 "Banks, India banks")
The Finance Ministry sought Parliament’s approval to spend Rs 800 billion extra this fiscal year to recapitalise state-owned banks through bonds. Thursday’s move kick-starts the Rs 1.35-trillion bank recapitalisation bond programme announced by Finance Minister Arun Jaitley in October to help public sector banks come out of the spiralling non-performing asset mess.
The Rs 800-billion infusion would take place before March 31, officials said. “These bonds will have non-SLR (statutory liquidity ratio) status, and will be non-tradable,” an official said on condition of anonymity. The SLR is a portion of deposits that banks need to invest in government securities. The SLR
