The banking sector reform combines a comprehensive reorientation of competition, regulation and ownership in a non-disruptive and cost-effective manner. Development of financial markets received a strong impetus from financial sector reforms since the early 1990s.
The Reserve Bank has been engaged in developing, widening and deepening of money, government securities and foreign exchange markets along with the development of an efficient and robust payments and settlement system. A wide range of regulatory and institutional reforms was introduced in a planned manner over a period to improve the efficiency of these financial markets.