Parl panel to hold discussions with 4 public sector banks, insurance firms in Jan

New Delhi, Dec 17 (IANS) A Parliamentary committee is scheduled to hold discussions next month with four public sector banks under banking laws which apart from other clauses also deal with mergers and acquisitions, an official said.

Separate discussions will also be held with the five public sector insurance companies over their functioning and the country’s insurance laws, the official said citing a document.

Informal discussions will be held with representatives of UCO Bank and Union Bank of India on January 2, 2024 and between Bank of Maharashtra and Bank of India on January 6, 2024 Mumbai and Goa.

While the document has triggered a buzz of a possible merger of the public sector banks, a senior Finance Ministry official said the discussions are a part of a routine exercise by the parliamentary committee on subordinate legislation and is not linked to the issue of mergers.

The government had in 2019, announced the merger of 10 public sector banks into four entities.

This was part of the government’s policy to consolidate public sector banks in order to strengthen their finances for a strong national presence and global reach.

A meeting with Insurance Regulatory and Development Authority of India, Life Insurance Corporation, SBI Life Insurance, National Insurance Co, Oriental Insurance and the New India Assurance Co is proposed on January 2.

Besides, the meeting will include informal discussions with the RBI over the law governing its functioning and regulatory oversight.

–IANS

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