning PSBs and PFIs to capture emerging opportunities across the expanding GCC ecosystem.
Sanjay Lohiya, DFS secretary, outlined the importance of translating the deliberations into concrete and implementable outcomes. He also highlighted the need for PSBs and PFIs to anticipate emerging opportunities, strengthen institutional capabilities, draw upon successful approaches across institutions and leverage their collective experience to support the next phase of economic growth.
Priyanka Shukla, chief executive of MY Bharat, participated as an expert speaker and shared insights on youth outreach. Seshagiri Rao MVS, group chief financial officer at JSW Group, also participated as an expert speaker. Tanay Kediyal, GCC enterprise transformation expert, shared perspectives on the evolving ecosystem.
The second day
The remaining three themes—agriculture and horticulture value-chain infrastructure, priority sector lending and reimagining the credit card business—will be taken up on Day 2.
The second day will also include presentations on actionable strategies and innovative solutions emerging from all seven thematic groups.
The confluence is aimed at helping PSBs and PFIs build on the progress achieved by the banking sector, strengthen institutional capabilities and competitiveness, and position themselves to support India’s evolving growth aspirations and the Viksit Bharat 2047 vision.
