The Narsimhan Committee’s 1991 recommendation served as the foundation for India’s financial sector reforms to increase productivity and efficiency in the banking industry. Numerous new banks were established as a result of guidelines which the Reserve Bank of India (RBI) published in 1993 for the licensing of new private sector banks. Twelve private sector banks have received licenses from the RBI in the last 20 years; ten of these were awarded in 1993 and two more in 2001. The Reserve Bank of India (RBI) declared in 2010 that it would grant additional banking licenses to non-banking financial institutions and private sector entities who satisfy certain requirements. With an eye toward increasing financial inclusion, improving rural banking services, priority-sector lending targets, and fostering technological advancements in the banking sector, the RBI released detailed guidelines in 2013 for the licensing of new private sector banks.