Amalgamating 10 govt banks into 4 entities in mega consolidation move: FM

After today's mergers, the count of government-owned banks will come down to 12 from 27 in 2017

India is merging its state-run banks to form fewer and stronger lenders, as Prime Minister Narendra Modi looks to boost credit and revive economic growth from a five-year low.

Addressing a press conference in the capital today, Finance Minister Nirmala Sitharaman announced a slew of consolidation moves in the public sector banking space. 

The first merger, she said, would involve Punjab National Bank, Oriental Bank of Commerce and United Bank of India, to create the second-largest public sector bank in terms of business and branch network. Sitharaman said the total business of the combined entity would reach Rs 17.95 trillion,