There was a time when the way Indian banks were regulated was not considered apt for the new globalized world. But one recession and the story has changed sides.

In the recently concluded G-20 summit of the Finance Minister, the idea of regulating banks the Indian way was accepted "by and large".

The summit was taking place in South Korea.

Indian minister, Pranab Mukherjee, after his return said that India has shown way to the rich world as to how to maintain their banks system. This is done through a judicious mix of policy instruments like Cash Reserve Ratio (CRR). Imposition of taxed should be the last and not the first means.

Pranab also said that he has advised the European and the American policymakers to follow the same line as India does.

There are two groups in G-20. One which supports, the taxing of the banks to be able to impose a control over them. This includes the US, European Union and Britain. The other side, which has India, Canada and Australia, is against the taxing system.

Pranab also said that it is the responsibility of Europe to curb the crisis which is again spreading through Greece.