There is enormous scope for the banks to expand their business to areas/sectors hitherto lacking formal credit. 2  BIS central bankers’ speeches  Domestic Credit of the Banking Sector to GDP (in %)  10. Banks have to develop the ability to maintain high growth levels over a sustained period of time. They also need to develop strong linkages with the real sector.
These linkages should critically determine all aspects of banking operations including the kind of products and services offered, the pricing strategies, delivery channels adopted, sectors/ sub-sectors receiving focused attention, technology platforms adopted, etc. This linkage with the real sector will ensure relevance of banks as a key pillar in the economic system and enable them to fully meet their crucial role in nation building.