Market structure (a)  Four out of five large nationalised commercial banks have been privatized while fourteen private domestic and eighteen foreign banks were allowed to enter the banking sector. State ownership of banking assets has declined from 92 per cent in 1992 to 20 percent at present.
(b)  Governance structure of banks has been strengthened, better disclosure and transparency standards have been introduced and credit ratings of banks have been made mandatory and disseminated widely to the public at large. Fit and proper criteria have been prescribed for the directors and senior managers.