House Panel For Reverse Merger Of Idbi

The parliamentary standing committee on finance is in favour of a reverse merger of the Industrial Development Bank of India (IDBI) with its subsidiary, IDBI Bank. If the government accepts this recommendation, a private bank will be nationalised for all practical purposes.

The government referred the IDBI (Transfer of Undertaking and Repeal) Bill, 2002, which seeks to corporatise IDBI and transform it into a bank, to the committee in December 2002.

Even after the reverse merger, the government