Govt Will Not Reduce Sbi Stake

The government is against reducing its stake in State Bank of India to below 55 per cent. The decision to maintain a majority stake in SBI has been taken at a time it has already gone ahead with its plan to reduce its shareholding in other nationalised banks to 33 per cent.

The draft bill for amendment in the Bank Nationalisation Act in order to facilitate reduction of government stake in other nationalised banks had been sent to the cabinet for its consent before its presentation in the winter session of Parliament, minister of state for finance Balasaheb Vikhe Patil said here on the sidelines of a seminar on risk management here on Friday.

 

Finance ministry sources said that the government has decided against reducing its stake in SBI and has therefore not sought the cabinet