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Govt to Infuse ₹830 bn into Public Sector Banks
December 22, 2018
The central government is preparing to inject ₹830 billion into the public sector banks (PSBs) before the end of the financial year 2018-19. This will take the net funds infused into PSBs this year to ₹1.06 trillion. Currently, the government is seeking approval for ₹410 billion from the Parliament.
Finance Minister Arun Jaitley said that the capital infusion is aimed at improving the financial condition of the better-performing banks that are under prompt corrective action (PCA) so that they can come out of this framework. Financial Services Secretary Rajiv Kumar said that 4-5 PCA banks are likely to come out of the framework.
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