{"id":305814,"date":"2023-10-26T18:30:10","date_gmt":"2023-10-26T13:00:10","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=305814"},"modified":"2023-10-26T17:49:21","modified_gmt":"2023-10-26T12:19:21","slug":"rbi-directs-banks-to-have-two-whole-time-directors-on-board-legal-news","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2023\/10\/26\/rbi-directs-banks-to-have-two-whole-time-directors-on-board-legal-news\/","title":{"rendered":"Banks are required to have at least 2 Whole Time Directors on Board: RBI"},"content":{"rendered":"
\n

On 25-10-2023, the Reserve Bank of India (‘RBI’) directed all the Private Sector Banks and Wholly Owned Subsidiaries of Foreign Banks to ensure the presence of at least 2 Whole Time Directors (‘WTD’) to reduce the growing complexity of the banking sector and to establish an effective senior management team in banks to navigate ongoing and emerging challenges.<\/p>\n

Key Points:<\/p>\n

    \n
  1. \n

    The banks should have at least 2 WTD and MD & CEO on their Board.<\/p>\n<\/li>\n

  2. \n

    The number of WTD can be decided by the Board of the bank.<\/p>\n<\/li>\n

  3. \n

    Factors to decide the number will be based on the size of operations, business complexity, etc.<\/p>\n<\/li>\n

  4. \n

    Banks that do not fulfill the minimum requirement can comply by submitting the proposal within 4 months.<\/p>\n<\/li>\n<\/ol>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

    On 25-10-2023, the Reserve Bank of India (‘RBI’) directed all the Private Sector Banks and Wholly Owned Subsidiaries of Foreign Banks to <\/p>\n","protected":false},"author":67515,"featured_media":292791,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,1193],"tags":[62293,62294,62295,2611,2732,56449],"class_list":["post-305814","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legislationupdates","category-notifications","tag-board-of-banks","tag-foreign-banks","tag-private-sector-banks","tag-RBI","tag-Reserve_Bank_of_India","tag-whole-time-members"],"yoast_head":"\nRBI directs Banks to have Two Whole Time Directors | SCC Blog<\/title>\n<meta name=\"description\" content=\"Reserve Bank of India directs banks to have two whole time directors on their boards to resolve growing complexity of banking 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