Use of IT is largely concentrated towards transaction related uses. IT use in functions like Marketing and leads management, Early warning signal capturing and Recovery process, Audit function, offsite surveillance, Risk Management, Data Analytics, Performance tracking and evaluation, Trainings etc is yet to be optimized. The Pvt sector banks are far ahead in these. All PSBs may either come together to evolve suitable framework to optimize IT use on each functional area or do of their own.

The performance appraisal system in the PSBs is very opaque and dose not serve the desired purpose. It should be made very transparent, objective and should be done on concurrent basis at shorter frequency then annual basis.The performance of each official should be tracked/monitored on line as being done in pvt sector Banks which on one hand will improve operational efficiency and boost working culture in the PSBs on the other.

Corporate governance at Board level in the public sector banks needs qualitative improvement to manage the affairs of the PSBs effectively. Few measures in this direction may be as given in page 1 and 2

Role of mediators in Project/term lending as well as TEV for restructuring There exists a significant and deep rooted role of mediators in credit facilitation as well as TEV for restructuring. PSBs rely heavily on the project reports given by such agencies while appraising any project or term loan as well as TEV for restructuring. In order to make this system of intermediation in project lending and TEV for restructuring more effective and accountable, suggestion in page 1-2 may be adopted

PSU banks NPA & Capital requirement from Govt are interlinked. If Govt initiate steps for improving NPA recovery & legal reforms including expediting DRT cases of high value amount, bank's capital requirement will be far less for growth of banking, economy & GDP.

we have different kinds of banks like Nationalised banks,government undertaking banks,gramin banks etc working separately.it is required to make them one entity either or allocate them defenate area to work.we may olso think about specialisation in banking sector like for industries,commercial establishments,agri culture sector separate bank for each special sector.we need professional management in government banking sector.

Also banks & gov. shd ensure that pradhanmantri 'jandhan' yojna implented for janta public in true sense. We find many poor people living in slums like homemaids workers drivers havg pancard votersid adharcard not allowed to open accounts by banks..however inccertain banks if auditors check accounts in names of these people opened amt deposited n withdrwn without knowledge of these account holders who don't evn know they hav account. These ways sometims corruption black moneyconversion happening

It is v crucial for banks to handle & reduce their defaulters & nonperforming assets.. valuation of assets while credit sanction shd b done by atleast 3 valuers confidentially without disclosing to one another.. credentials of valuers shd b checked time to time.. Even while santioning OTS compromise same cheks shd b implemented.. V Obvious reason of willful defaulters are diversion of fund to their other companies created controld by them wid dumy directors..real control shareholders shd b chekd

Continue from last post.. timely credit to customers proper verification proper timely appraisal of loan, cc, credit customers can enable bank & customers both to overcome problems of defaulters & Nonperforming assets.. revival & debt restructuring shd not b used to windowdtess banks annual reports or to bail out big willful defaulters.. Banks shd have dept headed by suitable professionals to restrict diversion of fund by corporates, if reqd they shd lift corporate veil to restrict divrrsionfund

Motivate executives of nationalised banks by improving their perks & salaries & facilities so that they don't feel sevices of foreign banks with salary of nationalised banks.. banks net security system shd b strong to restrict fraud.. FDs maturity alirts shd go compulsarily by sms & email video conferencing to b improvd NPA management & recovery shd b improvd..Defaulters shd not b givn big compromises of amt coz OTS-compromise misused by many..credit approvals in time wid proper verification cn