 "Logo of State Bank of India")
The Union Cabinet could take a decision on merging Bharatiya Mahila Bank (BMB) into State Bank of India (SBI) in the coming months.
“It will happen soon. Over the coming few months, you can expect an approval,” a senior official in the know told Business Standard.
On Wednesday, the Cabinet approved merger of five associate banks with SBI, which would make it among the top 50 global lenders. BMB was part of the proposal but its approval was not given.
“You need to look at synergies in considering a merger. The five associate banks are what one would consider mature assets. BMB is not. We have to wait some time but it will happen soon,” the official quoted above said.
Launched in November 2013 by former Prime Minister Manmohan Singh, the BMB has been without a managing director since Usha Ananthasubramanian was appointed MD of Punjab National Bank in August 2015. Sources say before it is merged into SBI, its operations have to be closely understood and books audited. More so without a fulltime head for quite a while.
