Minister of state for finance Jayant Sinha on Friday asked bankers to provide bold and creative suggestions to lead the economy towards a 7-8% growth path.
“He (Sinha) inspired the group to provide bold and creative suggestions, which could lead the economy to 7-8% sustainable and non-inflationary growth in the GDP,” said a statement from the ministry of finance.
Explaining the government’s stand on empowerment, Sinha said while the government was of the poor, it was also pro-business.
“So, the trade-off has to be managed by ensuring that the PSBs are able to function commercially while financing the poor as well,” he said.
Sinha also highlighted the success of the Pradhan Mantri Jan Dhan Yojana (PMJDY) under which 10.3 crore new accounts have been opened in the last three months.
Speaking to reporters, Hasmukh Adhia, secretary at department of financial services (DFS) said out of 25 crore households in India, around 21.9 crore have been covered under the scheme. The PMJDY scheme envisages one bank account for every household in the country. Sinha said he expected the bankers to work together to increase the social capital across the ecosystem.
“He expected the group to crystallise key action steps, which could then be presented before the PM and the finance minister,” the statement added. Sinha said the government wanted to provide income generating opportunities to citizens and that India was in a race against time in this regard.
“Thus, we need to work together and collaborate across different boundaries and silos,” he told bankers.
Before the group discussions, consultancy firm McKinsey made a presentation on international best practices in banking, suggesting that the groups focus on outcomes related to access, efficiency, stability, profitability and growth.