Will help people within the country: Nirmala Sitharaman’s banter as Raghav Chadha raises conditions of banks

Union Finance Minister Nirmala Sitharaman speaks in the Rajya Sabha during the Budget Session of the Parliament in New Delhi on Wednesday.
| Photo Credit: Sansad TV

Union Finance Minister Nirmala Sitharaman on Wednesday (March 27, 2025), had a humorous exchange with Aam Aadmi Party (AAP) Rajya Sabha MP Raghav Chadha for raising the issue of the conditions of banks in Parliament.

Addressing the Rajya Sabha, Ms. Sitharaman, in a friendly banter, said that Raghav Chadha’s exposure to the Western world would help people within the country.

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“I was amused, sir, If Member Raghav Chadha does not take offense, he observed the number of fans in the bank, the condition of the bank, how many were whitewashed and not painted. I am really so, so satisfied. There are members of Parliament who are otherwise very busy with many things internationally,” the Finance Minister said.

“He has found time to visit rural banks and look at them, noticing there are no fans here, no doors, no chairs. Raghav Chadha, please do more of this. It will help people within the country because, with your exposure, particularly to the Western world, you can do a lot more here. Please do,” she added.

Mr. Chadha was seen smiling as the Finance Minister gave her response to his speech.

Earlier, the Aam Aadmi Party (AAP) MP expressed deep concern over the severe crises affecting the country’s banking system. During the discussion on the Banking Laws (Amendment) Bill, 2024, in the Rajya Sabha, he questioned the central government’s intentions, stating that the bill does not meet public expectations.

He criticized it as a bill focused only on procedural reforms, failing to address the real issues that citizens face daily. He emphasized that banks are not just financial institutions but the foundation of democracy.

“From common people’s savings to farmers’ loans, from students’ education to retirees’ pensions — the banking system is deeply integrated into every citizen’s life. However, growing banking fraud, loan recovery issues, and increasing pressure on employees have resulted in declining public trust in banks. Today, people are hesitant to trust banks with their money,” he said.

Raghav Chadha pointed out that home loan rates in the country have surged to 8.5% – 9%, while education loans range from 8.5% to 13%.”

“As a result, owning a home has become unaffordable for young individuals, and education is becoming excessively expensive, pushing students into debt before they even start earning. Additionally, MSME loan rates have reached 11 percent, making it harder for small businesses to grow,” he said.

He urged the government to set a maximum limit on education and home loan interest rates. First-time homebuyers should receive subsidized interest rates for affordable housing. He also suggested that the RBI should promote small and digital banks to help lower interest rates.