In the new year, the government will improve the condition of banks: more and more banks in banks

In October this year, the government had announced a huge amount of Rs 2.11 lakh crore in banks. In the banks, the capital will be credited to two years i.e. 2019.

New Delhi: To improve the condition of the banks of the country, the government is contemplating putting more capital into them. At the same time, the government can also continue the connection of banking reforms in the new year. The Government intends to invest in PSU banks' banks with the burden of non-performing assets (NPAs), to increase the demand for loans. At present, the loan growth rate has gone upto 25 years.

In October, the
government had announced to place a huge amount of Rs 2.11 lakh crore in banks in October this year, to raise the capital of Rs 2.11 lakh crore. In the banks, the capital will be credited to two years i.e. 2019. NPA of PSU banks has more than doubled in June 2017 to Rs 7.33 lakh crore, which was at Rs 2.75 lakh crore in March 2015. Out of the Rs 2.11 lakh crore package given to banks, 1.35 lakh crores will be deposited through recaptilation bonds. To curb the NPAs of banks, the government has issued two Ordinance Banking Regulation (Amendment) Ordinance, 2017 and Bankruptcy Dispute and Sanitation Code (Amendment) Ordinance, 2017 this year. At the same time, the Finance Ministry will soon announce the manner in which the recapitalization bonds will be announced.

It will not be easy to
put capital in banks The task of putting money into banks will not be so easy. With the introduction of capital, the banks' board will also be strengthened and disposal of immersed debt will also be necessary. At the same time, the issues of human resources of banks will also be solved, thereby leading to complete banking in future.

The Finance Ministry has proposed to shut down the ongoing bank branches in the deficit. The Finance Ministry has
recently proposed to close some of the ongoing branches of PSU banks. Let us know that due to such branches, the impact on the entire balance sheet of banks can be seen, which is why this recommendation has been made. SBI and PNB have already closed some of their branches.

"The reform agenda is the top priority which will be implemented with capitalization," said Rajiv Kumar, financial services secretary, the top priority for the reform agenda in the banks . Many reforms will be brought to the honest lenders, which will not have any problem and they can get the loan on time according to their needs. "Kumar said that special emphasis on micro, small and medium enterprises (MSMEs), financial inclusion and employment generation. Will be noticed.

In order to strengthen public sector banks, the Union Cabinet gave in principle approval to the integration of banks under the Alternative Arrangement (AM) in August. Last month, a committee under the chairmanship of Finance and Corporate Affairs Minister Arun Jaitley, which will review the proposals for the integration of banks.