Government's continues its efforts to improve the situation at PSU Banks.
- The Banks Board Bureau (BBB) has recommended 15 executive directors to be elevated as managing directors (MD) at various public sector banks (PSBs).
How did it happen?
- The recomendations came at a meeting of the Banks Boards Bureau that was headed by former Department of Personnel and Training Secretary B P Sharma.
- However, these recomendations are subject to various clearances.
- It must also be noted that the Appointments Committee of Cabinet (ACC) headed by Prime Minister will take the final decision in this regard.
About Banks Board Bureau (BBB):
- BBB is an advisory authority (autonomous and self-governing body) of Central Government comprising eminent professionals and officials to improve governanve of PSBs.
- It was announced by Union Government in August 2015 as part of seven point Indradhanush Mission to revamp PSBs and based on recommendations of RBI-appointed Nayak Committee.
- It is based in Mumbai, Maharashtra.
- The first BBB was set up in February 2016 under chairmanship of former CAG Vinod Rai.
- BBB comprises of Chairman, three ex-officio members (from government) and three expert members, two of which are from private sector.
Agenda/Mandate of BBB:
- Its broad agenda is to improve governance at state-owned lenders.
- Its mandate also involves advising government on top-level appointments in PSBs and assisting banks with capital-raising plans through innovative financial methods and instruments as well as strategies to deal with issues of stressed assets or bad loans.
