Budget 202627: Govt To Set Up High-Level Committee To Review Banking Sector

2026-02-01 11:12:04

(MENAFN- KNN India) New Delhi, Feb 1 (KNN) The Union Budget 2026–27, presented in the parliament by Finance Minister Nirmala Sitharaman on Sunday, proposed the establishment of a High-Level Committee on Banking for Viksit Bharat to undertake a comprehensive review of the banking sector.

The committee will examine ways to support the next phase of economic growth while ensuring financial stability, inclusion and consumer protection.

The Minister outlined a vision for Non-Banking Financial Companies (NBFCs) with defined targets for credit expansion and technology adoption.

As an initial step to improve scale and efficiency in public sector NBFCs, the government proposed restructuring the Power Finance Corporation (PFC) and the Rural Electrification Corporation (REC).

The Finance Minister also announced a comprehensive review of the Foreign Exchange Management (Non-debt Instruments) Rules. The objective is to create a more contemporary and user-friendly framework for foreign investments, in line with India's evolving economic priorities.

(KNN Bureau)

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