25 per cent staff of PSU banks to retire by 2020: Jayant Sinha

The government today said that an average 25 per cent of the total staff presently working in public sector banks will retire over the next five years."On an average, about 25 per cent of officers and employees would retire by 20202 in PSBs," Minister of State for Finance Jayant Sinha said in written reply in the Rajya Sabha.PSBs assess and anticipate vacancies including retirements annually and take necessary action to fill the same including intimating their requirement to Institute of Banking Personnel Selection ( IBPS) for making allotment...

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LIC unveils two new plans

Life Insurance Corporation (LIC) launched two new plans- Jeevan Sangam a savings cum protection single premium plan and a new children’s money back plan.LIC’s Jeevan Sangam is a participating, non-linked, savings cum protection single premium plan wherein the risk cover is a multiple of single premium. The proposer will have an option to choose the Maturity Sum Assured. The single premium payable (exclusive of service tax) will depend on the chosen amount of Maturity Sum Assured and age of the life assured. The plan will be open for sale for...

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PSBs should look at alternatives beyond govt infusion: RBI

Welcoming the Government’s move to selectively allocate capital to lenders, Reserve Bank Deputy Governor R Gandhi today said PSBs will have to look at alternatives beyond the Centre’s support for raising money going forward.“Going forward, banks will definitely need more capital which we are emphasising, and banks will have to find other methods of capital as well, not just relying on the Government,” Gandhi told presspersons, replying to a question on the Budget proposal to decrease the recapitalisation amount at Rs. 7,940 crore in FY16 from...

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Moody’s downgrades Central Bank, IOB

Moody's today downgraded two banks to below investment grade in possibly the start of similar rating revisions for other weaker state-owned lenders.The agency downgraded to Ba1 from Baa3 its ratings on local and foreign-currency deposits of Central Bank of India and Indian Overseas Bank. IOB's senior unsecured debt was also downgraded to Ba1 from Baa3.Moody's action reflect its assumption of a lower level of support from the Government, which is rated Baa3/BBB-/BBB-.State supports typically gives a lift of anywhere between 2 and 6 notches to...

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IFC to invest $50 m in YES Bank’s Green Bonds

International Finance Corporation (IFC), Washington, plans to invest up to $50 million in Green Bonds to be issued by YES Bank.In addition, IFC will also give a $50-million long-term financing line to the private sector bank for on lending to women-owned small and medium-sized enterprises.  In a project report, IFC said the financing will flow to target customers of YES Bank in different parts of India.New asset classIFC’s investment is expected to generate support and confidence in the Green Bond market which is a new asset class in India...

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Ranjan Dhawan given additional charge as MD & CEO of Bank of Baroda

The Appointments Committee of the Cabinet has entrusted Ranjan Dhawan, Executive Director, Bank of Baroda (BoB), additional charge of the Managing Director & CEO of the public sector bank for a period of three months.Dhawan took additional charge as MD & CEO of BoB on February 27. The appointment is for a period of three months with effect from the date of issue of the Cabinet’s order (February 26, 2014) or till the date of appointment of regular incumbent or till further orders, whichever is the earliest.Early last month, Gauri Shankar,...

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FinMin wants PSU banks to consolidate, merge

In a step towards consolidation, the Government wants banks to consider merger. It has also proposed more transparency in the appointment of independent director on the bank board.“The Government wants to encourage Bank Boards to restructure their business strategy and also suggest a way forward for their consolidation and merger with other banks if it is a win-win for both,” the Finance Ministry said in a statement discussing reform measures for public sector banks. At present, there are 27 public sector banks including State Bank of India...

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