India: Government to infuse INR200bn in India’s state-run banks

• The government on 14 Sep 20 sought Parliament’s approval for infusing INR200bn in public sector banks in the current financial year to meet regulatory requirements.
• This is part of the first batch of Supplementary Demands for Grants for 2020-21 moved by Finance Minister Nirmala Sitharaman in the Lok Sabha.
• In all, the government has sought Parliament’s nod for additional spending of INR2.35tr, which includes a cash outgo of INR1.66tr, primarily to meet expenses for combating the COVID-19 pandemic.
• In 2019-20, the government proposed to make INR700bn capital infusion into the Public Sector Banks (PSBs) to boost credit for a strong impetus to the economy.

External Link : https://economictimes.indiatimes.com/news/economy/policy/government-to-infuse-rs-20000-crore-in-indias-state-run-banks/articleshow/78102820.cms