Centre to soon name high-level panel on ‘Banking for Viksit Bharat’

The Union Government is set to soon announce a high-level committee on **‘Banking for Viksit Bharat’**, a proposal flagged in this year’s Union Budget by the Finance Minister. The idea is to undertake a comprehensive review of India’s banking sector and recommend steps to align it with the country’s next phase of growth.

The move reflects a constructive approach: rather than focusing on short-term fixes, the proposed panel is expected to take a wider view of how banking can support a larger national ambition of building a more developed, resilient and inclusive economy.

A Budget proposal aimed at the next growth cycle In the Budget, the Finance Minister proposed setting up a high-level committee on **‘Banking for Viksit Bharat’**. The Government has indicated that the announcement of this committee is expected soon.

While specific details about the panel’s composition and terms of reference are yet to be formally shared, the overall intent is clear from the Budget proposal: a **comprehensive review of the banking sector** to ensure it remains fit for purpose as India scales up investment, expands formalisation, and increases participation in the global economy.

For businesses and households alike, a well-aligned banking system can make day-to-day finance smoother—whether it is credit for small enterprises, long-term funding for infrastructure, or secure savings and payment services for citizens.

What “Banking for Viksit Bharat” could mean in practice A “Viksit Bharat” lens typically implies strengthening the foundations for sustainable and broad-based growth. In banking, that can translate into practical priorities such as:

• **Better credit flow** to productive sectors, including MSMEs and emerging industries, in a manner that supports entrepreneurship and job creation.
• **Stronger risk management and governance**, ensuring lending growth is healthy and balanced.
• **Deeper financial inclusion**, so more people and small businesses can access formal financial services with ease.
• **Improved customer experience and efficiency**, including faster processes and clearer communication.

A high-level committee can help bring these themes together into a single roadmap, balancing growth needs with stability and trust—both essential for a strong financial system.

Just as importantly, a comprehensive review can also help the sector prepare for the next decade of demand: rising aspirations, higher consumption, more formal employment, and increased capital expenditure by both the public and private sectors.

Opportunity for banks, businesses and the wider economy For India’s banking ecosystem—public sector banks, private banks, regional players and the wider financial services network—a structured review at a national level offers an opportunity to:

• identify bottlenecks that slow lending and service delivery,
• strengthen institutional capacity,
• and improve alignment with national development goals.

For startups and growing firms, a clearer emphasis on future-readiness in banking can mean more predictable access to finance, better product innovation, and a supportive ecosystem for scaling responsibly.

The committee’s recommendations, once announced and subsequently finalised, could provide direction for policy, regulation and sectoral priorities—supporting stability while enabling banks to serve a larger and more diverse economy.

**Why it matters:** A high-level panel on ‘Banking for Viksit Bharat’ signals an intent to future-proof the banking system—so it can better support investment, enterprise and inclusion as India enters its next phase of growth.