As banking becomes increasingly digital and data-driven, the need for judgment, institutional discipline and responsibility becomes more critical, J Swaminathan, Deputy Governor of the Reserve Bank of India, said here on Thursday.
Digitisation of banking makes a lot of things easier but also brings new questions to the fore around fair treatment of customers, clear accountability and assessment of new risks. “These questions cannot be answered by technology alone; they require judgment,” he said.
The Deputy Governor was speaking at the 12th G Ramachandran Memorial Lecture organised by Southern India Chamber of Commerce and Industry (SICCI), in association with the Madras School of Economics.
Institutions and firms cannot be understood only through reported numbers; numbers tell a story, but one must learn to ask what lies behind them, the DG advised students. “Credit requires not just analysis, but also a gut feel for people, market and institutions,” he said.
His lecture tied in three strands together — theory, practice, and supervision — to argue that finance must ultimately serve a public purpose. “In practice, the classroom helps us think clearly; the [bank] counter allows us to observe carefully, and the supervision enables us to look beyond the immediate institution to the wider scene,” he said.
speakers panel
The lecture also featured speakers including C Rangarajan, Former Governor of the Reserve Bank of India and Chairman of Madras School of Economics; VN Shiva Shankar, Senior Vice President, SICCI; and NR Bhanumurthy, Director, Madras School of Economics.
C Rangarajan, in his address, reflected on the importance of balanced policymaking, noting that effective administrators must present both advantages and drawbacks of decisions to enable informed governance. Highlighting rapid advancements in payment systems, he called for a regulatory approach that supports innovation without compromising stability, cautioning against excessive regulation.
VN Shiva Shankar noted that the theme “Learning, Judgement, and Public Purpose” is particularly relevant in today’s dynamic economic landscape, where strong leadership, continuous learning, and sound judgement are essential to ensure resilience and sustainable growth.
Published on April 30, 2026