With the approval of Appointments Committee of the Cabinet (ACC), the Government has set-up an autonomous Banks Board Bureau (BBB), which has stared functioning with effect from 1.4.2016. The Bureau will search and select heads of public Sector Banks/Financial Institutions and help them in developing differentiated strategies and capital raising plans through innovative financial methods and instruments. The composition of BBB is as follows:

1) Shri Vinod Rai, former CAG of India – Chairman

2) Secretary, Department of Financial Services, Ex-officio Member

3) Secretary, Department of Public Enterprises, Ex-officio Member

4) Deputy Governor, Reserve Bank of India, Ex-officio Member

5) Shri Anil K. Khandelwal, Former CMD of Bank of Baroda, Member

6) Shri H.N. Sinor, former Joint MD, ICICI Bank, Member

7) Ms. Roopa Kidva, former MD&CEO, CRISIL, Member

In order to bring in transparency and objectivity in the selection of heads of Public Sector Banks and Financial Institutions, the Government has expanded the interview board/sub-committee of the Appointments Board from five members to six members so that there are three sub-panels comprising of the two members each. Each sub-panel interacts with candidates separately and at the end of interview process, weighted average marks are candidate’s marks for the interview.

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

Banks Board Bureau creates a structured selection framework for public sector bank heads using three sub panel interviews and weighted scoring. An autonomous Banks Board Bureau has been established to search and select heads of public sector banks and financial institutions and to assist them with differentiated strategies and capital-raising plans. The Bureau combines ex officio government and central bank members with senior private-sector banking professionals. The appointments interview process is expanded to a six-member board arranged into three two-member sub-panels, each interviewing candidates separately and producing a weighted average score for the interview.