The four banks on the shortlist are Bank of Maharashtra, Bank of India, Indian Overseas Bank and the Central Bank of India, two officials told Reuters on condition of anonymity as the matter is not yet public.
The government is considering mid-sized to small banks for its first round of privatisation to test the waters. In the coming years it could also look at some of the country s bigger banks, , privatisation, india, bank of maharashtra, bank of india, indian overseas bank, central bank
Bank of India among four banks shortlisted for potential privatisation: Report
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Manoj Kumar,
, Reuters
The other three banks on the shortlist are Bank of Maharashtra, Indian Overseas Bank and the Central Bank of India, according to a report
The govt is considering mid-sized to small banks for its first round of privatisation to test the waters
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India s government has shortlisted four mid-sized state-run banks for privatisation, under a new push to sell state assets and shore up government revenues, three government sources said.
Privatisation of the banking sector, which is dominated by state-run behemoths with hundreds of thousands of employees, is politically risky because it could put jobs at risk but Prime Minister Narendra Modi s administration aims to make a start with second-tier banks.
(Representative image)
NEW DELHI/MUMBAI: The government has shortlisted four mid-sized state-run banks for privatisation, under a new push to sell state assets and shore up government revenues, three government sources said.
Privatisation of the banking sector, which is dominated by state-run behemoths with hundreds of thousands of employees, is politically risky because it could put jobs at risk but Prime Minister Narendra Modi s administration aims to make a start with second-tier banks.
The four banks on the shortlist are Bank of Maharashtra, Bank of India, Indian Overseas Bank and the Central Bank of India, two officials told Reuters on condition of anonymity as the matter is not yet public.
Digital lender LoanTap has entered into a strategic partnership with Bank of Maharashtra for extending loans to micro, small and medium enterprises (MSMEs).
Under the co-lending model, LoanTap will bear the 20 per cent exposure while the rest 80 per cent will be borne by the bank.
Co-origination of loans as a scheme was introduced by the Reserve Bank of India (RBI) in 2018 to make non-banking finance companies and other banking institutions work closely with an increased focus on providing services like risk assessment to each other.
The co-lending model introduced as a revision in November 2020 provides greater flexibility to lenders and aims to enhance credit for the unserved and underserved sectors.