Public sector banks in turmoil after mega merger: Parliament panel

Flags their low market valuations, says it'll hinder plans to raise equity

The mega merger of public sector banks (PSBs) has led to a “turmoil” as the state-owned banks do not have the necessary talent for specialised functions like risk management and new financial technologies, the Parliamentary Standing Committee on Finance said in its report.

“PSBs are also going through considerable turmoil because of the mega mergers; this will require even closer assessment of human resources to ensure that sufficient management talent is available for the PSBs as they seek to streamline and expand their operations,” according to the report of the committee, chaired by BJP MP Jayant Sinha.

From April 1, 2020, ten