The Reserve Bank is looking at introducing new rules on corporate governance for banks in sync with global ones, and would also like lenders to disclose more, Deputy Governor NS Vishwanathan said on Friday. Vishwanathan also urged banks to recognise losses because of NPAs as early as possible and not to defer the same.
The comments from the top central banker come at a time when the system continues to go through the issues of asset quality, even though the new additions have slowed down. Speaking at an event organised by Business Standard, a business daily, Vishwanathan listed out a slew of initiatives the RBI has undertaken, with the compensation structures for key management personnel and whole-time directors being the latest additions, and hinted that it is looking at more.