Top News
Jaitley rules out privatisation of state-run banks
New Delhi, Feb 24 (IANS) Following the Rs 11,300 crore Punjab National Bank fraud by accused diamond trader Nirav Modi, Finance Minister Arun Jaitley on Saturday ruled out privatisation of public sector banks (PSBs), saying the move may not find political consensus.
In light of the PNB scam that has rocked the Indian banking system since February 14, the industry chambers Ficci, Assocham and CII have urged the government to surrender its majority control of banks and allow them to function like private sector lenders.
“This (privatisation) involves a large political consensus. Also, that involves an amendment to the law (Banking Regulation Act), as well as amendment in the political consensus,” Jaitley said at the ET Global Business Summit here.
“My impression is that Indian political opinion may not find favour with this idea itself. It’s a very challenging decision,” he said.
Industry chamber Assocham said last week that the PNB scam should act as a “strong trigger” for the government to surrender its majority control of banks which should then be allowed to work on the lines of private sector lenders with a full sense of accountability to their shareholders and protecting interest of depositors.
Noting that recapitalisation of state-run banks over the last decade has had little impact on improving their health, the Federation of Indian Chambers of Commerce and Industry (Ficci) called for their privatisation in the interest of creating “a dynamic banking sector” in the country.
Jaitley said the question of “moral hazard” comes up in using taxpayers money to recapitalise banks that are hugely stressed on account of their accumulated non-performing assets (NPAs), or bad loans.
The accumulated NPAs in the Indian banking system have crossed a staggering Rs eight lakh crore, with PSBs themselves accounting for over Rs seven lakh crore of bad loans.
In the face of this, the cabinet, in October 2017, approved a recapitalisation plan for PSBs worth Rs 2.11 lakh crore.
On Friday, Ficci President Rashesh Shah told reporters he had met the Union Finance Minister with a request to begin the process of bank privatisation in a phased manner, leaving just a handful of lenders in the public sector.
The Chief Economic Advisor (CEA) Arvind Subramanian has also advocated more private participation in public sector banks.
–IANS
bc/in/hs
Top News
Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma
World-renowned business tycoon Dr. Abhishek Verma has supported Foodman Vishal Singh’s Hunger-Free World mission. In memory of his mother, Late Veena Verma, who was a 3 term Rajya Sabha MP.
Dr. Verma dedicated a state-of-the-art free permanent shelter for the attendants of patients at KGMU Medical University, Lucknow, under the aegis of Vijay Shree Foundation. His daughter, Nicolle Verma, inaugurated the shelter.
During the event, Foodman Vishal Singh honored Nicolle Verma by presenting her with a memento. Mrs. Nidhi Sharma and Avantika Yadav, associated with the organization, welcomed her with garlands. Following this, Nicolle Verma distributed essential items to the attendants and also handed out fruits. She became emotional remembering her grandmother on her birth anniversary.
On this occasion, she also inaugurated the “Veena Verma Sevalaya” in memory of her grandmother, Veena Verma, to serve the attendants. She expressed, “I feel proud that my family is engaged in nation-building as well as social service. Today, in collaboration with Vijay Shree Foundation founder Foodman Vishal Singh Ji, I feel immensely proud to dedicate this shelter for the poor, helpless, and needy attendants of patients battling serious illnesses like cancer. I am honored to be associated with the Hunger-Free World Mission for humanity.”
Inspired by the continuous humanitarian service provided by Vijay Shree Foundation over the past 17 years, Nicolle Verma donated 10 lakh rupees to support the cause. The purpose of this donation is to ensure that services continue for the needy attendants of patients suffering from severe illnesses in hospitals, as facilitated by Foodman Vishal Singh.
It is noteworthy that Dr. Abhishek Verma’s family has a legacy of public and philanthropic service. They are helping millions to carry forward the values and service work of their parents. On the occasion of his mother’s birth anniversary, Dr. Abhishek Verma dedicated this state-of-the-art permanent shelter at Lucknow Medical College to serve the attendants of patients through the Vijay Shree Foundation.
Supporting Foodman Vishal Singh’s Hunger-Free World mission, Dr. Abhishek Verma assured that he would continually support keeping this flame of humanity alive. He also promised to assist in providing medicines to the helpless patients.
Continuing her grandmother’s legacy of service, Nicolle Verma personally served food to the needy patients and attendants. She said, “It is our good fortune to have received the joy of doing this noble work today through Foodman Vishal Singh. I have taken another step forward in carrying my family’s values and cooperation by joining hands with the Vijay Shree Foundation. My father taught me to serve and help the needy, and I feel happy when I bring a smile to someone’s face.”
On the birth anniversary of the late Veena Verma, the event organizer, Vijay Shree Foundation founder Foodman Vishal Singh, said, “We feel proud and happy that Dr. Abhishek Verma, a globally renowned business tycoon, has extended his support to uplift our country from the hunger index. Today, on his mother’s birth anniversary, he inaugurated a state-of-the-art permanent shelter at Lucknow Medical College, which will always be helpful for the needy attendants of patients. It is a pleasure for me and the organization to receive the affection of Mr. Verma.”
The event was attended by General Manager Verma Family Office Hemant Garg, Sonu Rajput, and the organization’s volunteers, including Sandeep Singh, Parmeshwar Ji, Prashant Rao Gautam, Balram Singh, Ramesh Chaudhary, Suman, Jeetu, Anil, Suraj, Vinay, Manish Bhadauria, Manas Mehrotra, Vivek, Apurv, Happy, and others.
Foodman Vishal Singh Honored for Hunger Free World Mission in Bangkok
Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma
Cheers and Cheers: Barzilla’s Joyful Ode to Inclusivity and Celebration
Casino Days Reveal Internal Data on Most Popular Smartphones
Meghalaya Reserves Legalized Gambling and Sports Betting for Tourists
IPL 20202 UPDATE: KXIP vs MI IPL Dream11 Team Prediction for Today Match, Update Point Table of all Team.
In a Live debate AAP leader Syed Asad Abbas hurls abuses to BJP spokesperson Nupur Sharma.
‘India’s Most Wanted’ trailer out Arjun Kapoor on hunt of Osama-Bin-Laden
Time to move on: Sonakshi on Shatrughan’s joining Congress
