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The journey of this Institute started way back in 1975 as Personnel Selection Services (PSS), a unit of National Institute of Bank Management (NIBM). The objective was to develop an unbiased and efficient system for recruitment, promotion and placement services to the Public Sector Banks. In 1984 this unit became an independent entity – Institute of Banking Personnel Selection (IBPS) at the behest of Reserve Bank of India (RBI) and Public Sector Banks. The first Chairman of its Governing Board was Dr. Manmohan Singh, the then Governor of RBI. IBPS is envisioned as self governed academic and research oriented institute, with a mission of providing Personnel Selection and Human Resource Management services to the banking industry in the country.

IBPS has now completed almost three glorious decades of its existence. It was created as an autonomous body registered under the Societies Registration Act, 1860 and also a Public Trust under the Bombay Public Trust Act, 1950. IBPS was recognized in April 1984 as a Scientific and Industrial Research Organization (SIRO) by the Department of Scientific and Industrial Research, Ministry of Science and Technology, Govt. of India. IBPS is also affiliated to SNDT Women's University for its Ph.D. programme in Management Sciences. Institute is also an 'Associate Member' of the Indian Banks' Association (IBA).

By enriching its consulting expertise over the years, the institute today has acquired the distinction of being a Premier Institute and the fore-runner in the field of personnel selection. It pioneered the use of Objective Type Cognitive Ability tests for mass level examinations. Its success story has now registered a distinctive hallmark on the national horizon, be it a class or a mass level selection of employees.

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