IDBI privatisation back on govt agenda

Will rework strategy, indicates FinMin, concerned at lender's worsening finances

Strategic sale of government stake in IDBI Bank is back in consideration, likely with a different strategy to divest to under 50 per cent. 

“Stake sale is on the table. There are issues with banking operations and assets that need to be addressed. Though banks operations are weak, it has substantial real estate assets. We might have to rework the stake sale strategy,” a senior finance ministry official said.

Finance Minister Arun Jaitley had in his Budget speech for 2016-17 said, “The government is committed to reducing its stake in IDBI Bank to under 50 per cent.” The government holds more