Sitharaman Announces Banking Committee for Viksit Bharat Vision

Finance Minister Nirmala Sitharaman announced the formation of a high-level committee to review and reform the Indian banking sector to align it with the Viksit Bharat 2047 vision of becoming a developed economy. Speaking at the Public Sector Banks (PSB) Confluence 2026 in New Delhi, Sitharaman stated that the banking sector has moved from crisis management to a state of credibility, positioning it for a new phase of reforms.

This initiative follows a proposal in the Union Budget 2026-27 and is supported by record-low non-performing assets, which Secretary Sanjay Lohiya reported had fallen to 1.93 per cent in March 2026. The upcoming committee will utilize recommendations from the two-day conclave to shape its strategy.

The Department of Financial Services identified seven key themes for the committee's focus: banking for youth, the investment cycle, global capability centres, agriculture and horticulture value chain infrastructure, priority sector lending, deposit mobilisation, and the credit card business. Sitharaman specifically emphasized the need to integrate the 15-29 age group, which makes up 29 per cent of the population, into financial planning. To support this, officials explored using the Mera Yuva Bharat platform to increase financial inclusion among young Indians.