DURING the first phase of reforms in the Indian Banking and Financial Sector, a need was felt to develop an Institute of Higher Learning, which would also provide Information Technology support to Banks and Financial Institutions.
The foundation for induction of Information Technology in the Indian Banking and Financial Sector was laid by Dr. Rangarajan Committee’s two reports in the years 1984 and 1989, which strongly recommended computerisation of banking operations at various levels. In the year 1993, the Employees’ Unions of Banks signed an agreement with Bank Managements under the auspices of Indian Banks’ Association [IBA]. This agreement was a major breakthrough in the introduction of computerised applications and development of communication networks in Banks.
In the following two years, substantial work was done and the top managements realised the urgent need for research and development activities and training in the area of Banking Technology. Banks and Financial Institutions started setting up training centres and colleges focused on technology.
In this context, a need was felt for an Apex-level Institute, which would be the Brain Trust for Banking Technology and Spearhead Technology Absorption in the Indian Banking and Financial Sector. In the year 1994, a committee on “Technology Issues Relating to Payments System, Cheque Clearing and Securities Settlement in the Banking Industry”, headed by Shri W. S. Saraf, Executive Director, Reserve Bank of India, was constituted. The committee recommended a variety of payment applications which can be implemented with appropriate technology upgradation and development of a reliable communication network.
The committee also recommended that the Reserve Bank of India set up an Information Technology Institute for the purpose of Research and Development as well as Consultancy in the application of technology to the Banking and Financial Sector of the country. Based on the recommendations of the committee and approval of the Central Board of Directors, Reserve Bank of India, the Institute for Development and Research in Banking Technology [IDRBT] was established in March 1996 as an Autonomous Centre for Development and Research in Banking Technology.
The Vision of the Institute for Development and Research in Banking Technology is :
“To be the premier and preferred Research and Development Institution on Financial Sector Technology and its Management, working at the intersection of Banking and Technology for the Indian Banking.”
The Mission of the Institute for Development and Research in Banking Technology is:
- To envision and foresee technology requirements of the Indian Banking and Financial Sector and Research & Develop the required technologies
- To incubate and develop state-of-the-art banking technology products and services to facilitate better and easy banking
- To understand the emerging global technology trends, its implication, and guide the Indian Banking and Financial Sector accordingly
- To provide Training, Advisory and Consultancy Services on Technology, Technology Infrastructure, and Technology Management matters for Banking and Financial Sector
- To play a catalytic role in development of Banking Technology as a recognized discipline of study
- To create a pool of Banking Technology professionals through innovative and quality educational initiatives
- To participate directly and indirectly in the development of standards and best practices.