Kool_SRG Posted August 30, 2019 Report Share Posted August 30, 2019 10 public sector banks to be merged into four Canara Bank and Syndicate Bank to be merged; Union Bank, Andhra Bank and Corporate Bank to be merged Punjab National Bank (PNB), Oriental Bank of Commerce (OBC) and United Bank; Indian Bank to be merged with Allahabad Bank Finance Minister Nirmala Sitharaman today announced a big consolidation of public sector banks: 10 public sector banks to be merged into four. Under the scheme of amalgamation, Indian Bank will be merged with Allahabad Bank; PNB, OBC and United Bank to be merged (PNB will be the anchor bank); Union Bank of India, Andhra Bank and Corporate Bank to be merged; and Canara Bank and Syndicate Bank to be merged. In place of 27 public sector banks in 2017, now there will be 12 public sector banks after the latest round of consolidation of PSU banks. The consolidation of public sector banks will give them scale, the finance minister said. The government also announced capital infusion totalling over ₹55,000 crore into public sector banks: PNB ( ₹16,000 crore), Union Bank of India ( ₹11,700 crore), Bank of Baroda ( ₹7000 crore), Indian Bank ( ₹2500 crore), Indian Overseas Bank ( ₹3800 crore), Central Bank ( ₹3300 crore), UCO Bank ( ₹2100 crore), United Bank ( ₹1600 crore) and Punjab and Sind Bank ( ₹750 crore). Last year, the government had approved the merger of Vijaya Bank and Dena Bank with Bank of Baroda (BoB) that become effective from April 1, 2019. In 2017, the State Bank of India absorbed five of its associates and the Bharatiya Mahila Bank. Here are the highlights of what the finance minister said today: We want banks with strong national presence and enhanced risk appetite Indian Bank to be merged with Allahabad Bank Consolidated Indian Bank and Allahabad Bank to be 7th largest public sector bank with cRs 8.08 lakh crore business PNB, OBC and United Bank to be merged (PNB will be the anchor bank) Union Bank of India, Andhra Bank and Corporate Bank to be merged Consolidated Union Bank of India, Andhra Bank and Corporation Bank to be 5th largest public sector banks with ₹14.6 lakh crore business Canara Bank and Syndicate Bank to be merged Consolidated Canara Bank and Syndicate Bank to be 4th largest public sector bank with ₹15.2 lakh crore business Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
r2d2 Posted August 30, 2019 Report Share Posted August 30, 2019 this is good Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 No retrenchment has taken place post merger of Bank of Baroda, Dena Bank and Vijaya Bank; staff has been redeployed and best practices in each bank have been replicated in others 8 PSU banks have so far launched repo rate-linked loans Loan tracking mechanism in PSU banks is being improved for the benefit of customers 4 NBFCs have found liquidity support through PSU banks since last Friday For NBFCs, partial credit guarantee mechanism has already been implemented Govt working on banking reforms Gross NPAs of PSU banks have come down Provision coverage ratio highest in 7 years Best practices of each bank in consolidation of Vijaya Bank, Bank of Borada and Dena Bank have been absorbed Non-official directors to perform role analogous to independent directors Public sector banks enabled to do succession planning Bank boards given flexibility to fix sitting fee of independent directors Bank of India, Central Bank of India will continue as public sector banks Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Modi govt's mega bank merger drive: PNB, Allahabad, Canara among major banks merged Oriental Bank of Commerce and United Bank of India have been merged into Punjab National Bank; Allahabad Bank merged into Indian Bank, Syndicate Bank into Canara Bank, among other mergers. HIGHLIGHTS OBC, United Bank of India merged into PNB Syndicated Bank merged into Canara Bank No. of public sector banks reduced from 27 to 12 The Narendra Modi government in a major decision today decided to merge a number of public sector banks (PSBs) to streamline their operation and size. The Oriental Bank of Commerce (OBC) and the United Bank of India (UBI) has been merged into the Punjab National Bank (PNB). Besides this, the Syndicate Bank has been merged with the Canara Bank while the Andhra Bank and Corporation Bank will merged with Union Bank of India. The government has also announced that the Indian Bank will be merged with the Allahabad Bank. This will make it the seventh largest state-owned bank in India. This decision was announced by Finance Minister Nirmala Sitharaman during a special press conference in New Delhi today. WHY WERE THESE BANKS MERGED? Explaining the rationale behind these mergers, Nirmala Sitharaman said these decisions were taken with the objective making them "global-sized banks". Nirmala Sitharaman said the merger will also help in consolidating strong national presence and global reach of these banks. These mergers come months after the Modi government announced merger of Dena bank and the Vijaya Bank with the Bank of Baroda. This merger came into effect on April 1 this year. Prior to this, the government had merged five associate banks of the State Bank of India and Bharatiya Mahila Bank with State Bank of India. These were State Bank of Patiala, State Bank of Bikaner and Jaipur, State Bank of Mysore, State Bank of Travancore and State Bank of Hyderabad and also Bharatiya Mahila Bank effective April 2017. In 2017, the number of public sector banks in India was 27. After today's decision, this number will fall to 12. NEW PICTURE OF PSU BANKS 1) The after the Oriental Bank of Commerce and United Bank are merged into the Punjab National Bank, it will become India's second largest bank. (SBI remains India's largest bank). Once these three banks are merged it will create a bank with a business of Rs 17.95 lakh crore and have 11,437 branches. 2) Once the Syndicate bank is merged into the Canara Bank, the resultant bank will become India's fourth largest public sector bank with Rs 15.20 lakh crore business. 3) Union Bank, Andhra Bank, Corporation Bank to merge to become India's fifth largest public sector bank with Rs 14.59 lakh crore business. 4) The 12 public sector banks that India will have after today's decision are: State Bank of India, Punjab National Bank, Bank of Baroda, Bank of India, Central Bank of India, Canara Bank, Union Bank of India, Indian Overseas Bank, Punjab and Sind Bank, Indian Bank, UCO Bank and Bank of Maharashtra . Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
riashli Posted August 30, 2019 Report Share Posted August 30, 2019 Quote Link to comment Share on other sites More sharing options...
ChinnaBhasha Posted August 30, 2019 Report Share Posted August 30, 2019 Kool vuncle, journalist ga working ga emina. News ochina 2 mins lo vestav thread. Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 46 minutes ago, riashli said: Madam garu cinema ela undi whats your review.. Quote Link to comment Share on other sites More sharing options...
Kool_SRG Posted August 30, 2019 Author Report Share Posted August 30, 2019 42 minutes ago, ChinnaBhasha said: Kool vuncle, journalist ga working ga emina. News ochina 2 mins lo vestav thread. Quote Link to comment Share on other sites More sharing options...
.thumb.gif.343fe49c7e1c507ae0056326bd8cf77e.gif)
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.