Rs.22, 915 crore allocated for the capitalization needs of Public Sector Banks during the year 2016-17
In line with the announcements made under Indradhanush and the Union Budget, Government has undertaken an exercise to assess the capitalization needs of Public Sector Banks during the year 2016-17. The capital infusion exercise for the current year is based on an assessment of need as assessed from the CAGR of credit growth for the last five years, banks’ own projections of credit growth and an objective assessment of the potential for growth of each Public Sector Bank.
Consequent upon the above exercise, 75% of the amount collected for each bank is being released now to provide liquidity support for lending operations as also to enable banks to raise funds from the market. The remaining amount, to be released later is linked to performance, with particular reference to greater efficiency, growth of both credit and deposits and reduction in the cost of operations. Total Rs.22, 915 crore is being allocated to following banks at present.
|Name of Bank||Amount (in crore)|
|2||Bank of India||1784|
|4||Central Bank of India||1729|
|7||Indian Overseas Bank||3101|
|8||Punjab National Bank||2816|
|9||State Bank of India||7575|
|12||Union Bank of India||721|
|13||United Bank of India||810|