Cabinet to take up divestment of 45.5% stake in debt-laden IDBI Bank soon

The government had planned to sell its balance stake in IDBI Bank to private, retail, and institutional investors through the stock exchange in the last financial year

The Cabinet will soon consider the proposal to sell the government’s 45.5 per cent stake in IDBI Bank, paving the way for strategic divestment in the lender.

An approval will be sought to give the Department of Investment and Public Asset Management (Dipam) the authority to move ahead with the divestment process, as banks fall under the purview of the Department of Financial Services (DFS), said a senior government official.

“Dipam cannot move forward with the divestment process until an approval from the Cabinet is received, given that banks come under work allocation of the DFS. After the Cabinet’s approval, intermediaries can