He said historically, wage negotiations were a matter to be decided between the banks and their unions and it was not a matter in which the RBI would like to intervene on either side.

He pointed to the representatives of all the eight unions, who called on him today to apprise him of the current status of the discussions on wage negotiations in the banking industry, the impact of the east Asian and Russian crises on the global financial system and the increasing attention being accorded to the strength of the financial system in individual country.

In this context the governor stressed on the need to ensure that the financial position of Indian banks was strong and sound. He hoped that the ongoing negotiations would be concluded speedily so that normal functioning and cordial atmosphere prevailing in the banking industry was notvitiated.

Given the goodwill and the desire to be accommodative on both sides, the governor was confident that the present negotiations would be concluded satisfactorily and peacefully.

The union representatives had called on the governor to appraise him of the current status of discussions and urged him to use his good office to bring the matter to a satisfactory conclusion.

At the outset, they expressed disappointment at the manner in which the wage negotiations were proceeding and the unrealistic stance of Indian Banks' Association (IBA) as a result of which ``negotiations were not progressing satisfactorily'' and urged the governor to intervene.