Setback for Bandhan Bank as RBI freezes opening of new branches

The Reserve Bank of India (RBI) has withdrawn the general permission given to Bandhan Bank to open new branches and it can now do so only with prior approval of the central bank. In a communication to the BSE on Friday, the bank said. "RBI has communicated to us that since the bank was not able to bring down the shareholding of Non Operative Financial Holding Company (NOFHC) to 40 per cent as required under the licensing condition, general permission to open new branches stands withdrawn and the bank can open branches with prior approval of RBI."