New RBI draft norms to curb mis-selling of financial products are poised to impact private sector banks more significantly due to their higher reliance on insurance income. These banks have seen a notable increase in insurance income’s share of their ‘other income’ over recent years, a trend less pronounced in public sector banks.
Dinesh Kumar Khara says RBI’s new guidelines balance customer protection and growth
New RBI regulations will significantly alter how banks sell financial products, fund acquisitions, and lend to market intermediaries. Former SBI Chairman Dinesh Kumar Khara believes