ForumIAS LATEST
- Interview Guidance initiative by ForumIAS – UPSC CSE 2026 Click Here to know more →
- FRC 2027: SFG Residential program | accepting application for Tranche-2 Click Here to know more →
- CSAT Classes for Prelims 2027 by Rishi Bhargav sir starts 16 Nov. at 5 PM Click Here to know more →
‘Anchor bank for PSB consolidation put on hold’
News:
- The concept of having 5-6 anchor banks and consolidate weaker banks with them put on hold.
Important facts:
- Culture is the major hurdle in integration, emphasized by Canara Bank chairman, T.N. Manoharan.
- T.N. Manoharan also opines that turning of loan to big infrastructure projects to bad loan is real cause of NPA
- It is contrary to public perception that bad loans are due to wilful defaulters and indiscriminate lending’
- T.N. Manoharan also supported the idea of bad bank.
- Classification of banks into three categories mooted:
- Universal Banks: Does all kinds of banking, including corporate lending.
- National Retail Banks: would focus only on retail lending.
- Regional retail banks.
