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Allahabad Bank, Dhanlaxmi Bank, Corporation Bank Removed from PCA Framework
February 28, 2019
This Tuesday, the Reserve Bank of India (RBI) announced that it has removed Allahabad Bank, Dhanlaxmi Bank, Corporation Bank from the Prompt Corrective Action (PCA) framework.
The central bank said that after the government infused fresh capital into the various state-owned banks under the PCA framework, the Board for Financial Supervision (BFS) reviewed the performance of the lenders. The board found that the loan loss provision of Allahabad, Dhanlaxmi, and Corporation Bank was increased and their capital funds shored up which ensured that their PCA parameters were in compliance.
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