President of India Droucati Murmu on Tuesday (September 2, 2025) said that the Indian economy is one of the fastest growing large economies in the world and the banking industry plays a key role in its growth story. She said that banks could play an important role in MSMe conversion into growth engines and called on the banking sector to prefer the position of farmers and the rural economy.
Mrs. Murmu, who said during the 120th day of the City Bank (CUB) celebration in Chennai that by providing early and available loan, supporting financial literacy and supporting agriculture initiatives can make agriculture sustainable and profitable. The MSME sector is important for our economy because it creates employment and controls innovations.
She said that in the dynamic economic environment, the aspirations of people have spread significantly. The role of banks has expanded beyond financial transactions and offers a number of financial services and play an instrumental role in inclusive and sustainable development. One of the critical pillars of the country’s development is financial integration. In a developing country, such as India, a large population still lives in rural and radius areas with limited access to formal banking. “I am glad that I will notice that City Union Bank has made remarkable progress in financial integration. More than 50% of them are from its total network of branches across the country,” she said.
The Indian government has launched several key initiatives for increasing financial integration. Pradhan Mantri Jan Dhan Yojana (PMJDY) made it possible to open more than 56 bank accounts of CRORE ZERO-BALANCE Bank. Through programs such as direct transmission of benefits, subsidies and social security benefits, the recipients address the recipients without leakage and intermediaries. The interface of mobile banking and united payments (UPI) facilitated digital transactions and strengthened the digital economy, Mrs. Murmu said.
Key role in digital transformation, business
Payment banks, digital wallets and bank correspondents took financial services to Prague people in distant villages. Despite progress in this area, there are still several challenges in terms of digital literacy, Internet access and financial awareness. With the combined efforts of all parties involved, people can be better integrated with banking services through technology and digital and financial literacy, she said.
As our digital and knowledge economy is constantly expanding, the role of banks in digital transformation and business is becoming even more important. From novice companies to intelligent cities, there are a number of areas where banks can contribute as active partners in building developed India, she added.
Indian President Droubadi Murmu, Minister of Finance of the Union Nirmal Sithaman and N. Kamakodi, CEO and CEO of the Municipal Trade Union bank, publishing the book “Bank on the Banks of Cauvery” on the occasion of 120 years of City Bank celebrations in Chennai 2. 2025 | Photo Credit: R. Ragu
Union Finance Minister Nirmala Sitharaman said at this event that the private sector banks play a crucial role in the efforts to build a nation. Indian planned Komerční banka has seen a huge improvement in asset quality. Their gross and clean NPA dropped to a multi-decadal level to 2.3% and 0.5% from March 2025.
“The macro stress test showed such results that the planned level of commercial banks will continue to remain above the regulatory minimum even in unfavorable stress scenarios. Strong and well-capitalized banks with almost re-recruitable low NPASs, cheaper, Indian and Indian, and increasing in India Indian, and we increase and support, in India, and supports, and to grow, Indian, and suffer, and suffer credible, and permanent and permanent, and suffered confidence and permanent and permanent and permanent, suffered and suffered trust and lasting trust and growth, and suffer confidence and growth. uncertainties, ”she said.
She said that real GDP Q1 recorded growth of 7.8%, defeated all estimates and showed overall good dynamics in various sectors. For the first time in 18 years, the Indian long -term rating of the sovereign loan was improved by the Global Standard & Poor’s (S&P) rating.
The Minister of Finance also stated that the inflation rate has seen a decline for nine consecutive months and in July 2025 reached an eight -year minimum of 1.55%. In June 2025, the organization of the Provisional Funds of employees recorded a net adding almost 22 Lakhs members, the second month in a series of record additions.
She said that PMJDY was a mission service that banks have committed to bring more people to the banking system. Over the past 11 years, more than 56 Crore accounts Jan Dhan have been opened with a total deposit balance of 2.68 Lakh Crore. Of these accounts, 67% were opened in rural and semi -cross -country areas and women hold 56% of all accounts Jan Dhan.
GST reform
She also stated that the planned introduction of GST reforms in the coming months will be more open and transparent, with a further reduction in compliance with regulations, which will make small businesses easier.
Indian President Droubadi Murmu, Governor Tamil Nadu RN Ravi, Minister of Trade Union Finance Nirmala Sithaman, Tamil Nadu Social Care Minister and Strengthening Women P. Geetha Jeevan, G. Mahalingam (extreme left), inefficient chairman of the City Association and City Bank 12. Official Official Official Official Official Official Official Official Director and Chief Director), during the 12th Kamakodi and Chief Director of the City Unit). In Chennai 2 September 2025 | Photo Credit: R. Ragu
It urged banks not only to expand the loan, but also to provide the dynamics for the development of infrastructure, to ensure early and necessary funding for MSME, brought non -banking to the fold of formal banking, and met diverse requirements where the banking channel support is essential, trust, technology and transparency.
In his welcome address, N. Kamakodi, CEO and CEO of CUB, remembered the 120 -year -old bank heritage founded in 1904 and its obligation to fight for the freedom and building of the nation.
During the event, a book called Bank on the Banks of Cauvery was published. Among the present were Governor Tamil Nadu RN Ravi, Minister of Social Care and Strengthening Women P. Geetha Jeevan and G. Mahalingam, inefficient chairman of CUB.
Published – 2 September 2025 14:59
