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Wednesday, January 24, 2018

NDA Govt Unveils Recapitalisation plan for public sector banks Wednesday Jan 24,2018

The Union Government on Wednesday Jan 24,2018 announced the detailed contours of the recapitalisation plan for public sector banks (PSBs)it announced in Oct 2017  including a reforms package across six themes that cover 30 action points such as customer responsiveness, responsible banking and credit offtake.

The capital infusion plan for 2017-18 includes ₹80,000 crore through recapitalisation bonds and ₹8,139 crore as budgetary support. The bonds are to have a maturity period of 10-15 years and would be issued in six tranches. They will be non-Statutory Liquidity Ratio and non-tradable bonds priced at a three-month average plus a certain spread decided by the government

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