Tides of 3.07.2015
1. Mahila bank may merge with SBI
1. Mahila bank may merge with SBI
The Bharatiya Mahila Bank (BMB), launched only 20 months ago, may be merged with the
State Bank of India. According to sources, the merger proposal is being
discussed within the government considering that the newly started bank will
find it a challenge to build a distribution reach.
The bank was started with a capital of Rs 1,000 crore which was provided under the budget. The bank has opened 62 branches, mobilized deposits of around Rs 800 crore and has loans of around Rs 400 crore. Following the announcement in the 2013 budget, the bank was launched in record time in November 2013. But despite the speed of the roll-out, the bank's coverage has been very meagre and large lenders have been able to open more women's account during the same period.
According to analysts, such a merger would not be negative for State Bank of India but would in fact boost the bank's capital adequacy ratio. The bank has hardly any non-performing assets as it does not have any exposure to industry.
SBI, which is the country's largest lender, had in past merged its two of its associate banks — State Bank of Saurashtra and State Bank of Indore. SBI merged State Bank of Saurashtra with itself in 2008. Two years later in 2010, State Bank of Indore was merged with the parent. Among the public sector banks, BMB is the only unlisted entity.
The bank was started with a capital of Rs 1,000 crore which was provided under the budget. The bank has opened 62 branches, mobilized deposits of around Rs 800 crore and has loans of around Rs 400 crore. Following the announcement in the 2013 budget, the bank was launched in record time in November 2013. But despite the speed of the roll-out, the bank's coverage has been very meagre and large lenders have been able to open more women's account during the same period.
According to analysts, such a merger would not be negative for State Bank of India but would in fact boost the bank's capital adequacy ratio. The bank has hardly any non-performing assets as it does not have any exposure to industry.
SBI, which is the country's largest lender, had in past merged its two of its associate banks — State Bank of Saurashtra and State Bank of Indore. SBI merged State Bank of Saurashtra with itself in 2008. Two years later in 2010, State Bank of Indore was merged with the parent. Among the public sector banks, BMB is the only unlisted entity.
2.
Great News keep
pouring this week:
On 1st July, the launch of Digital India has drawn investments worth Rs 4.5 lakh crore and will create 18 lakh
jobs.
- On June 30 a
group of U.S. industry executives from the U.S.-India Business Council
(USIBC) met with the Chief Minister of Maharashtra, Devendra Fadnavis for
a discussion about investment opportunities in the state and bagged
investments worth Rs 4,500 crore that will create 50,000 jobs
- Blackstone, a global investment and advisory firm, is learnt to have given its consent to invest Rs 750 crore in EON Free Zone SEZ, Rs 1,200 crore in Hingewadi Phase -III, Rs 1,500 crore in IT Park in Central Mumbai and Rs 1,050 crore in another IT Park in Mumbai.
- The state delegation signed an MoU with Blackstone and Panchshil Joint Venture (SPV) for three different projects. Coca Cola too has announced Rs 500-crore investment at Lote Parshuram in Chiplun (MIDC).
