India to Cut Stake in Staterun Banks Raise 26 bn

Posted on by admin

first_imgThe Indian government has approved plans to sell part of its stake in state-run banks and raise about $25.76 billion, according to a statement issued on Wednesday.  State Bank Of India, largest public-sector bank in IndiaReutersThe decision was taken at a meeting of the Union Cabinet. The sale is expected to happen in a phased manner, till 2019.  The 27 state-run banks of Asia’s third-largest economy currently have state ownership ranging from 56 percent to 84 percent. These banks account account for 70 percent of the total outstanding loans of about $1 trillion. The government would continue to hold 52 percent stake in the banks after the stake sale.The banks also need an estimated $60 billion to build a buffer against bad loans in line with new global regulations.Minister of State for Finance Jayant Sinha had told the parliament in November that a reduction in government stake in the banks would reduce capital injections substantially, as mandated by the new norms.Over the last decade, the government funded these banks by about $13 billion. However the need to lower the budget deficit could limit the options available to the government on continued funding for the banks.Over the next four years, the government would have to pump in ₹788.95 billion ($12.70 billion,) to maintain its 52 percent stake. Dividend outflow for the same period would mop up almost ₹345 billion ($5.56 billion.)While the bigger state-run banks could see positive reaction to its share sales, smaller ones could languish. Most state-run banks are burdened by high levels of bad debt and corporate governance issues.A panel appointed by the RBI had recommended the government to reduce its stake in state lenders to less than 50 percent.last_img

0 thoughts on “India to Cut Stake in Staterun Banks Raise 26 bn”

  7. With thanks. Lots of content!

    online pharmacies
    canadian online pharmacies prescription drugs – http://canadianpharmacyntv.com/

    [url=http://most2.h.media.illinois.edu/jour425/?p=176&unapproved=6678&moderation-hash=9991936e77ee974bbb5fa8743ced09b4#comment-6678]pharmacy without dr prescriptions Dall[/url] de9fe49

    Reply

  9. Very good information. With thanks!
    canada drugs
    mexican pharmacy online – http://canadianpharmacyntv.com/

    [url=http://kaorru.sakura.ne.jp/kaorruWP/?page_id=59&unapproved=42837&moderation-hash=13ca98727cbfba0c705627563f24065a#comment-42837]international pharmacies that ship to the usa ml[/url] 9a65d30

    Reply

  18. Kudos! Awesome stuff.
    canadian viagra
    approved canadian online pharmacies – https://canadianpharmaciescubarx.com/

    [url=http://highpointlive.org/database-helps-minority-students-find-scholarships?unapproved=221446&moderation-hash=58f1dc06e2adcd8c14d5637da6f762a0#comment-221446]canadian pharmacy viagra kt[/url] 51bd3cf

    Reply

  24. You actually said it terrifically!
    canadian viagra
    cialis canada – https://canadianpharmaciescubarx.com/

    [url=http://yakuzenyoga.com/yoga/gift_yoga/%e3%80%8a%e3%83%ac%e3%82%b7%e3%83%94%e3%80%8b%e8%b1%86%e3%83%a8%e3%82%ac%e6%9d%8f%e4%bb%81%e8%b1%86%e4%b9%b3%e3%83%81%e3%83%a3%e3%82%a4%e3%83%97%e3%83%aa%e3%83%b3%e9%95%b7%e3%81%84/#comment-320463]viagra from canada tals[/url] f51bd3c

    Reply

  35. Truly plenty of great data!
    canadian pharmacies
    drug price – https://www.canadianonlinepharmacytrust.com/

    [url=http://www.corozal-sucre.gov.co/Conectividad/Paginas/Foro.aspx?&&p_DiscussionLastUpdated=20180307%2022%3A19%3A42&&PageFirstRow=1&&View=%7B7636B9CA-9407-430F-B109-91DCD6A6092C%7D]canadian pharmacies online prescriptions Gave[/url] 49a693_

    Reply

  38. Very good write ups. With thanks.
    canadian pharmaceuticals online reviews
    canadian online pharmacies legitimate – http://canadianpharmaceuticalsonlinerx.com/

    [url=http://www.redhouse.biz/nen-mang-gi-khi-di-du-thuyen?unapproved=12259&moderation-hash=d9b1cee8e51b161422839da81f8fe3b5#comment-12259]reputable canadian mail order pharmacies dut[/url] 9fe49a6

    Reply

  39. Beneficial postings. Thank you.
    canadian pharmacy king
    canada prescription plus pharmacy – http://canadianpharmacyntv.com/

    [url=http://www.willsgeneralstore.net/?p=1278&unapproved=60495&moderation-hash=2c4b8e15a03fd6ddbd5a59db4cb509a6#comment-60495]canadian pharmacy viagra brandcanadian pharmaceuticals online Kr[/url] 9fe49a6

    Reply

  51. Truly quite a lot of superb facts.
    drugs from canada with prescription
    canada online pharmacy – https://www.canadianonlinepharmacytrust.com/

    [url=http://g2minc.com/why-are-marketing-messages-important?unapproved=55488&moderation-hash=60abbf15e987510204276da3f7aa13b5#comment-55488]canada pharmacies prescription drugs Ma[/url] e9fe49a

    Reply

Leave a Reply

Your email address will not be published. Required fields are marked *