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In order to assess Capital Requirement of PSBs, All PSBs Requested to make presentations to Department of Financial Services- Ministry of Finance

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Capital Market
Last Updated : Jun 13 2015 | 12:01 AM IST
In order to assess capital requirement of Public Sector Banks (PSBs), all PSBs have been requested to make presentations to the Department of Financial Services, Ministry of Finance. Shri Jayant Sinha, Minister of State (Finance) and Secretary (Financial Services) would be present during these meetings.

Earlier during the Quarterly Review of Public Sector Banks' performance held on 11 March 2015, it was discussed that the banks should work-out/find-out their own resources for raising capital and also work-out their own plan for raising capital from market. Bank should have a base line board validated capital raising strategy. Capital would include the equity, non-equity and other instruments. Capital requirement may be for the existing business growth and some for meeting the new credit requirement. Banks should use capital in more productive manner. Banks may do the business which is permitted by their capital base. They can go into the niche Market. They can also explore the possibility of selling their non-core business.

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First Published: Jun 12 2015 | 4:24 PM IST

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