- The Government of India has nominated Sanjay Lohiya, Secretary of the Department of Financial Services (DFS), Ministry of Finance, as a director on the central boards of both the Reserve Bank of India (RBI) and the State Bank of India (SBI).
- The appointments reflect the government’s continued efforts to strengthen coordination between financial sector policymaking and key financial institutions.
Appointment to RBI Central Board
- Sanjay Lohiya has been appointed as a director on the RBI’s Central Board with effect from June 11, 2026.
- He succeeds former DFS Secretary M. Nagaraju, who retired from service last month.
- The RBI Central Board is the apex decision-making body of the central bank and plays a crucial role in guiding monetary policy, financial regulation, currency management, and overall governance of the institution.
- As a member of the board, Lohiya will participate in discussions and decisions relating to India’s banking system, financial stability, and economic development.
Nominated to SBI Central Board
- In a separate notification, the State Bank of India announced that the Government of India has nominated Sanjay Lohiya as a director on its Central Board with immediate effect.
- As India’s largest public sector bank, SBI plays a critical role in the country’s financial system. The presence of the DFS Secretary on the board is expected to enhance coordination between the government and the banking sector, particularly in matters relating to financial inclusion, credit growth, and banking reforms.
About Sanjay Lohiya
- Sanjay Lohiya is a 1994-batch Indian Administrative Service (IAS) officer of the Assam-Meghalaya cadre. He assumed charge as Secretary of the Department of Financial Services on June 1, 2026.
- Over the course of his administrative career, Lohiya has held several important positions in both state and central governments and has extensive experience in public administration, financial governance, and policy implementation.
Role of the Department of Financial Services
The Department of Financial Services functions under the Ministry of Finance and is responsible for overseeing India’s financial sector institutions.
Its key areas of responsibility include:
- Public Sector Banks (PSBs)
- Public Financial Institutions
- Insurance Companies
- Pension Sector Reforms
- Financial Inclusion Initiatives
- Banking Sector Policy Formulation
The department plays a vital role in strengthening the banking ecosystem and ensuring the effective implementation of government financial sector policies.
Significance of the Appointment
- The appointment of the DFS Secretary to the boards of both RBI and SBI is significant because it facilitates better coordination between the government, the country’s central bank, and its largest commercial bank.
- At a time when India’s financial sector is witnessing rapid transformation through digitalisation, financial inclusion initiatives, regulatory reforms, and economic growth, such appointments help ensure alignment between policy objectives and institutional implementation.
- Lohiya’s experience in public administration and financial governance is expected to contribute to the strategic direction of both institutions while supporting the government’s broader vision for a resilient and inclusive financial system.