Govt to infuse 15000 cr into public sector banks - nice move

(posted under PSU banks, banking sector news)- just headrd that the government on Friday approved a plan to infuse Rs 15,000 crore capital into state-run banks in the current fiscal to boost their lending capacity. looks like a nice move if whole amount is infused without anything taken by politicians from it.

The proposed infusion will increase the lending capacity of the banks by Rs 1,85,000 crore. This additional availability of credit is likely to benefit employment oriented sectors, especially agriculture, micro and small enterprises and entrepreneurs that in turn would contribute substantially to the growth of the economy.