Tezzbuzz Desk- Finance Minister Nirmala Sitharaman has advised public sector banks to change their image among the youth and especially Gen Z. He said that public sector banks should come out of their traditional and serious image and adapt themselves according to the needs and preferences of the youth. He believes that if public sector banks directly connect with the youth and understand their expectations, they can strengthen their hold among the new generation.
Sitharaman stressed on the connectivity of public sector banks with young customers on the last day of the two-day PSB Confluence 2026. He said that during the recent conversation with the youth, many people said that private banks were their first choice. In the eyes of the youth, private banks are more modern and 'cool'. In such a situation, the Finance Minister questioned the government banks as to why their image is not like this among the youth and how it can be changed. However, he also clarified that in an attempt to attract the youth, there should not be any compromise on banking rules, security standards and necessary procedures.
'Banking for Youth' campaign from October 2
Finance Minister gives one month loan to public sector banks from October 2 'Banking for Youth' It is suggested to start the campaign. Under this campaign, special attention will be given to connecting youth aged 16 years and above with the banking system. The aim of this initiative is not just to open bank accounts for the youth but also to build long-term banking relationships with them. The effort will be that from college time to job, first salary, business and investment, youth should consider public sector banks as their trusted financial partners.
Sitharaman said that the campaign should not be limited to just bank branches. Government banks can reach out to colleges, universities, skill development centers and other educational institutions to communicate directly with the youth.
Youth can get special facilities
Government banks can also offer many additional benefits to connect Gen Z with banking. These may include online courses, skills training, coupons for fitness and yoga centers and facilities related to mental health platforms.
Finance Minister in bank branches 'Yuva Kiosk' And 'Yuva Banking Mitra' Like starting a special counter was also suggested. Through these counters, youth will be able to easily get answers to questions related to banking and financial services.
Emphasis on loan and credit score information
Sitharaman also stressed the need to provide information to the youth about credit scores, loans and government credit schemes. Especially for the youth starting their own business, information about government schemes and financial assistance can prove to be very useful. Public sector banks aim to connect youth with their entire financial journey rather than limiting them to just opening an account. This may include financial assistance for education, salary account after first job, business loans, investments and other banking services.
The objective of the Finance Minister's initiative is to make government banks more modern, accessible and attractive for the new generation. Now it remains to be seen how much banks are able to change their services and way of working to suit the changing needs of Gen Z through the 'Banking for Youth' campaign.