PSU banks lost Rs 900-billion market-cap in one month post PNB scam

In past one month, the Nifty PSU Bank index tanked 20% against 1.6% decline in the Nifty 50 index.

The public sector undertaking (PSU) banks have lost Rs 900-billion market capitalisation (market-cap) in past one month after the Rs 114 billion ($1.8 billion) fraud at Punjab National Bank (PNB) came to light.

The 21 listed PSU banks have seen a combined market-cap erosion of Rs 907 billion to Rs 3,846 billion today at 02:04 pm. The total market-cap of these banks stood at Rs 4,753 billion as on February 12, 2018.

On 14 February 2018, PNB announced to the stock exchange that the bank had discovered some fraudulent and unauthorized transactions amounting to Rs 114 billion ($1.8