High SLR and CRR meant a large portion of bank funds were locked up in low-yielding government securities or idle cash (pre-emption of funds). Narasimham-I recommended reducing these ratios to release funds for productive commercial lending, thereby improving bank profitability and efficiency.

Following the amalgamation of 10 PSBs into 4 anchor banks, the total number of PSBs in India came down to 12, creating larger and stronger banks.

Basel Norms have 3 pillars: Pillar 1 (Minimum Capital Requirements), Pillar 2 (Supervisory Review Process - ICAAP), and Pillar 3 (Market Discipline - Disclosures).

LCR promotes short-term resilience by ensuring banks have sufficient High-Quality Liquid Assets (HQLA) to survive a significant stress scenario lasting 30 calendar days.

The committee suggested "Narrow Banking" for banks with high NPAs, aiming to restrict their activities to risk-free investments (like G-Secs) to ensure depositors' safety.

Mission Indradhanush was a 7-pronged plan to resolve issues of PSBs, including Appointments, Banks Board Bureau, Capitalization, De-stressing, Empowerment, Framework of Accountability, and Governance Reforms.