Banking in India has evolved as a mix of various independent functions. Thus we have credit functions as a separate activity, deposit taking as another different function, a host of payment facilities - each as a distinct activity, other services and so on. It is now time to look at consolidation of all these inter-related functions.
What drives growth and prosperity in good times can easily turn the other way in a crisis. In a globalised world, a problem at one side of the globe can quickly spread to the other side. To paraphrase Winston Churchill: “a financial crisis gets halfway around the world before policymakers have a chance to get their pants on”.