The Government of India on June 11, 2026, nominated Sanjay Lohiya, Secretary of the Department of Financial Services (DFS), as a director on the Central Board of the Reserve Bank of India (RBI) and the State Bank of India (SBI). He replaces Nagaraju Maddirala, who retired on May 31, 2026, after serving as DFS Secretary. The appointment places the government’s senior-most financial administrator directly on the boards of the country’s central bank and its largest commercial lender.
Who Is Sanjay Lohiya?
Sanjay Lohiya is a 1994-batch Indian Administrative Service (IAS) officer of the Assam-Meghalaya cadre. He holds a B.Sc. (Honours) degree in Physics from St. Stephen’s College, University of Delhi. He assumed charge as Secretary of the Department of Financial Services on June 1, 2026, after being elevated to the position of Special Secretary in the department earlier that year.
Before his appointment to the DFS, Lohiya served as Additional Secretary in the Ministry of Mines. His career includes stints as Joint Secretary in the Ministry of Agriculture and Farmers Welfare and as Director in the Prime Minister’s Office (PMO). At the state level, he held key positions in the Assam government, including Principal Secretary to the Chief Minister, Commissioner of Taxes, and Secretary of the Agriculture Department. He also served as a government nominee director on the board of the Life Insurance Corporation of India (LIC) and as a part-time official director at National Aluminium Company Limited (NALCO).
The Department of Financial Services and Its Role
The Department of Financial Services is one of the key departments under the Ministry of Finance, Government of India. It is the nodal authority responsible for formulating policy and administering laws related to banking, insurance, and the pension sector. The department oversees all public sector banks (PSBs), public sector insurance companies, financial institutions such as NABARD, SIDBI, and NHB, as well as pension fund managers under the National Pension System (NPS).
The Secretary of the DFS holds a senior position equivalent to the rank of Secretary to the Government of India and serves as the principal link between the government and the financial sector. By convention, the DFS Secretary is nominated to the central boards of both the RBI and SBI, ensuring that the government’s policy perspective is represented in the decision-making processes of these key institutions.
Composition of the RBI Central Board
The Central Board of Directors is the apex governing body of the Reserve Bank of India, constituted under Section 8 of the Reserve Bank of India Act, 1934. The Board is responsible for providing overall policy direction and superintendence over the affairs of the RBI.
The RBI Central Board comprises the following categories of directors:
| Category | Number | Appointment Basis |
|---|---|---|
| Governor | 1 | Appointed by the Central Government |
| Deputy Governors | Up to 4 | Appointed by the Central Government |
| Directors from Local Boards | 4 | One each from the four Local Boards (Mumbai, Kolkata, Chennai, Delhi) |
| Directors nominated by Central Government | 10 | From various fields of finance, industry, and economics |
| Government official | 1 | Nominated by the Central Government |
| Total | Up to 21 |
Lohiya has been nominated under Section 8(1)(d) of the RBI Act, which provides for one government official to be nominated by the Central Government. Along with Lohiya, Anuradha Thakur, Secretary of the Department of Economic Affairs (DEA), also serves on the Board under the same provision. The current RBI Governor is Sanjay Malhotra, who assumed office on December 11, 2024.
The Board meets regularly to review the country’s monetary and financial conditions and exercises powers related to the management of the RBI’s affairs. It delegates specific functions to committees such as the Board for Financial Supervision (BFS) and the Monetary Policy Committee (MPC).
Composition of the SBI Central Board
The State Bank of India, India’s largest commercial bank, functions under the State Bank of India Act, 1955. Its Central Board is the apex governing body and includes several categories of directors with specific statutory provisions under Section 19 of the Act.
The SBI Central Board is structured as follows:
| Category | Statutory Provision | Members |
|---|---|---|
| Chairman | Section 19(a) | Appointed by the Central Government in consultation with RBI |
| Managing Directors | Section 19(b) | Up to 4, appointed by the Central Board with RBI approval |
| Directors elected by shareholders | Section 19(c) | Elected by non-government shareholders |
| Directors representing employees | Section 19(d) | Nominated to represent employees’ interests |
| Government nominee directors | Section 19(e) | Nominated by the Central Government |
| RBI nominee director | Section 19(f) | Nominated by the RBI |
Lohiya has been nominated under Section 19(e) of the SBI Act, replacing Nagaraju Maddirala. The current Chairman of SBI is Challa Sreenivasulu Setty, and the bank has four Managing Directors overseeing corporate banking, retail business, risk management, and international banking.
Key Takeaways
- Sanjay Lohiya, a 1994-batch IAS officer (Assam-Meghalaya cadre), was nominated as a director on the Central Boards of both RBI and SBI on June 11, 2026.
- He succeeded Nagaraju Maddirala (1993-batch IAS, Tripura cadre), who retired as DFS Secretary on May 31, 2026.
- Lohiya’s nomination to the RBI Central Board is under Section 8(1)(d) of the RBI Act, 1934, which provides for one government official on the Board.
- His nomination to the SBI Central Board is under Section 19(e) of the SBI Act, 1955, the provision for government nominee directors.
- The RBI Central Board, governed by the RBI Act, 1934, consists of the Governor, up to four Deputy Governors, four Local Board directors, ten nominated directors, and one government official.
- The RBI was established on April 1, 1935, and the SBI was constituted on July 1, 1955.
- Before his current role, Lohiya served as Additional Secretary in the Ministry of Mines, Joint Secretary in the Ministry of Agriculture, and Director in the Prime Minister’s Office.
