NITI Aayog on Banking

NITI Aayog on Banking

NITI Aayog on Friday has recommended the govt to privatise Punjab & Sind Bank, UCO Bank and Bank of Maharashtra. the advice was made by the govt think factory during a presentation to Prime Minister's Office (PMO) and union finance ministry functionaries.

Privatisation of Punjab & Sind Bank, UCO Bank and Bank of Maharashtra would require an amendment to Banking Companies (Acquisition and Transfer) Act of 1970. Similarly, for utilising department of postal office outlets, the suggestion from the govt think factory is to merge all regional rural banks and use the network of over 15 lakh postal outlets.

Sources have told CNBC-TV18 that the body has also suggested bringing in flexibility for non-banking financial companies (NBFCs) participation within the bond markets and wish to extend private debt to GDP ratio from the present 54 percent to one hundred pc within the next 10 years.

The other interesting suggestion given by NITI Aayog is to form Indian data credible and coherent, it's suggested speedy implementation of knowledge Accountability And Transparency Act recommended by Comptroller and Auditor General (CAG) and also to revamp Ministry of Statistics and Programme Implementation (MoSPI) which generates key economic data. These are suggestion given by the body, a final judgment will rest only with the union finance ministry.