misra, former executive director, rbi for reviewing the functioning of rb - ios and suggest measures for further enhancing the efficacy of this mechanism. the working group is expected to submit its report by april 2024. let me conclude by stating that the reserve bank's ombudsman mechanism is focussed on providing independent, fair and impartial redress of grievances of customers. as the system continues to evolve, it should draw on accumulated experience to enhance the quality of outcomes. ombudsman offices should adapt and evolve their processes to handle the increasing volume of complaints, while ensuring consistency in their decisions. while the offices of ombudsman need to intensify data analytics and use of technology for streamlining the internal processes, adoption of similar approach by the regulated entities is crucial for upholding public trust. there is also a need for further strengthening the internal grievance redress systems including the internal ombudsman framework in the regulated entities. i wish the conference all success. thank you. 1 these include the framework for digital lending ; revised regulatory framework for micro finance loans ; the reserve bank - integrated ombudsman scheme, 2021 ; internal ombudsman framework in regulated entities, etc. 2 these changes include : one nation one ombudsman approach – this removed the territorial jurisdiction of the offices of the rbi ombudsman ; provided convenience to customers as well as improved efficiency. this, along with the integration of the erstwhile three schemes simplified the process for lodging of grievances by the customers. a centralised portal ( cms ) was introduced for filing of complaints against regulated entities. moreover, the grounds of filing complaints were done away and customers could file complaints in respect of any deficiency in service. non - scheduled urban cooperative banks having deposits size of 50 crore and above ; and credit information companies were also brought under the rb - ios scheme. 3 internal ombudsman for regulated entities 4 the contact centre ( 14448 ) provides 24x7 toll free assistance to customers of regulated entities on matters relating to alternate grievance redress facility in rbi, including those seeking information on lodging of complaints and tracking their complaints. the facility to connect to the support personnel is available in hindi, english and ten regional languages viz. assamese, bengali, gujarati, kannada, marathi, malayalam, odia, punjabi, telugu and tamil, selected on the basis of the number of complaints. 5 / 5 bis - central bankers '

, it is imperative that the growing customer base is offered fair and sustainable products and services. the increasing range and complexity of financial products and services can act as a barrier to comprehension and decision - making by consumers. clear, transparent, and consistent communication regarding products, services, follow - ups, service charges, etc. are, therefore, very essential for establishing trust and fostering enduring customer relationships. 1 / 5 bis - central bankers'speeches ( ii ) effective grievance redress the litmus test of the working of any institution or entity is the efficacy of its grievance redress mechanism. fragmentation and inefficiency in grievance redress mechanisms can hinder timely resolution of consumer complaints. multiple layers and lengthy resolution processes should, therefore, be avoided. as you would be aware, the reserve bank - integrated ombudsman scheme ( rb - ios, 2021 ) brought in several structural changes2 in the operations of the ombudsman scheme. under the rb - ios scheme, 2. 34 lakh grievances were received during the first full year of its operation ( 2022 - 23 ), followed by 2. 68 lakh grievances in the current financial year ( 2023 - 24 ) so far. the disposal rate in both the years has been about 98 %. the average turnaround time for closure across all categories of complaints has come down to 33 days for 2022 - 23 from 57 days prior to the introduction of the new scheme. our analysis of the grievances received at the offices of the rbi ombudsman reveal certain gaps in the systems and procedures in the regulated entities. we have brought such deficiencies to the notice of the individual banks and nbfcs. our effort is to work with the regulated entities and rectify such deficiencies. the reserve bank has also put in place an internal ombudsman ( io ) mechanism3 in regulated entities to strengthen their internal grievance redress mechanism. the functioning of io mechanism, however, needs considerable improvement. it has been observed that on a number of occasions, ios tend to endorse the decision of the regulated entities mechanically. in several cases, rejected complaints are not being referred to io. the very foundation of an internal dispute resolution system relies on its capacity to provide fair, impartial and judicious adjudication, and the observed trend raises concerns about the robustness of the existing framework. i would urge all of you to ensure the