bank merger

bank merger News

How the public bank mergers could affect you

There’s no need to panic if your bank has been merged with another. However, keep these crucial pointers in mind to avoid any issues later.

Explained: What bank mergers can mean, the potential downsides

The plan is to merge 10 state-owned banks into four larger ones. What led to the move, how is it intended to help the banks and the government, and what are the potential downsides?

Advertising

Three decades ago, report that set merger template

In the early phase of the UPA government’s first term between 2004 and 2009, the Finance Ministry headed by P Chidambaram was pushing hard for consolidation of state-owned banks.

No bank will be closed, no employee removed: Sitharaman allays fears on merger of public sector banks

“There is no closure of banks. No banks are being asked to do anything different from what they were doing. In fact, we are giving them more capital to do what they were doing,” Nirmala Sitharaman said at a press conference.

PSBs consolidation building block for $5 trillion economy: Finance secretary Rajiv Kumar

The state-owned banks can now look forward to efficiency gain, higher profit, better services to customers and also more benefits to their employees, Rajiv Kumar said.

Good move but bad timing: experts on bank merger

In fact, the three-way merger of Dena Bank and Vijaya Bank with Bank of Baroda took over six months to come into effect. While the government first proposed the merger of the banks in September 2018, the merger came into force on April 1, 2019.

Advertising

Vijaya Bank board approves merger proposal with Bank of Baroda, Dena Bank

Earlier in September, the government announced the merger of Bank of Baroda, Vijaya Bank and Dena Bank to create the country's second-largest PSU lender by assets and branches.

Advertising