Retired bank heads gear for new innings | india | Hindustan Times
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Retired bank heads gear for new innings

india Updated: Mar 13, 2013 22:04 IST

Retired public sector bank chairmen are all set to begin their second innings thanks to the Reserve Bank of India (RBI).

With the RBI coming out with new banking licence norms for private sector entities, companies are keen to have such experienced people on board.

While firms are yet to finalise their plans on new banks, several of them have already initiated informal parleys with headhunters and senior executives of state-owned banks.

MD Mallya, who just retired from Bank of Baroda as chairman and managing director, Shantha Kumar, former CMD, Syndicate Bank, Allen CA Pereira, retired chief, Bank of Maharashtra, are some who are likely to be appointed on the boards of new banks.

"With news banks coming in, domain knowledge and expertise would be key and several new leadership roles would emerge," said Anjali Bansal, CEO and managing director of SpencerStuart India, one of the top global search firms.

Several business houses including Larsen & Toubro, Adiyta Birla Group, IDFC, the Tatas and Anil Ambani-led Reliance group have evinced interest in entering the Indian banking space.

"We may look at appointing senior executives or retired chairmen of public sector banks as they can provide us with valuable inputs on the sector," a senior executive of a private sector entity, which is planning to apply for a banking license, told HT.

There could be a high level of attrition in public sector banks as a large number of officials could switch to the private sector. While the last date for applying for a banking licence is July 1, the RBI could take over six months to study the applications before giving its final nod.

The minimum paid-up capital required for setting up a bank would be Rs 500 crore.