Mortgage lender Housing Development Finance Corporation (HDFC) on Friday said regulators are doing a good job of getting global governance standards.
In an interview to CNBC-TV18, Keki Mistry, vice-chairman, said the company has moved from an environment where things were relatively easy 10 years ago to an environment where it is becoming more and more global in approach.
"We are getting so much of foreign money coming into the country that we have to embrace foreign practises," he told CNBC-TV18.
Because of excessive oversight that is happening today, which is necessary, to which people in India were not used to, and sudden transition a sense of risk aversion has set in.
"I guess it is a matter of time, once reassurance is given to directors, to banks that no penal action would be taken against them if they have acted in good faith, it is something I think people will just get over."
Mistry added, "To my mind these are not knee jerk reactions, these are various measures that have been well thought out over a period of time and are slowly getting rolled out."
"Most of what we are doing here is what is being done in the western world. So, it is not that we are imposing anything very different on companies in India compared to what is being done in Europe or what is being done in the US."
"I think the regulators are actually doing a very good job, we are bringing Indian governance standards inline with what is being practised in the global world and as we get more and more foreign capital, it is so very critical and so very important that we start embracing global standards", Mistry added.
Keki Mistry was speaking on the sidelines of 13th CII Corporate Governance Summit in Mumbai.