New Delhi: A finance ministry statement said India has allowed seven state-run banks to raise capital from market as part of efforts to help them comply with global Basel III banking rules.
Issued after government officials` meeting with the chiefs of state-run banks, the statement did not name the lenders allowed to sell shares or mention any timeframe for such sales. The government in its budget for the next fiscal year that starts from April 1 has allocated 79.4 billion rupees ($1.26 billion) for capital infusion in state-banks, far lower than what the market had expected.
