FinMin eases rule for foreign trip for MD of PSU banks, FIs

New Delhi: Managing directors and other executive board members of state-owned banks as well as financial institutions will not be required to take permission of the Finance Ministry for undertaking foreign tours.

"Henceforth, foreign visits (by whole time director) with the permissible limit would be undertaken only with the prior approval of the board. The government would need to be informed prior to commencement of the visit which within the prescribed limit except where government's permission is required," a Finance Ministry circular said

Earlier, the permission of Finance Ministry was required for going on overseas trip.

It said foreign visits should be planned in such a manner that there is a uniform spread of visit to overseas offices during the year and more than one director is generally not required to visit the same destination within a short period.

Besides, foreign visits must be meticulously planned taking into account the business needs and the level of representation required, it said.

It is expected that whole time director would undertake foreign visits only when their personal presence is required, it added.

Directors, however, will have to necessarily take permission if they have to travel during the time when Parliament is in session.