Taking a big decision, the central government has announced a merger of several banks. With this big announcement by the central government, now the number of public sector banks in the country will come down to 12. While Dena Bank and Vijaya Bank merged at the beginning of this financial year, a total of four major mergers, including 10 banks, were announced on Friday.
Finance Minister Nirmala Sitharaman announced the merger of banks on Friday. He said that United Bank, Oriental Bank of Commerce and Punjab National Bank will merge. On the other hand, Canara Bank and Syndicate Bank will merge. The third major merger will be Union Bank, Andhra Bank, and Corporation Bank, while Indian Bank will merge with Allahabad Bank.
Now instead of these 10 banks, there will be only four nationalized banks, while the number of state-run banks in the country will be only 12, including the eight other nationalized banks already in place. Let us know which government banks will be left in the country now:
Pre-existing public sector banks which exist alone
- State Bank of India (SBI)
- Central Bank of India
- Bank of India
- Bank of Maharashtra
- Uco bank
- Punjab and Sindh Bank
- Indian Overseas Bank
- Bank of Baroda (After the merger of Dena Bank and Vijaya Bank)
According to the new announcement of the central government, these banks are merging
- Punjab National Bank + Oriental Bank of Commerce + United Bank
- Canara Bank + Syndicate Bank
- Union Bank of India + Andhra Bank + Corporation Bank
- Allahabad Bank + Indian Bank
Learn, what announcements did Finance Minister Nirmala Sitharaman make
50 years ago on July 1969, the then Prime Minister Indira Gandhi nationalized 14 private banks. Many private and nationalized banks grew in five decades and now after the central government’s new announcement, there will be 12 government banks in the country. After the merger, the total business of these banks will be Rs 55.81 lakh crore. After the merger of banks, their ranking will also increase.
Major announcements of Finance Minister:
- The Finance Minister said that the banks have made announcements in the interest of consumers.
- The merger of Oriental Bank of Commerce and United Bank into Punjab National Bank.
- Canara Bank and Syndicate Bank will merge.
- Indian Bank and Allahabad Bank will merge.
- Union Bank, Andhra Bank, and Corporation Bank will merge.
- The number of public sector banks declined from 18 to 12.
- Work continues on the five trillion dollar economy.
- Three lakh fake companies have been closed.
- Many major reforms have been made in banks.
- Banks will operate with good management.
- Will keep an eye on the loan of more than 250 crores.
- Agency will be formed to monitor large loans.
- Action will continue on the property of the fugitives.
- Scheme of more loan in less time.
- Vigilance to stop cases like Nirav Modi.
- So far eight public sector banks have introduced repo rate based interest rate.
- Four NBFCs have received help from public sector banks in difficult circumstances.
- NPAs of banks have declined.
- NPA has come down to Rs 7.90 lakh crore.
- 14 out of 18 state-run banks have increased profits.
- Employees in banks have not been retrenched.
- Loan recovery is at a record level.