Clarification by Ministry of Finance regarding holding of competitive exam of PSBs in local languages by IBPS



Quick Summary
The Ministry of Finance has issued a clarification regarding the language used in recruitment exams for Public Sector Banks (PSBs). Recent media reports suggested that the Institute of Banking Personnel Selection (IBPS) would only hold clerical recruitment exams in English and Hindi, despite 22 recognised Indian languages. However, the Ministry clarified that the Union Finance Minister's 2019 statement on local language exams specifically referred to Regional Rural Banks (RRBs). For RRBs, exams are already conducted in 13 regional languages alongside Hindi and English. To address the demand for local languages in PSB clerical exams, a committee has been formed and will submit its recommendations within 15 days. The current IBPS recruitment process will be paused until these recommendations are received.

This is with reference to the news report published in certain section of media regarding the advertisement given by Institute of Banking Personnel Selection(IBPS) for holding an examination for recruitment in the clerical cadre of Public Sector Banks (PSBs)  only in two languages i.e. English and Hindi, despite the fact that 22 languages were recognized by the Constitution of India. The news report cites a statement made by the Union Finance Minister in 2019 when she had assured holding banking exams in local languages.

PSB Exams: Finance Ministry Clarifies Language Policy

In the above context, it may be clarified that the Finance Minister’s statement referred to above was made in the context of Regional Rural Banks (RRBs) only. With a view to provide a level playing field to the local youths for availing employment opportunities, the Government in 2019 decided that for recruitment of Office Assistant and Officer Scale I in RRBs , examination will be held in 13 regional languages including Konakani and Kannada, besides Hindi and English. Since then, examination for these recruitments are being conducted in regional languages also.

In order to look into the demand for holding examination for clerical cadre in Public Sector Banks (PSBs) in local/regional languages, a Committee has been constituted to look into the matter in its entirety. The Committee will give its recommendations within 15 days. The ongoing process of holding the examination initiated by IBPS will be kept on hold until the recommendations of the Committee are made available. 

FAQ :

The Ministry of Finance has clarified that the Union Finance Minister's 2019 statement about holding banking exams in local languages was specifically for Regional Rural Banks (RRBs), not Public Sector Banks (PSBs).

Yes, since 2019, examinations for Office Assistant and Officer Scale I in RRBs are conducted in 13 regional languages, including Konkani and Kannada, in addition to Hindi and English.

The Institute of Banking Personnel Selection (IBPS) had initiated a process for clerical recruitment exams, but this process has been put on hold.

The process has been put on hold to allow a committee, recently constituted to look into the demand for holding PSB clerical exams in local/regional languages, to make its recommendations.

The committee is expected to submit its recommendations within 15 days.




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Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.

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