Cabinet Secretary clears name for privatization of banks, probably IOB and CBI being candidates

In a panel which was headed by the Cabinet Secretary has cleared off the names of the banks run by state for privatization.

The CBI (Central Bank of India) and the IOB (Indian Overseas Bank) are candidates which are likely for disinvestment. The finance ministry on the other hand is also working towards the legislative amendments for the privatization of all the public sector banks.

Separately reported by the PTI that this meeting of this high-level panel deliberated on the recommendations of the NITI Aayog on 24th June. The list of PSBs and AM which were considered by the panel will be shortlisted shortly.

According to some sources, the panel had also examined the issues that were pertaining to the protection of interest rates of workers of the bank which were likely to privatized.

Lastly the government has also budgeted an amount of Rs 1.75 lakh crore from the sales stake in these public sector companies and financial institutions, including two PSU banks.

In Sitharaman’s Speech which was on 1st of February, she had also announced that the government will be proposing to take up the privatization of the two public sector banks and one general insurance company in the upcoming year of 2021-2022.