
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.
The Enforcement Directorate (ED) on Tuesday called Rahul Gandhi again for questioning in the Nati
Bengal summer camp to coach elderly on internet use
Kolkata, March 24 (IANS) Senior citizens who find it difficult to grapple with basic computing
The company has increased the price of Xiaomi's Redmi Note 10 Pro, one of the biggest smartphone
At least 19 people were killed and 23 injured in separate bomb attacks in two Somalia cities on W
In the capital Delhi (Weather Update Today), the weather pattern is going to change today, becaus
OnePlus Nord vs Google Pixel 4a: know how much is there, what is its features and price
OnePlus Nord is still the cheapest 5G smartphone in India. Apart from this, it is also a very goo
Haryana, BJP come out openly for Jat reservation
Chandigarh, March 24 (IANS) Haryana's ruling Bharatiya Janata Party (BJP) and its government ha
During the funeral of Mukhtar Ansari, there was chaos when his supporters broke the barricades to
VK Singh: 'Wait, PoK will be found in India on its own', big statement of Union Minister VK Singh
Union Minister VK Singh addressed a press conference in Rajasthan. During this, along with target
Comedian Kapil Sharma has entered the cinema halls with his film 'Zwigato'. This is the third fil