With the merger of Bank of Baroda, IDBI Bank, Oriental Bank of India and Central Bank of India, the government hopes to stem the rise in bad loans in their books. Graphic: MintMumbai: The government is considering merging at least four state-run banks, including Bank of Baroda, IDBI Bank Ltd, Oriental Bank of Commerce and Central Bank of India, two people aware of the matter said. “Dilution of (government) stake in IDBI Bank could also be achieved through stake sale to private equity investors,” said one of the two people cited above. Queries emailed to IDBI Bank, Bank of Baroda, Oriental Bank of Commerce and Central Bank of India did not elicit any response. In his 2016 budget speech, finance minister Arun Jaitley said that the government was considering reducing its stake in IDBI Bank to less than 50%.

Source: Mint June 04, 2018 01:41 UTC