Press Information Bureau

Government of India

Ministry of Finance

16-March-2012 14:05 IST

Rs 15,888 Crore Provided for Capitalization of Public Sector Banks/RRBS and Other Financial Institutions

A provision of Rs 15,888 crore has been kept in the Union Budget 2012-13 for Capitalization of Public Sector Banks, Regional Rural Banks (RRBs) and other Financial Institutions including NABARD. Making the announcement during his Budget Speech in the LokSabha today, the Union Finance Minister ShriPranab Mukherjee said that government was also considering the possibility of creating a financial holding company which will raise resources to meet the Capital requirements of Public Sector Banks.

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DSM/RC/SKS/9

Capitalization of public sector banks: budgetary provision announced and financial holding company proposed to mobilise capital. Provision for capitalization of Public Sector Banks, Regional Rural Banks and other financial institutions including NABARD is made in the Union Budget, and the government is considering creation of a financial holding company to mobilise resources to meet the capital requirements of Public Sector Banks.