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Letters to the editor dated January 7, 2021 | Updated on Banking blues This refers to the editorial ‘Band-aid for banks (January 7). It is a very timely though alarming description of the state of public sector banks’ finances. The use of the phrase ‘shabby governance’ sums it up. Years of pandering to lobbies of vested interests and outside interference have led to this state. There is need to retrain manpower. Recruitment process itself is faulty where hiring is through competitive exams which assess ‘reasoning ability’, ‘quantitative aptitude’, ‘English language’ rather than project appraisal skills and economic issues. Recruitment must be from NIBM and other B-schools with relevant courses. The government must reduce stake over time through the strategic investor route. PSBs cannot shun efficiency saying they serve a social cause. They must achieve both.

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