RBI takes inventory of SFB: Sustainable progress focus

The Reserve Bank on Friday suggested small finance banks (SFBs) to proceed to evolve in tune with the differentiated banking licence given to them with proportionate progress of their capital base.

“In the meeting held today, the emphasis on according due importance to these themes for sustainable growth of SFBs, particularly their business model and governance, was reiterated after taking stock of the developments in the sector,” the RBI mentioned. Among different issues, asset high quality issues together with viable portfolio combine and additional strengthening of customer support and grievance redressal framework with commensurate IT resilience had been taken up.