Transparency means that customers get clear information and are not surprised: RBI Dy Guv Swaminathan to banks

RBI Deputy Governor Swaminathan J

“Terms, fees and consent must be unambiguous. Alerts must be timely and meaningful. And if something goes wrong, customers must quickly know what steps to take, and the response must be predictable and supportive,” he said in a recent speech at the Axis Champions Awards in Mumbai.

Swaminathan noted that transparency means that customers receive clear information and are not faced with any surprises later. It means that decisions are recorded in an understandable way.

“Transparency is also closely linked to the internal culture, so to speak it was openedthis means that you are also open internally. In the healthiest organizations, people feel comfortable raising concerns and identifying mistakes because the organization values ​​such early warning signals,” the deputy governor said.

Transparency is not just about outward communication; it is also about inner honesty. Swaminathan underlined that modern banking risks do not take place neatly within one department, but cross departmental boundaries.

“Institutions respond best when information gets across early and teams coordinate without ego. Teamwork is therefore a control mechanism. It reduces blind spots and improves response time,” he said.

ethics in banking

The deputy governor notes that ethics in the banking sector is sometimes treated as a soft topic. But that is not the case. It is the discipline that protects customers, employees and the institution itself.

“Every large organization faces moments of temptation – the temptation to cut corners, delay a difficult disclosure, adopt an easy interpretation or treat a complaint as an inconvenience.

“Ethics ensure that small compromises don’t become big problems. It’s not about being perfect. It’s about how you deal with gray areas, and how fairly and quickly you correct a mistake,” he said.

The same mentality also supports regulatory discipline. Regulatory discipline should never be seen as a box-ticking exercise. It is part of long-term institutional reliability and credibility.

Published on February 11, 2026