News
India allows state-run banks to sell shares for capital boost
India allows state-run banks to sell shares for capital boost
![]()
By Elets News Network 11-December-2014
The state-run banks have been allowed to raise as much as 1.6 trillion rupees ($26 billion) from share sales to boost capital.
The government has decided to cut its ownership in banks to as low as 52 percent in a “phased manner” in order to curb slowdown in credit growth.
Excluding dividends received from the lenders, budgetary support may be 444 billion rupees in 2015 to 2019.
The government holds a 59 percent stake in the country’s largest lender State Bank of India (SBI). State shareholdings range from as high as 84 percent in Central Bank of India to as low as 56 percent in Bank of Baroda (BOB).
Be a part of Elets Collaborative Initiatives. Join Us for Upcoming Events and explore business opportunities. Like us on Facebook , connect with us on LinkedIn and follow us on Twitter, Instagram.
