New Delhi, Feb 7 (IANS) The government has decided to infuse Rs.6,990 crore in nine public sector banks (PSBs), out of the current year's budget, for which orders are being issued, an official statement said here Saturday.
"This year, the government of India has adopted a new criteria in which the banks which are more efficient would only be rewarded with extra capital for their equity so that they can further strengthen their position," the statement said.
The methodology for arriving at the amount to be infused in these banks has been based on efficiency parameters.
"First of all, weighted average of return on assets (ROA) for all PSBs for last three years put together was arrived at and all those who were above the average have been considered.
"The second parameter that has been used is return on equity (ROE) for these banks for the last financial year. Those who have performed better than average have been rewarded," it added.
Stating that the central government is conscious of the fact that a lot of reforms are required in the PSBs, it arranged for the recent two-day retreat of chairman and managing directors of banks and financial institutions called 'Gyan Sangam' at Pune Jan 1 and 2, 2015.
"One of the general principle adopted during the Retreat was that efficient banks should be encouraged. For the last few years, Government of India has been infusing capital to those banks whose equity erosion has taken place," it said.
Therefore, this year, the government has adopted this new criteria in which the banks which are more efficient would only be rewarded with extra capital for their equity so that they can further strengthen their position, it added.
The banks that got infusion are - State Bank of India, Rs.2,970 crore; Bank of Baroda, Rs.1,260 crore; Punjab National Bank, Rs.870 crore; Canara Bank, Rs.570 crore; Syndicate Bank, Rs.460 crore; Allahabad Bank, Rs.320 crore; Indian Bank, Rs.280 crore; Dena Bank, Rs.140 crore and Andhra Bank, Rs.120 crore.
Entry of AAP MLAs banned in Delhi Assembly; Atishi sits on dharna; says- BJP has crossed all limits.
AAP MLAs have not been given entry into the Delhi Assembly today on Thursday. On the other hand,
CAG raps Odisha over Phailin relief
Bhubaneswar, Feb 12 (IANS) The Comptroller and Auditor Ge
The National Technical Advisory Group on Immunization in India i.e. NTAGI will also prepare a com
Former Indian cricketer and chairman of the Uttar Pradesh Senior Selection Committee, Praveen Kum
Rajasthan Royals team will play its 13th match on Wednesday against Punjab Kings, who are out of
Indian team's wicketkeeper-batsman Ishan Kishan returned to playing competitive cricket after 3 m
Crakk Screening: Arjun Rampal's magic in the screening of Crakk, these stars graced the red carpet
Vidyut Jamwal and Arjun Rampal's much-awaited action thriller film 'Crakk: Jeetega To Jeega' has
Samsung Galaxy M53 launch date in India final, know when and with which features it will be launched
Samsung recently took the wraps off its new Galaxy M53 in the global market and now it is prepari
Pakistan, trapped in an economic crisis, is also slowly moving forward on the path of becoming Sr
Once again in the politics of Maharashtra, the echo of the disputed structure of Ayodhya, Babri M
