CPI opposes privatisation of nationalised banks, writes to FM Sitharaman

CHENNAI: CPI General Secretary D Raja has written a letter to Union Finance Minister Nirmala Sitharaman on Saturday expressing strong opposition to any move to privatise nationalised banks and sought a statement from the government clarifying its position on the matter.

“Our opposition to privatisation of banks is on account of the fact that our banks represent huge public savings of the common masses and only the government can safeguard these precious savings,” Raja said in the letter. 

“Large scale failure of many private banks earlier was one of the reasons that necessitated nationalisation of banks,” Raja added. “Further, at a time when many private corporate companies are becoming major loan defaulters, it would be imprudent to hand over the banks to private hands, whose efficiency is also not guaranteed going by the recent experiences of some of the private Banks,” he added.