The Reserve Bank of India’s (RBI) board on Friday met in Mumbai and decided to further examine the governance framework of the central bank.

"The board deliberated on the governance framework of the Reserve Bank and it was decided that the matter required further examination," RBI said in a statement.

The central board of the RBI met for the first time in Mumbai after new governor Shaktikanta Das took the charge.

The board also reviewed the current economic situation, global and domestic challenges, matters relating to liquidity and credit delivery to the economy, and issues related to currency management and financial literacy, it said.

It also discussed the draft report on Trend and Progress of Banking in India (2017-18), the statement added.

Given the current structure, the central board plays advisory role but there is growing clamour to make it operational and have greater participation in key decisions of the central bank.

The government as one of the important stakeholders also wants greater involvement in the RBI's decision making as it feels the current practice leaves it out on many critical issues like single-day default turning a loan into the non-performing assets (NPA).

The central board of the RBI is headed by the governor and includes two government nominee directors and 11 independent directors. Currently, the central board has 18 members, with the provision of going up to 21.

First Published:Dec 14, 2018 3:50 PM IST