Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.

    SUBMIT

Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence

Disclaimer:

Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
SPONSORED BY
LIVE TV DownloadNews18 App
News18 English
»
1-min read

PSU Banks May get Rs 70,000 Crore Through Recap Bonds This Fiscal

Non-performing assets (NPAs) of public sector banks alone have increased from Rs 2.75 lakh crore in March 2015 to Rs 7.33 lakh crore as on June 2017.

PTI

Updated:November 5, 2017, 4:29 PM IST
facebookTwittergoogleskypewhatsapp
PSU Banks May get Rs 70,000 Crore Through Recap Bonds This Fiscal
File Image of Finance Minister Arun Jaitley. (PTI photo)
Loading...
New Delhi: The finance ministry may infuse about Rs 70,000 crore through recapitalisation bonds in the NPA-hit public sector banks in the next four months, sources said.

Last month, Finance Minister Arun Jaitley had announced an unprecedented Rs 2.11 lakh crore two-year road map for strengthening public sector banks. The plan included re-capitalisation bonds of Rs 1.35 lakh crore. Currently, the government is in the process of finalizing the structure of bonds and decision in this regard could be made by the end of this month.

The finance minister had said that there were multiple options before the government for recapitalisation bonds and they are being examined and the best ones would be explored. Once the structure is in the place, the government would front load bond issuance and preliminary assessment indicates that it could be between Rs 70,000 and Rs 80,000 crore, the sources privy to the development said.

However, nothing has been finalised yet, the official sources said, adding that the finance ministry would get better picture of requirements of various banks after the second quarter results are out. Non-performing assets (NPAs) of public sector banks alone have increased from Rs 2.75 lakh crore in March 2015 to Rs 7.33 lakh crore as on June 2017.

Besides recapitalisation bonds, the finance minister had announced that banks would get about Rs 18,000 crore under the Indradhanush plan over the next two years.

Under Indradhanush road map announced in 2015, the government had announced to infuse Rs 70,000 crore in state-run banks over four years while they will have to raise a further Rs 1.1 lakh crore from the markets to meet their capital requirement in line with global risk norms, known as Basel-III.

In the last three-and-half years, the government has pumped in Rs 51,858 crore capital in the public sector banks. Remaining Rs 18,142 crore would be pumped into banks over two years.
| Edited by: Aakarshuk Sarna
Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwittergoogleskypewhatsapp
 
T&C Apply. ARN EU/04/19/13626
 

Live TV

Loading...
Countdown To Elections Results
  • 01 d
  • 12 h
  • 38 m
  • 09 s
To Assembly Elections 2018 Results