'Private banks can make wonders in Indian economy'

16th general body meet of Karnataka Bank Officers Organisation

He said that at a time when corruption has entered the public sector banks, the private sector banks can work effectively in the banking sector.

In his inaugural speech at the 16th general body meeting of Karnataka Bank Officers Organisation at PVS Kalakunj Auditorium, Raghavan analysed the recent trends in the banking sector and asked the bank employees to work with honesty.

“As long as we are in the mixed economy, the banks in India must ensure benefits to the poorest of the poor in the society. The banks in the nation were nationalised to hold the financial resources under control. However the nation has failed to deploy the resources properly,” he stated and suggested the Finance Ministry to understand the challenges of banking system and channelise the work in right direction.

Considering Indian banking sector as one of the strongest sectors, he affirmed that India can reach the top with the systematic utilisation of the human resource.

“Indian banking can’t be compared to the banking system in USA, as the Indian banks intend to reach even the poorest in our society unlike American banks which aim to trade world wide. Taking into consideration the profile of young India, India can raise high in financial sector if the human resource is handled properly, otherwise it would end up in counter production,” he said.

Meanwhile, Raghavan appreciated the efforts of trade unions and organisations for their efforts to obtain pension, which he considered as not a simple task.

“Strike is the last resort in any developing economy,” he stated. Raghavan asked the banks to stay out of strict hierarchy system for the effective functioning.

Banks face challenge

The chief guest of the occasion Karnataka Bank MD and CEO P Jayarama Bhat said that banking sector is facing several challenges despite the positive change in the Indian economy like increase in the GDP and reduced food inflation.

With the banks increasing the interest rates of deposits, the existing investment depreciated, impacting the bottom line of the banks, he informed.

He also put forth the aim of Karnataka Bank to create 10 lakh SB accounts in the coming year.

A comprehensive Service Condition book was released on the occasion.
A delegate session will be organised on Sunday, as a part of the two day conference.