RBI Governor: Consumer Satisfaction Is India's Ultimate Banking Test
Overview
Reserve Bank of India Governor Sanjay Malhotra declared consumer satisfaction as the ultimate test of the central bank's success. The RBI is implementing targeted campaigns and streamlining processes, including for unclaimed deposits and deceased claims, to enhance transparency and accessibility for the ordinary Indian, aiming for a visible, consumer-facing role.
RBI Governor Sanjay Malhotra has declared consumer satisfaction the ultimate benchmark for the Reserve Bank of India's success, signaling a significant shift towards a more consumer-centric regulatory agenda. This new philosophy emphasizes that the ordinary Indian is the primary beneficiary of the financial system.
Consumer Trust as Central Metric
Malhotra stated that the RBI's outreach efforts over the past year are driven by the clear objective of ensuring citizen satisfaction. This marks a recalibration of the central bank's role, positioning it as a visibly consumer-facing institution.
Targeted Outreach Campaigns
The RBI has launched several targeted campaigns to address persistent customer issues. These include efforts for financial inclusion and re-KYC, running from July to October, to ensure account compliance and accessibility.
Following this, a coordinated campaign with other regulators, banks, and the government aimed to help citizens identify and claim unclaimed deposits, tackling historical awareness gaps. More recently, the focus has shifted to grievance redressal, with efforts to clear backlogs in the RBI's banking ombudsman system and restore confidence in institutional redress mechanisms.
Streamlining Processes for Families
Regulatory reforms are prioritizing the reduction of procedural stress, particularly for families dealing with sensitive situations. A notable step involves standardizing and simplifying the process for legal heirs to claim deposits from deceased account holders. This revised framework, now being implemented by banks, aims to reduce delays and inconsistencies across institutions.
Digital Transformation and Accountability
The RBI has revamped its citizens' charter for improved transparency and efficiency. Four services were removed from the original 204, bringing the total to approximately 200. All services are now digitized and accessible online via a centralized portal for regulated entities. The system is closely monitored, with monthly performance data published. Over 99.5% of the approximately 25,000 monthly applications received across offices are delivered within stipulated timelines. Governor Malhotra affirmed that consumer service and satisfaction will remain core priorities for the central bank in the coming years.
