Bank Privatisation: Big news is coming about bank privatization. The central government can speed up the process of privatization of the bank. According to media reports, the central government is considering selling 51 percent stake in IDBI Bank.
Will sell stake in IDBI Bank
Let us tell you that the central government can sell stake in IDBI Bank. Let us tell you that if you add both the Central Government and LIC, then both have 94 percent stake in IDBI Bank. And the churning phase is going on about how much stake to be sold. However, the Group of Ministers will take the final decision regarding this deal. It is believed that by the end of September, the government can take a decision regarding the buyer of IDBI Bank.
How much is the share of government and LIC?
The government’s stake in IDBI Bank is 45.48 percent. At the same time, LIC holds 49.24 percent stake. It is believed that the government will sell some stake in IDBI Bank and LIC will sell some stake, along with the management control will also be handed over to the buyer. RBI can approve the purchase of more than 40 percent stake.
IDBI shares jump
Shares are seeing a rise after the news of stake sale in IDBI Bank. Share of IDBI Bank is trading at Rs 40 with a jump of 2.56 per cent. However, in the day’s trade, the stock had also touched a price of Rs 41.
Earlier, RBI Governor Shaktikanta Das has said that the role of RBI is neutral regarding the ownership of banks being the regulator of the banking sector. He said that it depends on the owners of the banks, how much shareholding they want to keep with them. How much do you want to give to others or do you want to give to the public. But the role of RBI is neutral regarding the ownership of banks. In fact, last week, an article was published in the RBI bulletin on the government’s decision to privatize state-run banks, questioning privatization.
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