
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.
More than 140 crore Indians are eager to welcome astronaut Shubhanshu Shukla, who made India prou
The discussion of 'One Country One Election' has started once again in the country. A committee w
With which actress Salman Khan was going to marry, even the wedding cards were divided
Salman Khan is still one of the bachelors of the film industry, but to date, Salman Khan has not
Kejriwal tells volunteers to 'Chill', Relax
New Delhi, Feb 8 (IANS) A day after the Delhi assembly polls, Aam Aadmi Party (AAP) leader Arvi
Prime Minister Narendra Modi will inaugurate the Rising Rajasthan Global Investment Summit 2024 o
Union Health Secretary Rajesh Bhushan gave his response on Wednesday regarding India's preparedne
In a significant move aimed at protecting the integrity of the NEET UG 2026 re-examination, the C
Fight to save soul of the struggle: Yadav
New Delhi, March 27 (IANS) AAP leader Yogendra Yadav on Friday said he along with fellow leader
'India-Italy friendship is deep...', what else did Meloni say after meeting PM Modi?
Prime Minister Narendra Modi is on a visit to Canada. Yesterday he participated in the G-7 summit
In IPL 2022, the match between Rajasthan Royals and Sunrisers Hyderabad was played on Tuesday. Ra