The U.S. Federal Reserve has been committing itself to raising rates back to normal levels, after keeping them unnaturally low for nearly a decade in order to counter the aftereffects of the Financial Crisis of 2007-08. An improving economy gives them the reason to do so.
The biggest problem with the Indian banking sector is a lack of proper checks and balances. Without them, future scams cannot be ruled out. RBI needs to get more powers, besides doing a lot more to ensure that transgressions of the sort seen recently at PNB, ICICI Bank and Axis Bank do not occur elsewhere again.