RBI Deputy Governor: Ethics in Banking is Core Discipline, Not "Soft Theme"

While speaking at the Axis Bank Champions Awards ceremony, the RBI DG said, "Every large organisation faces moments of temptation: the temptation to cut corners, to postpone a difficult disclosure, to take a convenient interpretation, or to treat a complaint as an inconvenience. Ethics is what stops small compromises from becoming large problems. It is not about being perfect. It is about how you handle grey areas, and how fairly and quickly you correct a mistake," he said.

He said the same mindset supports regulatory discipline as well. "Regulatory discipline should never be seen as a box-ticking exercise. It is part of institutional reliability and long-term credibility."

Emphasising customer centricity, Swaminathan noted that effective service is rooted in getting the basics right, including clarity in communication, accuracy in execution, fairness in dealings, and timely resolution of issues.

The best customer service, he said, is often "quiet and consistent," marked by responsiveness rather than grand gestures.

On transparency, he said customers must be given clear, unambiguous information, particularly in digital journeys, regarding terms, charges, consent, and authorisations.

"Transparency extends beyond outward communication to fostering an internal culture where employees feel comfortable raising concerns and flagging errors," he said.

Highlighting ownership as the value that makes others tangible, the Deputy Governor described it as the shift from viewing a task as merely assigned work to embracing it as personal responsibility.

Champions, he said, not only deliver results but set standards for others to emulate.

Addressing teamwork, Swaminathan observed that modern banking risks cut across departmental boundaries and require coordinated responses. Effective collaboration, he said, reduces blind spots and improves response times.

- ANI