Mumbai, Sept 9 (KNN) Reserve Bank of India (RBI) has said that the upper age limit for MD and CEO and other WTDs of banks in the private sector will be 70 years, beyond which nobody should continue in the post.

The matter relating to fixing an upper age limit for the post of Managing Director and Chief Executive Officers (MD and CEO) and other Whole Time Directors (WTDs) of banks in private sector in India has been examined in the light of the provisions of the Companies Act, 2013 [Section 196(3)] which prescribe that ‘no company shall appoint or continue the employment of any person as Managing Director, Whole Time Director or Manager who is below the age of 21 years or has attained the age of 70 years’.

“It has been decided that the upper age limit for MD and CEO and other WTDs of banks in the private sector should be 70 years, i.e. beyond which nobody should continue in the post,” said RBI.

Within the overall limit of 70 years, individual bank’s Boards are free to prescribe a lower retirement age for the WTDs, including the MD and CEO, as an internal policy, it added. (KNN/SD)