Explanation:

About Indradhanush:
 Mission Indradhanush is a 7-pronged plan to address the challenges faced by public sector banks (PSBs). Many of the measures taken were suggested by P J Nayak committee on Banking sector reforms as indicated.

•  The 7 parts include appointments, Banks board bureau, capitalisation, de-stressing, empowerment, framework of accountability and governance reforms (ABCDEFG)
•   Appointments - separation of posts of CEO and MD to check excess concentration of power and smoothen the functioning of banks; also induction of talent from private sector ( recommendation of P J Nayak Committee)
•  Bank Boards Bureau - will replace the appointments board of PSBs. It will advise the banks on how to raise funds and how to go ahead with mergers and acquisitions. It will also hold bad assets of public sector banks. It will be a step into eventual transition of the bureau into a bank holding company. It will separate the functioning of the banks from the government by acting as a middle link. The bureau will have three ex-officio members and three expert members, in addition to the Chairman.
•    Capitalisation: Capitalisation of the banks by inducing Rs 70,000 crore into the banks in the next 4 years. Banks are in need of capitalisation due to high NPAs and due to need to meet the new BASEL- III norms
•  De-stressing: Solve issues in the infrastructure sector to check the problem of stressed assets in banks
•   Empowerment: Greater autonomy for banks; more flexibility for hiring manpower
•  Framework of accountability: The banks will be assessed on the basis of new key performance indicators. These quantitative parameters such as NPA management, return on capital, growth and diversification of business and financial inclusion as well as qualitative parameters such as human resource initiatives and strategic steps to improve assets quality.
•     Governance Reforms: Gyan Sangam conferences between government officials and bankers for resolving issues in banking sector and chalking out future policy.