The Government proposes to set up an autonomous Bank Board Bureau to improve the Governance of Public Sector Banks. The Bureau will search and select heads of Public Sector Banks and help them in developing differentiated strategies and capital raising plans through innovative financial methods and instruments. This would be an interim step towards establishing a holding and investment Company for Banks.

 This was stated by Shri Jayant Sinha, Minister of State in Ministry of Finance in written reply to a question in the Lok Sabha today.

Bank governance reform through an autonomous Bank Board Bureau to centralise leadership selection and enable strategic capital planning. Establishes an autonomous Bank Board Bureau to centralise selection of public sector bank heads, assist in developing differentiated strategies, and facilitate capital mobilisation through innovative financial instruments as an interim measure toward a holding and investment company for banks.