Governing Body

Central Board: Consist of 20 Directors including Governor as Chairman, Deputy Governors not more
than four, 14 Directors out of which four – one each from Local Board and one Government Official
nominated by Central Government. Entrusted with responsibility of policy making, general supervision
and direction of affairs and business of Reserve Bank.

Local Board: Four Local Boards for Four Regions: Western with Head quarters in Mumbai, Eastern with
Kolkata, Northern with New Delhi and Southern with Chennai. Consist of Five Directors appointed by
Central Govt. for four years. They represent territorial and economic interests of local cooperatives and
indigenous banks. Advise Central Board on matters of local importance.

Governor: Chairman of Board as well as the Chief Executive authority. Assisted by Deputy Governors.
Appointed for Five Years.

Organizational Structure

Banking Department: Banker to Govt. and member Banks. Consist of Public Accounts Department,
Public Debt Department, Deposit Accounts Department and Securities Department.

Issue Department: Management of Note Issue. Consists of General Department - deals with resource
operations : supply of notes and coins from Govt. press and Mints and Cash Department dealing with
cash transactions.

Department of Currency and Management: Forecasting currency requirements, allocation of currency to

various branches of Issue Department based on demand pattern etc.

Department of Banking Operations and Development (DBOD): Responsible for supervision, control and
development of commercial banking system in the country. Regulating commercial banks under
regulatory provisions of The Banking Act, 1949. Fulfilling objective of promotion and development of
sound and competitive banking system. Focusing on prudential regulations, licensing of new
banks/foreign banks etc.,

Exchange Control Department: Controlling foreign exchange transactions and maintaining exchange
rate stability.

Rural Planning and Credit Department: District Credit Plans, Lead Bank Scheme, Financial Assistance
for NABARD, Special Studies for promoting IRDP, Framing policies for rural credit/development and
Microfinance.

Department of Economic Analysis and Policy: Economic Research, Reviews financial and banking
conditions, Report on Currency and Finance, RBI Bulletins, Policy studies on emerging aspects of
banking and economy and Annual Reports.

Other Departments: Dept. of Statistical Analysis and Computer Services, Dept. of Administration and
Personnel, Legal Dept. Management Services Dept., Dept. of Non-Banking Companies, Banking
Supervision, Credit Planning Cell, Dept. of External Investment and Operations, Deposit Insurance and

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Credit Guarantee Corporation, Industrial and Export Credit Dept., Secretary’s Dept., RBI Service Board
and Human Resource Development Dept. (Training Institutions).

ORGANISATIONAL STRUCTURE OF A BANK BRANCH

This is the typical structure of a branch bank. In very large branches, the structure will undergo slight
changes as stated below

From the structure we can see how the functional relationship works in a branch.
He structure also explains the reporting authority for each cadre of the employees. It
indicates the communication flow in the branch with well-defined accountability on the
part of the employees’ roles