Government may frontload its Bank Recapitalisation Plan
SECTIONS
Share
Synopsis
Additionally, when the government selects the two candidates for bank privatisation, it may shore up their capital to strengthen their balance sheets and make them more attractive to prospective investors.
Agencies
In a recent report, India Ratings and Research noted that equity infusion in four public sector banks through non-interest-bearing bonds would bolster their regulatory capital levels, but their lower intrinsic values would not strengthen their tangible equity by as much.
INSIGHTS
NSE
Explore Now
The government may frontload its bank recapitalisation plan this year to strengthen weaker lenders and further support its privatisation strategy.