In the Union Budget announced in February, the Narendra Modi government had announced the privatization of two public sector banks. Under this, the government is now planning to sell its stake in Central Bank of India (CBI) and Indian Overseas Bank (IOB). A few days ago, the government’s think tank NITI Aayog had submitted the final list of names of those public sector banks to the Core Group of Secretaries on Disinvestment. However, now news is also coming from Times of India sources that Bank of India (BoI) can also be a possible candidate in this sale. That is, the name of Bank of India is also appearing in the list of privatization.
According to media reports, the Department of Financial Services is currently reviewing the proposal of NITI Aayog. The exercise is part of a process to finalize the entities to be taken up for privatization. NITI Aayog has been given the responsibility of what will be the name of these banks after privatization.
These people are now considering the decision of privatization
According to sources in the Finance Ministry, the proposal of NITI Aayog is currently being considered in the Departments of Disinvestment (DIPAM) and Financial Services. But soon a decision will be taken regarding this. After the recommendation of the NITI Aayog, the main group of secretaries constituted under the chairmanship of the Cabinet Secretary will consider it. Apart from the cabinet secretary, the members of this committee include economic affairs secretary, revenue secretary, expenditure secretary, corporate affairs secretary, legal affairs secretary, public undertaking secretary, investment and public asset management department (DIPAM) secretary and administrative department secretary. Are included. Let us inform that NITI Aayog has been entrusted with the responsibility of selecting the names of two public sector banks and one insurance company for privatization.
NITI Aayog is considering these names for privatization
Before finalizing the scheme, the government will also consult the RBI as laws and regulations provide for a special arrangement for state-run entities in many areas. Let us tell you that the Modi government had recently approved the proposal to sell government stake in IDBI Bank. The government expects to complete this work in this financial year. For privatization, NITI Aayog is eyeing 6 banks that were not involved in the merger. This includes Bank of India, Indian Overseas Bank and Central Bank, besides Bank of Maharashtra, Punjab and Sind Bank and UCO Bank.