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Govt to infuse Rs 15K cr capital in PSU banks by March 2013

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Press Trust of India Chennai
Last Updated : Jan 20 2013 | 6:57 AM IST

Overall, an enormous amount of new capital would have to be infused in banks in the next five to 10 years, he said adding, "I think we need about Rs one lakh crore as new capital".

Chidambaram was speaking after releasing a book "IOB@75", detailing the evolution of city-based Indian Overseas Bank.

"It is our intention to make our banks stronger. Capital Adequacy is very important for banks. New capital has to be infused from time to time so that banks can expand their business.

"This (financial) year before end of March 2013, we will infuse Rs 15,000 crore as new capital into our banks", the Minister said.

The government will be able to provide the required capital, Chidambaram added.

"We will find ways to the make the new capital... Our banks will always remain well above Capital Adequacy norms. We will remain well ahead of those norms and will ensure that adequate capital is provided to our banks", he said.

  

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First Published: Dec 22 2012 | 10:05 PM IST

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