Skip to content
Search AI Powered

Latest Stories

With mega-merger, India to reduce state-owned lenders’ numbers to 12 from 27 

IN A BID to make state-owned banks into global-sized lenders, the Indian government announced four major mergers on Friday (30).

With the latest four major mergers, the total number of public sector lenders in the country will go down to 12 from 27 in 2017.


Making the announcements, country’s finance minister Nirmala Sitharaman said, United Bank of India and Oriental Bank of Commerce will be merged with Punjab National Bank (PNB), making it the second-largest public sector bank (PSB) in the country after the State Bank of India (SBI).

To replace the existing divided lending capacity of the 27 PSBs, there will only be 12 state-run banks post-consolidation, the minister added.

The finance minister assured that the lenders will be supplied with adequate capital.

The consolidated PNB will have a business size of Rs 17.94 trillion, becoming the second largest PSB after SBI with a business of Rs 52.05 trillion.

The Southern India-founded Syndicate Bank will be merged with Canara Bank, whereas Allahabad Bank will be amalgamated with Indian Bank.

Andhra Bank and Corporation Bank will be consolidated with Union Bank of India.

The merged Canara Bank will be the fourth largest lender with a business size of Rs 15.2 trillion, followed by Union Bank of India at Rs 14.59 trillion.

After the merger with Allahabad Bank, Indian Bank will be the seventh largest state-lender with a business size of Rs 8.08 trillion.

Country’s financial services secretary Rajiv Kumar, commenting on the latest move, said: "Employees will only benefit with the mergers.”

“There was no retrenchment in the past consolidations, including of SBI, and the service conditions of the employees improved,” he added.

Dena Bank and Vijaya Bank were merged with Bank of Baroda earlier this year. Bank of Baroda has a business of Rs 16.13 trillion.

India had also amalgamated five associate banks of SBI and Bharatiya Mahila Bank with India’s largest public-sector lender.

More For You

indian-rupee-iStock

The RBI has been intervening in the forex market to manage volatility in the rupee. (Representational image: iStock)

India's forex reserves dip to eight-month low amid rupee weakness

INDIA's foreign exchange reserves have dropped for the fourth consecutive week, reaching an eight-month low of £516.26 billion as of December 27, according to data from the Reserve Bank of India (RBI) released on Friday.

The reserves fell by £3.31 bn during the reported week, following a cumulative decline of £11.05 bn over the preceding three weeks.

Keep ReadingShow less
UK EV sales hit record but miss targets

The battery of an electric car is recharged at a roadside charging station in London, England. (Photo by Leon Neal/Getty Images)

UK EV sales hit record but miss targets

THE UK car industry sold a record number of all-electric vehicles in 2024 but still fell short of the government's mandated targets, an industry trade body said Saturday (4).

Battery electric vehicles made up 19.6 per cent of new cars sold last year, said the Society of Motor Manufacturers and Traders, which was below the government's 22-per cent target for carmakers.

Keep ReadingShow less
Shein and Temu questioned over labour practices

Olivia Hawkins attends the launch of the SHEIN pop-up store at Liverpool (Photo by Anthony Devlin/Getty Images for SHEIN)

Shein and Temu questioned over labour practices

FAST-FASHION online retailer Shein, which is hoping to list in London, faces a UK hearing on Jan. 7 where a British parliamentary committee plans to question the firm, founded in China in 2008, about the rights of workers in its supply chain.

The cross-party Business and Trade Committee will also question Temu, the global online marketplace owned by Chinese e-commerce firm PDD Holdings, as part of an inquiry into employment rights opened in October.

Keep ReadingShow less
Air India launches non-stop flight between Delhi and Newark

Air India cabin crew recreate Lunch atop a skyscraper photo

Air India launches non-stop flight between Delhi and Newark

AIR INDIA on Thursday (2) started operating its advanced A350-900 aircraft on non-stop flights between Delhi and Newark Liberty International Airport, following the recent launch of A350 services to New York. This move upgrades all flights between Delhi and the New York area with the airline's modern interiors, featuring private business class suites, premium economy seating, and an enhanced inflight entertainment system, a statement said.

To celebrate the occasion, Air India’s cabin crew explored New York city, revisiting famous landmarks immortalised in both hollywood and bollywood films. Dressed in their new uniforms designed by Manish Malhotra, the crew recreated scenes from iconic movies, connecting the airline's journey with the city’s cinematic heritage.

Keep ReadingShow less
Godawan

Priced at £65, the whisky is now available across London.

Indian single malt whisky Godawan debuts in London

INDIAN single malt whisky Godawan, crafted in Rajasthan by Diageo India, has launched in London.

The whisky is named after the Great Indian Bustard.

Keep ReadingShow less