PSBs

Govt may consider both OFS and QIP routes for diluting its stake

According to the government's disinvestment strategy, five public-sector lenders are required to reduce their government stakes to below 75%

Karnatak said that the bank's external benchmark-linked loans (EBLR) are already reflecting the rate cut by the Reserve Bank of India (RBI)'s monetary policy committee (MPC)

The finance ministry's ongoing efforts aim to strengthen fraud detection, improve the speed of investigations, and ensure accountability across the banking sector

Finance Minister Nirmala on Wednesday termed the allegation of Leader of Opposition (LoP) Rahul Gandhi against state-owned banks as an insult to the hardworking employees and to the citizens who benefit from a cleaner, stronger banking system. Gandhi has a penchant for making baseless statements and the fact is that high concentration of corporate credit and indiscriminate lending during UPA tenure had resulted in significant deterioration in the health of public sector banks, she said in a series of posts on X. Banking sector, especially Public Sector Banks (PSBs), have seen a remarkable turnaround under the leadership of Prime Minister Narendra Modi, she said. Earlier in the day, Gandhi after meeting a delegation from the All India Banking Officers Confederation accused the government of using public sector banks, the "lifelines of the masses", as an unlimited source of funds for their "fraudulent friends". "The Modi government has turned these lifelines of the masses into privat

Gandhi alleged on X that the Narendra Modi government has turned PSBs ("lifelines of the masses") into private financiers for only the rich and powerful corporations

Till October of the plan year 2024-25, PSBs have achieved only 40 per cent of their total enrolment target of 6.4 crore for PMSBY

Stock Market Highlights: The day ended in favor of the bears, as 46 out of the 50 constituent stocks of the Nifty50 closed in the red

They target raising Rs 54,800 cr in FY25

The government has introduced a revised performance-linked incentive scheme for senior executives of public sector banks, including return on assets and NPA levels among parameters. The eligibility of banks for the scheme will be assessed by a government-appointed committee on the basis of four parameters, including that Return on Assets (RoA) should be positive and lower net non-performing assets (NPA). In a circular, the finance ministry said the scheme, which aims to provide to suitably reward and motivate employees for significant value creation for various stakeholders, will be effective from financial year 2023-24. The committee, headed by Department of Financial Services (DFS) Secretary, will have Additional Secretary (DFS), Joint Secretary (Banking) and Chief Executive of Indian Banks' Association (IBA) as members. According to the communication, the panel shall assess the governance mechanism in the banks for the PLI evaluation period with respect to occurrences of any maj

The finance ministry is considering a proposal to raise the posts of Chief General Managers in public sector banks in view of their increasing business and profitability. As per existing government guidelines, there can be one Chief General Manager (CGM) for four General Managers in a public sector bank (PSB). These guidelines were issued in 2019 and since then there has been marked improvement in performance of PSBs despite the pandemic, sources said. Business of PSBs have witnessed significant growth and consequently they booked record profit, sources said, adding the Department of Financial Services under the Finance Ministry is reviewing CGM positions for achieving the next level of growth by PSBs. The decision to relax the guidelines would be taken after thorough examination and considering the need for furthering their business expansion, sources said. The CGM post was created in 2019, after the merger of 10 nationalised banks to four large lenders. CGMs act as an administra

PSBs' credit growth on a year-on-year (Y-o-Y) basis stood at 12.9 per cent in September, lagging behind 16.4 per cent Y-o-Y of private lenders

Fund-strapped telco says banks have completed techno-economic evaluation, a key step in debt funding process

Credit model goes beyond credit scores, evaluates supply chains, digital footprints

Auditors of PSBs, their branches, and PSUs will not be covered by ISA 600

Sitharaman had last chaired a meeting with heads of PSBs in December 2023

RBI Governor Shaktikanta Das highlighted at the press briefing that interest rates are deregulated and banks are free to decide on interest rates

Finance Minister Nirmala Sitharaman will hold the review meet on August 19

Leader of Opposition in the Lok Sabha Rahul Gandhi on Tuesday slammed the government over public sector banks collecting crores in penalty from customers for not maintaining average monthly balance, saying the "penalty system" is that door of Prime Minister Narendra Modi's "chakravyuh" through which efforts are being made to break the back of the common Indian. His attack on the government came after it emerged in a written reply to a question in the Lok Sabha that public sector banks collected around Rs 8,500 crore under this head in five years starting from FY 2019-20. Minister of state in the finance ministry Pankaj Chaudhary also informed the Lok Sabha on Monday that state-run banks have charged depositors Rs 2,331 crore penalty for not maintaining average monthly minimum balance in FY24. In a post in Hindi on X, Gandhi said, "During Narendra Modi's amrit kaal, the 'empty pockets' of common Indians are also being robbed. The government, which had forgiven Rs 16 lakh crore of ...

SBI report says takeover of weaker banks affected productivity of acquiring ones