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of <h1>Government Infuses Capital into Public Sector Banks to Boost Credit Support; Cabinet Approves Funding for Three Banks.</h1> The government announced a capital infusion plan to recapitalize public sector banks, aiming to maintain a comfortable Capital to Risk (Weighted) Assets Ratio (CRAR) to support credit needs in productive sectors. The Cabinet approved funding for Central Bank of India (Rs. 1400 crore), UCO Bank (Rs. 1200 crore), and Vijaya Bank (Rs. 1200 crore). The government will subscribe to Tier-I innovative capital instruments issued by these banks, with the first tranche in 2008-09 expected to be Rs. 1650 crore.
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