NEW DELHI: Following the announcement on August 23 to boost the sluggish economy, Finance Minister Nirmala Sitharaman on Friday announced the mega consortium plan of state-owned banks. He said, in the coming time, 10 public sector banks will be merged and four big banks will be formed. Punjab National Bank, Oriental Bank of Commerce and United Bank of India will be merged to form the country's second-largest bank with a turnover of Rs 17.95 lakh crore.
Finance Minister said that Canara Bank and Syndicate Bank will be merged to become the fourth largest government bank with a business of Rs 15.20 lakh crore. In addition, Andhra Bank and Corporation Bank will be merged into the United Bank of India to create the fifth-largest state-owned bank in the country. Finance Minister Nirmala Sitharaman has said that the Indian Bank, Allahabad Bank will be merged to create the seventh-largest state-owned bank in the country with a business of Rs 8.08 lakh crore.
Announcing the reforms, Nirmala Sitharaman said, the Centre is committed to make India an economy of 5 lakh million dollars and a roadmap is ready for it. "The government has taken a number of measures to support the NBFC. The focus of the Government is on strengthening the banking sector. The finance minister said 8 state-owned banks have launched repo rate linked loans. Improving the disbursement of loans is the priority of the government.
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