RBI Deputy Governor Swaminathan Janakiraman (referred to as S.C. Murmu in reports) recently spoke at the CNBC-TV18 Banking Transformation Summit in Mumbai. He sent a clear message to all Indian banks: resilience (the ability to recover from problems) must be part of a bank's basic design. He argued that banks should not try to fix their systems after they have already grown too big. Instead, they must prepare for growth before it happens.

As Indian banks grow, their transaction volumes and customer reach are increasing rapidly. The Deputy Governor noted that systems which work fine today might fail when the number of customers doubles tomorrow. To prevent this, he called for timely upgrades in three main areas: technology, internal processes, and oversight (checking that rules are followed). Innovation should not just be about new products, but about making the bank stronger.

Technology alone is not the answer. The RBI official emphasized that people are just as important as software. Banks need staff who can understand new digital systems and challenge them when they seem wrong. It is dangerous to trust a computer model blindly. As banks automate routine jobs, the role of bank officers will shift toward 'human judgment.' This means staff must be able to check if a machine's output is correct and stop it if the system starts acting 'rogue' or making errors.

To handle this change, banks must focus on reskilling their employees. This involves training staff to handle new tools and develop better oversight. The Deputy Governor explained that real growth is not just about a bigger balance sheet (the record of assets and liabilities). Real growth happens when a bank becomes more capable of serving its customers and the economy without breaking down under pressure.

He introduced a concept of 'four levels of intelligence' that banks must combine. The first is analytical intelligence, which includes data and Artificial Intelligence (AI). The second is human intelligence, which relies on the experience and knowledge of bank staff. The third is governance intelligence, where the Board and senior bosses manage the bank wisely. Finally, there is collective intelligence, which happens when different banks share information to protect the whole industry.

For bank officers and aspirants, this means the job is changing. You cannot just rely on old ways of working. The RBI wants bankers who can oversee external service providers and connect tech changes to actual financial results. You must be ready to learn how to manage AI and digital tools rather than just letting them run on their own.

Looking ahead, the RBI expects banks to build skills before they start new activities. The goal is to create a financial system that is responsive to changes in how customers behave and how the economy moves. The focus will remain on building capacity that keeps pace with the digital age while keeping the customer's interests at the center of every tech upgrade.