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Center to Ensure Banks Meet Minimum Capital Requirements
May 28, 2018
A senior government official said that the center will ensure that all the public sector banks (PSBs) maintain the minimum capital requirements set by the Reserve Bank of India (RBI).
After the central bank removed more than a few loan restructuring schemes for the PSBs to speed up the bad debt recovery in February this year, the majority of lenders reported massive losses in the quarter ending in March.
Financial Services Secretary Rajeev Kumar said that New Delhi won’t allow lenders to default at any cost. He also said that the funds promised under the recapitalization scheme are sufficient for the PSBs.
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