Attracting and retaining qualified management and staff can be very difficult, and in some cases may force a bank to close its doors, to the detriment of its customers. For banks in these types of communities, the best option might be to merge with another local bank to continue to provide banking services for residents and small businesses.
In India, as in most countries, monetary policy framework has evolved in response to and as a consequence of financial developments, openness and shifts in the underlying transmission mechanism. The evolution of monetary policy framework in India can be seen in phases.