Jalan asks banks to achieve international standards

pune: reserve bank of india governor bimal jalan said on sunday banks in the country must achieve standards set by international agencies if they want to compete globally. "unless they achieve international standards it may be difficult for the international community to trust them," jalan said while addressing the gathering of chief executives of banks at the annual day function of the national institute of bank management at its campus here.speaking on corporate governance in the indian context, the rbi governor said free and complex markets, possibility of contagion and systematic implication of failures and volatility brought in by interlinkages have made the subject of corporate governance crucial in the present time. jalan said for viable and accountable corporate governance, it was essential to have checks and balances with auditing committees, external and internal accounting systems which are independent of decision making on credit and borrowings and clear division of responsibility and disclosure and transparency in the institutions.