PSBs shouldn't be privatised, reduce govt stake to 26%: RBI Board member

RBI Board member Satish Marathe said public sector banks need an overhaul of their systems, processes and staff attitudes to be relevant and effective in the future

Public sector banks should not be privatised given the country's developmental needs but the government can look at reducing its shareholding to 26 per cent by selling a larger portion of its stake to common Indians, RBI's board member Satish Marathe said on Saturday.

Marathe, who started out working in a state-run bank before getting associated with the cooperative banks sector, however, said that public sector banks need an overhaul of their systems, processes and staff attitudes to be relevant and effective in the future.

He made the remarks during an online seminar held to commemorate the 51st anniversary of bank nationalisation.

"Ownership