Finance Minister Nirmala Sitharaman proposed establishing a high-level committee on banking during her Union Budget 2026 presentation to comprehensively review the sector. This committee will align banking with India’s next growth phase while prioritizing financial stability, inclusion, and consumer protection.
NBFCs Vision with Clear Growth Targets
The vision for Non-Banking Financial Companies (NBFCs) outlines specific targets for credit disbursement and technology adoption to fuel Viksit Bharat ambitions. These measures aim to enhance lending efficiency, expand financial access to underserved segments, and leverage digital innovation for faster service delivery.
Public Sector NBFC Restructuring Initiative
As a first step toward scale and efficiency, the government proposes restructuring Power Finance Corporation (PFC) and Rural Electrification Corporation (REC). This consolidation will streamline operations, boost capital deployment for infrastructure projects, and strengthen funding for power and rural development initiatives.
These banking reforms promise a robust financial ecosystem, supporting sustained economic expansion and inclusive growth across urban and rural landscapes
