IDFC First Bank CEO stresses compliance and controls amidst positive banking outlook

V Vaidyanathan, the Managing Director and CEO of IDFC FIRST Bank has emphasised the importance of compliance and controls in business operations, stating that it sends a crucial message for businesses to adhere to regulatory standards.

“The larger message is that people should be more compliant about the way they run their businesses and run them with good controls. I think it's an important message. But coming back to banking as such, things are looking very good. For people who work with compliance and controls, I think the market is very large,” Vaidyanathan was speaking with CNBC-TV18 from the sidelines of the 25th EY Entrepreneurs of the Year Awards.

The banker's comments are significant given that over the past year, the fintech sector in India has been under increased scrutiny by the Reserve Bank of India (RBI), with regulatory actions impacting various segments, including digital lending. In 2022, the RBI introduced stringent guidelines for digital lending, aiming to enhance consumer protection and ensure fair lending practices.