'This is not how trust is built': RBI DG flags bankers’ lack of empathy, templated responses amid rising complaints

Reserve Bank of India (RBI) Deputy Governor Swaminathan J has lamented the “lack of empathy” among bankers despite the rise in the number of customer complaints.

“From social engineering frauds to poor grievance redressal, the loss and frustration is real. Often, the problem is not the product or service, but a lack of empathy,” Swaminathan said at an event of RBI-promoted NIBM (National Institute of Bank Management) on July 12.

He pointed out that "increasing automation but decreasing ownership" has led to templated responses and helpline loops that frustrate customers.

“This is not how trust is built, and certainly not how it can be sustained,” the RBI DG said.

He made it clear that addressing these issues will be essential if bankers were to sustain people's trust in the system.

The Reserve Bank's website published the speech on Tuesday.

Swaminathan, who joined the RBI last year after a long career with State Bank of India, urged future bankers to view customer interactions as moments of trust rather than routine service requests.

“A senior citizen struggling with an ATM pin, a borrower in a rural area unsure how to repay digitally, a small business owner worried about a UPI refund – they are not just service requests. They are moments of trust. They all deserve your time, your patience, and your professionalism,” he said.

The deputy governor emphasised that while technology will enable transactions, it is the banker’s empathy that will build long-term relationships and trust.

He said a banker has to act quickly, endure uncertainty, recover from setbacks, and stay focused over the long run.

"You will face moments of rapid change -- crises, deadlines, audits, policy shifts -- but you will also need the discipline and stamina to navigate slow, complex processes that unfold over months or years," he told the students beginning a two-year post graduation course in banking.

Empathy, curiosity, and integrity will define success for the students over a long term, he said.

"What will truly shape you as a banker is your ability to blend knowledge with judgment, law with convention, and theory with practice," he said.