The Reserve Bank of India has decided to create the post of chief financial officer (CFO) for the first time and has sought applications for the position from internal and external candidates.
The CFO, who will be of the rank of executive director, will be responsible for accurate and timely presentation and reporting of financial information of the central bank, and establish accounting policies and procedures and ensure compliance with regulations. The CFO will also formulate the accounting policy of the bank, maintain the internal accounts and report financial results, and carry out corporate strategy functions like PF policies.
“Other responsibilities include overseeing the budget process, collecting of inputs and comparing the Bank’s actual performance vis-à-vis the budget estimates, flagging risks to the finances – operational, market etc. And developing strategies to counter/ mitigate the same. CFO will have oversight of three departments.
The RBI said it is looking for a chartered accountant aged between 45 and 55 years, who has a minimum of 15 years of experience overseeing financial operations in banks or financial sector organisations. It said staffers of the rank of general managers and above can also apply for the post. For regular appointment, the gross monthly emoluments will be around Rs 2.40 lakh, while for appointment on contract basis, cost per month will be Rs 2 lakh with housing and Rs 4 lakh per month without housing. The proposed salary (for a regular appointee) of the CFO is just Rs 10,000 short of the revised pay of the Governor and on par with that of the Deputy Governors.
The CFO appointment is part major organisational change being carried out by Governor Urjit Patel. His predecessor Raghuram Rajan had proposed an idea of creating a chief operating officer (COO) post with the Deputy Governor’s rank. This proposal was already been turned down by the government nominees on the RBI board on the ground that the RBI Act needs to be amended to create an additional Deputy Governor’s post.