Amit Shah to bankers: Aim for global top 10, fuel India’s MSME growth

Union Home and Cooperation Minister Amit Shah on September 25 threw down the gauntlet to India’s banking sector, urging it to shed incremental thinking and aspire to place Indian banks among the world’s top ten.

Speaking at the Financial Express Best Banks Awards in Mumbai, Shah said the sector must combine global ambition with grassroots inclusion by ensuring greater access to credit for micro, small and medium enterprises (MSMEs).

“If banks don’t value MSMEs, it amounts to stopping their growth. This is unfortunate. MSMEs have huge potential—look at Ambani, Adani, Torrent, all of them started small,” Shah said, reminding bankers that the government stands as guarantor for the sector’s growth.

The minister highlighted the Modi government’s decade of reforms, from slashing 40,000 compliances and introducing the Jan Vishwas Bill to restoring public trust in banks after the “phone banking” era of cronyism. “We focussed on four Rs—Recognise, Recover, Recapitalise and Reforms — bringing NPAs down from 19% in 2014 to 2.5% today,” Shah asserted.

Citing India’s resilience amid global slowdown, he pointed out that while major economies are stagnating at 1–2 % growth, India continues to expand at 7–8%, powered by structural reforms, digital transformation, and financial inclusion. “With 56 crore bank accounts, ₹2.64 lakh crore in deposits, 95% 5G coverage and UPI in every corner—from cities to villages—even a vegetable seller can now transact digitally,” Shah said.

Looking ahead, he flagged electric vehicles, green energy, fintech, space, and defence manufacturing as sectors that will drive India’s rise. He also underlined the government’s “Swadeshi” philosophy: “Jo cheez banane main Bharat ke logon ka pasina baha hain, uska upayog karna chahiye” (People should use what is made with Indian sweat and labour).

Shah dismissed concerns that coalition politics might slow reforms under Modi 3.0, insisting: “An alliance can never be a constraint for development. We do know the art of running a coalition.”

On taxation, he described the Goods and Services Tax as the “biggest reform dreamt of and realised by PM Modi,” coupled with unprecedented personal income tax waivers and corporate tax cuts. “From Nehru ji till today, no one has implemented such a major tax cut,” he said.

The event also saw Maharashtra Chief Minister Devendra Fadnavis, Deputy CM Eknath Shinde, and industry leaders including Prashant Ruia (Essar Group), Pranav Adani (Adani Group), Ashok Hinduja (Hinduja Group), and SBI chairman CS Shetty in attendance.

Axis Bank MD & CEO Amitabh Chaudhry was named Banker of the Year, while Federal Bank’s former MD & CEO Shyam Srinivasan was conferred the Lifetime Achievement Award.