To facilitate consolidation in the public sector banking space, the cabinet in August gave in-principle approval for public sector banks (PSBs) to amalgamate through an alternative mechanism. Photo: PTINew Delhi: The government is likely to push ahead with banking sector reforms alongside infusion of fresh capital in state-owned lenders in the new year as it looks to lift banks out of non-performing assets (NPA) crisis and revive lending growth from a 25-year low. The government in October announced infusion of an unprecedented Rs2.11 trillion capital over two years in public sector banks that are reeling under high NPAs. To facilitate consolidation in the public sector banking space, the cabinet in August gave in-principle approval for public sector banks (PSBs) to amalgamate through an alternative mechanism (AM). Of these, banks are set to refer as many as 23 accounts for insolvency proceedings.

Source: Mint December 28, 2017 14:37 UTC