rights. the reserve bank has initiated a host of measures for the creation of a competitive environment and improve efficiency in the process of financial intermediation. it is important that banks continue to adequately finance activities that are of crucial importance to growth. the fostering of entrepreneurship in new industrial activities, in the emerging services sector and other non traditional activities, will all require proactive financing. it may be of interest to the icc banking commission that india has been closely associated with various standard setting bodies and has been taking active part in the work of several key international institutions devoted to the task of developing and promoting implementation of financial standards and codes. although we are not a member of the financial stability forum ( fsf ), we were one of the countries specially requested to help its task force on the implementation of standards and subsequently, the follow up group on incentives for implementation of standards. the reserve bank ’ s standing committee on international financial standards and codes ( chairman : dr. y. v. reddy ) has assessed indian regulations against international best practices in order to facilitate positioning of international financial standards and codes in relevant areas of the financial system in india and to guide the overall process of implementation of appropriate changes in respect of various segments of the financial system. india is one of the countries that has sought participation in the joint imf - world bank financial sector assessment programme ( fsap ). as part of the reports on observances of standards and codes ( roscs ), india ’ s compliance in respect of standards and codes has already been assessed in respect of six codes, viz., monetary and financial policy transparency, fiscal transparency, banking supervision, securities market regulation, payment and settlement system and corporate governance. currently, assessment is being undertaken with regard to special data dissemination standards. the narasimham committee on banking sector reforms ( 1998 ) had observed that a legal framework that clearly defines the rights and liabilities of parties to contracts and provides for speedy resolution of dispute is a sine qua non for efficient trade and commerce, especially for financial intermediation. several legislative initiatives have been undertaken in the banking and financial sector. the bills introduced in parliament for amendment of the banking regulation act will encourage foreign banks to set up subsidiaries and attract foreign investors. historically, foreign banks have always been allowed to operate in india and have enjoyed national treatment and a level - playing field. with a view to developing trade and payment relationship, we have encouraged foreign banks from other countries which did not have historic links to

the status quo, to dissect and debate the decisions made, and to emerge with perspectives that will bolster our nation's resilience for the future. the cracks left by the pandemic are indeed where the light enters, illuminating the path to progress. before i end, i wish to express my appreciation to the world bank, especially to all my friends here at the world bank kl office, the organisers, speakers and participants in today's event. together, may the conversations and discussions today, as shams tabrizi said, be our'first step and the rest will come'for a more robust and sustainable future. thank you and let the conversation begin! 3 / 3 bis - central bankers'speeches