At the same time, the low CASA banks have an opportunity to grow and improve their scale economies turning Indian banking into a more competitive space. I have been told by some bankers that the time for deregulation was perhaps not right as the NPA cycle is on the upswing.
We all know the truth that there never will be a completely appropriate time for such reforms. At least, today we have the comfort that banks have substantially got rid of the asset-liability mismatches that were created earlier by credit growth outstripping deposit growth.