Jaitley expects six banks to raise funds via FPO as market improves

According to the scheme, public sector banks need to raise Rs 1.10 lakh crore from markets

With stock prices on the mend, the finance ministry will nudge at least six public sector banks to hit markets to raise funds and ease the pressure on the exchequer of pumping in capital according to the Indradhanush plan.

“Time has come for banks to tap capital market and we think that at least half a dozen banks would take advantage of the opportunity and raise capital from the market during the current financial year,” a senior finance ministry official said.

“It is up to individual banks to decide when they want to raise capital and how much, but in our assessment,