Right initiatives needed
Worldover, the financial institutions (FIs) are hubs of financial activity. Developmental financial institutions (DFIs) in India too need to become the focal points of hectic economic activity. As a small beginning, players such as ICICI are trying to change with the times, lend a facelift to their roles and rejuvenate their operations by grabbing quite a few business initiatives.

Editorial -- Turn proactive
The FIs in India are a misguided lot. They do not have the freedom to make market-driven decisions. Nor do they have the liberty to facilitate investor-friendly takeovers.

FIs -- spokes in the M&A wheel
It is true that the domestic financial institutions (FIs) have been changing, albeit at a very slow pace. But, that is not enough. There are many areas where the role of FIs is questionable and leaves much to be desired. One such area is mergers and acquisitions (M&A).

Foraying into the e-future
The e-bug seems to have bitten the FIs too. Domestic FIs are keen to change with the times and are trying to leverage on the fact that India is one of the major players in information technology (IT). The FIs are increasingly looking at the IT sector not just for lending opportunities, but for giving shape to their e-biz initiatives too.

FIs need to turn proactive
Worldover, financial institutions (FIs) have progressively transformed themselves into market-driven entities. As global markets get integrated, it is essential that Indian FIs too followed suit. This is critical. For, if the Indian FIs do not change their traditional mindset, they will never be able to maximise the benefits of global economic integration.

The festering autonomy issue
The issue is still in the backburner. It has been nearly a decade since reforms were kicked off, yet it is command economy for the Indian FIs. FIs such as IDBI, which sanctions an assistance of nearly Rs 28,300 crore on an average during a year and which has the potential to alter the contours of the Indian economy, continue to be controlled by the government.

"Financial institutions will always be development banks"
Basudeb Sen has had an eventful career with the Mumbai-based Unit Trust of India. Recently, he took over as the chairman and managing director of the Industrial Investment Bank of India (IIBI), a Calcutta-based FI. Here, Sen talks about the FIs and their changing roles.

"FIs will continue to diversify"
As the chairman of the Industrial Development Bank of India (IDBI), G P Gupta has refreshing notions about the FIs and their changing roles in a liberalised economic environment.