. that means that the regulators have to be upto date with such cutting edge “ information ” and “ knowledge ” ; be abreast of the developments in the sector ; and be hands on. on top of these, these efforts have to be continuous and over the whole career. that is why the regulators typically have such capacity building institutions under their direct charge. background and overview of key recommendations 9. another significant feature of indian financial sector is that the government is also equally keen on supporting these efforts. before the regulators came on the scene, it was the government which played the catalyst in establishing several capacity building arrangements for the securities and insurance sectors. the national knowledge commission, established in 2005 as a high - level advisory body to the prime minister of india, has made several recommendations, with the objective of transforming india into a knowledge society. several of these recommendations are being implemented. 10. further, the financial sector legislative reforms commission ( fslrc ), established in 2011, has, while recommending a major transformation of the legal foundations for indian finance through the enactment of the indian financial code ( ifc ), made several recommendations which pertain to capacity building in banks and non - banks, streamlining training intervention and other related measures. as you are aware, it is in this context that a committee on capacity building in banks and non - bank institutions in india was constituted by the reserve bank and shri gopalakrishna headed that committee. 11. let me begin by outlining what really the reserve bank had in mind when the committee was constituted. the thrust was on the entire gamut of human resource skill set which is required for improving the efficiency of the employees of banks and nbfcs, which would in turn help the organisations individually and benefit the financial system as a whole. the issue is the level of intervention that would ideally be required in terms of enhancing bis central bankers ’ speeches their skill building – entry level expertise, training requirements both initially and on an ongoing basis, skill sets and qualifications required for certain specific and specialised areas, and exploring the need and methodologies for prescribing certification for required qualifications. in short, the most important deliverable for the committee thus was to identify capacity building requirements keeping in view the role of the financial sector and what it should deliver. 12. key recommendations of the committee are in the areas of hr management practices, training methodologies and innovations, system wide institutions and processes, exploring mandatory certification requirements and amplifying capacity related requirements in boards

transact with the institutions which provide better services. some of you might have heard me speak at another forum about customers choosing to move to another bank in case if he / she was dissatisfied with the services received at the present. i had then said that with the implementation of a unified kyc, this phenomena, what i termed as account number portability, would come into the realms of possibility. with the introduction of unified payments interface, a customer can be identified with his unique “ virtual address ” mapped to his mobile phone linked to the bank account number. with this information available centrally at the npci, the portability of the account would merely need a change in linkage to an account in another bank at the backend. banks must, therefore, build structure and processes that aim at providing quality and efficient services or else face the prospects of a customer silently walking away without causing any inconvenience to her and loss of business to the bank. 19. i hope that the deliberations later in the day would cover issues that i have raised in my address. i once again thank bcsbi for inviting me today and thank you all for a patient hearing. bis central bankers ’ speeches