Banking's Brave New World: Innovation and Survival

Finance Minister Nirmala Sitharaman also pointed out that the new entries of banks and non-banking entities bring about opportunities and threats for incumbent players. The ever-changing scenario in this case expects innovation and optimality from incumbent banks. While the RBI also warned NBFCs against the use of everlasting credit lines posing financial stability issues, the IMF also raised red flags over exposure of NBFCs to the power and infrastructure sectors. Regulatory adherence and technological upgrades would be the key to success while the banking business is transforming.

Source: Business Standard, Economic Times, Vajiram & Ravi