Rajiv Kumar (IAS:1984:JH) has finally replaced Ms Anjuli Chib Duggal (Retd IAS:1981:PB) who retired on August 31 from the coveted post of Secretary, Dept of Financial Services; also known as Secretary, Banking. Prior to this he served as Establishment Officer (DOPT), Additional Secretary, Dept of Expenditure in Govt of India and while serving in cadre state he served as Resident Commissioner, Jharkhand Bhawan.
The PMO is said to have some big plans for the banking sector which is plagued by huge NPA problems and calls for urgent systemic changes to enable this sector to become the locomotive of growth.
The mandate of the Department of Financial Services (DFS) covers the functioning of Banks, Financial Institutions, Insurance Companies and the National Pension System. Headed by Secretary, Financial Services the department has two sanctioned posts of Additional Secretary and six Joint Secretaries. In addition, the department has two Economic Advisers and a Deputy Director General.
It is widely believed that the Modi administration has two big challenges ahead of the 2019 elections – that’s of job creation and banking which are seen to be closely interlinked.
Experts say if the Govt failed to augment the income of urban middle class and agriculture sector (farmers), the ecosystem for job creation may be impacted. The escalating crises in housing, agriculture, and banking (increasing NPAs) appear to have already given enough warning that the current government’s ‘chalta hai’ attitude (forgiven by the people for the time being because of the way the Hindus have been cursed in their own country for a long time) may knock the bottom out of the tall claims being made by the government with respect to development.