FM Sitharaman said on Wednesday that the government is trying to create big next-generation #banks. The government’s intention is to not just give capital but also give good governance. The #government will also separate sanctioning and monitoring of #loans and will form special agencies to monitor loans.
✔Allahabad Bank and Indian Bank will have the lowest Non-Performing Assets, high Provisioning Coverage Ratio and strong Current account and Savings Account ratio. Indian Bank might see a fall in its asset quality due to Allahabad Bank’s unhealthy loan book ratios.
✔Syndicate Bank and Canara Bank share a similar #culture and global reach. The merged entity will become the 4th largest lender in the country with a better combined PCR.
✔The merger between Union Bank of India, Andhra Bank, and Corporation Bank will improve the PCR of the combined entity but will have the highest gross NPA ratio.
After this move, the total number of PSBs in the country will come down to 12 from 27 in 2017.
