Monday, March 03, 2025 | 09:40 PM ISTहिंदी में पढें
Business Standard
Notification Icon
userprofile IconSearch

Tweak in Act to grant IDBI 'bank licence' after govt offloads stake

Section 22 of the Banking Regulation Act states that no company shall conduct banking business in the country unless it holds a licence issued by the RBI

IDBI Bank
Premium

The government currently holds a 45 per cent stake in IDBI Bank

Nikunj Ohri New Delhi
The Centre is set to amend the IDBI (Transfer of Under­taking and Repeal) Act, 2003, to provide the lender a banking licence after the government offloads its stake, said an official, clearing a major hurdle in its strategic sale.

The stake sale plan was delayed as the government selling its entire shareholding in the bank would have left the lender without a banking licence, requiring the new owner to apply for a fresh one.

The government will move amendments to the Act in the Finance Bill 2021, which will grant a licence to IDBI Bank under Section 22 of the Banking Regulation

What you get on BS Premium?

  • Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
  • Pick your 5 favourite companies, get a daily email with all news updates on them.
  • Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
  • Preferential invites to Business Standard events.
  • Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.
VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in