The Hindu Business Line : Body to track bank client servicing

The Banking Codes and Standards Board of India (BCSBI) will function as a self-regulatory organisation with the objective of improving the quality of customer services rendered by the Indian banking system, Dr Y.V. Reddy, Governor, Reserve Bank of India, said here on Saturday.

Addressing the first meeting of BCSBI, which was registered on February 18, 2006, Dr Reddy said the Board would be an autonomous and independent body. In the initial years, however, RBI would provide the finances to meet the entire expenses of the Board.

The RBI Governor pointed out that the liberalisation of the financial sector was generally perceived to induce competition, which, in turn, would ensure good quality customer service to the common man. But in practice, it had not come about as expected.

It was in this context that the Committee on Procedures and Performance Audit of Public Services was constituted by the RBI in 2003.

The committee had, among other things, observed an institutional gap for measuring the performance of the banks against codes and standards based on established best practices. BCSBI was set up on the recommendation of the committee.

Dr Reddy welcomed the Board to share any information, which it might consider appropriate to bring to the notice of RBI as a regulator and supervisor of the banking system.

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Body to track bank client servicing