a lot in this regard. we have to strengthen the legal framework as applicable to entities operating in the city and their counterparties in the domestic sector. it is possible that many business entities that can potentially relocate to gift city are waiting for this framework to be put in place. 16. an ifsc should have a legal structure that is sufficiently supportive of the swift resolution of conflicts and disputes arising from the settlement / enforcement of complex international financial contracts. the contract should be of international standard and enforceable in the court of law and preferably similar to isda documentation. 17. the existing laws governing financial contracts in india should be reviewed and gaps addressed. based on the review, a world class legal framework for financial contracts in gift could be enabled, either by appropriately amending the existing laws governing financial contracts or enacting a fresh law. either way, this should be expedited, may be by constituting a high level working group to address this gap in mission mode. 18. in addition, a unified financial regulatory framework providing for a single regulator for gift city could contribute to better regulation and supervision of the financial entities in the city. while individual regulators can supervise the entities initially when the size of the business is small, a unified regulator would be necessary to pay undivided attention to the ifsc. work on the design of such a framework should begin soon so as to be able to implement this in time. 19. in conclusion, fiscal incentives and other leeway will take gift forward only so far, work in areas that i have just suggested is essential for fully harnessing the ifsc ’ s business potential. 3 / 3 bis central bankers'speeches

the logic in returning “ at par ” cheques with the legend “ not drawn on us ” in a cbs scenario? it is, thus, time we really revisited the entire gamut of issues pertaining to continued traditional practices bis central bankers ’ speeches even under cbs before we proceed further. this, i would think, is the most important precursor to “ beyond core banking ”. i am sure that idrbt will be more than keen to collaborate with banks in addressing these essential concerns – which incidentally, is another c! crm : deliverance is the key let me now move over to the next step after cbs. we are aware of the significance of customer relationship management ( crm ) and the role it can play in establishing and retaining a customer by providing better value. banks now routinely calculate customer value based on factors such as account average balances, account activity, services usage, branch visits and other variables. crm solutions which are based on cbs inputs, however, offer end - to - end functionality to effectively address the needs of the complete cycle of marketing, sales and service for banking products, resulting in customer retention as well. what is needed is the effort on the banks ’ part to improve their service delivery levels and exploit the large information base effectively to design segment specific products, offer just the right bundle to the customers as also communicate product availability to the potential clientele. appropriate use of crm analytics arms banks with the technology muscle to increase their reach through effective marketing campaigns. it helps in making the service product and delivery levels scalable enough to meet the needs of growing banks. it also enhances capabilities to explore cross selling options for efficient and cost effective marketing. to my mind, if the basis of competition till now is interest elasticity, it could soon, if not already, be “ techno - elasticity ” – the bank equipped with better and sophisticated technology but simple to operate financial services would garner higher share of customer business. today ’ s customer first asks how many atms the bank has, how many user _ ids would the bank give for net banking, how much it charges for net banking / neft / rtgs, how to conduct business from non - home branches, to quote a few. clearly, better the technology, finer the edge over the competitors. today ’ s customer maintains accounts in not less than 3 – 4 banks and if a survey is conducted on the usage and turnover in those accounts, i am sure, it would reveal a distinct positive