In this endeavour focus should not only be on public sector banks but also on private sector and foreign banks. This can only be achieved with the help of the bank trade unions and the bank employees and by evolving a low-cost delivery model. Reserve Bank has already laid down the appropriate regulatory framework and this would de jure make banking a fundamental right.
Global imbalances engendered financial fragility because there were also underlying weaknesses in the financial systems of many countries – including deficiencies in supervision and regulation and inadequate risk management within financial institutions. Addressing these underlying weaknesses is one of the principal objectives of the G20 agenda. Global imbalances have narrowed significantly during the past couple of years.