Excessive outsourcing of bank’s core activities will lead to concentration risk: RBI ED Ajay Choudhary

“In line with our outsourcing guidelines, the board and senior management must ensure that at no point of time, the core activities of banks are outsourced,” Reserve Bank of India executive director Ajay Kumar Choudhary said. “We are observing an increase in the outsourcing of services to the banking and finance sector. The idea is that banks should concentrate on the development upgradation of their core banking solution.”

from Banking/Finance-Industry-Economic Times https://ift.tt/b41kEZy