MY VIEWS IN TIMES OF INDIA ON CONSOLIDATION IN BANKING SPACE

Comments of MILAN K SINHA (PATNA) in  
The Times Of India dt.24.11.12 10:18 PM

Your comment on the article ''Some consolidation in banking space inevitable: FM'' is now displayed on timesofindia.com.

''Keeping in view the BASEL III requirements of capital Adequacy, the fast pace of soaring NPA, the unnecessary competition among the banks involving avoidable expenditure, the expected growth in credit needs of corporate and infrastructure sector to sustain average 7-8% growth in GDP and such other reasons, the consolidation in Indian banking space looks worth considering. The then FM, Mr. Mukherjee , in his first meeting with the PSB chiefs after taking charge as the finance minister just after the 26/11 Mumbai attacks, had said, "consolidation of Banks might be needed to improve the global competitiveness of Indian banks and to reduce the risk to financial stability. Any consolidation initiative in the banking sector would be viewed positively and government, as a majority shareholder, would continue to play a supportive role in the process”. The Trade and Industry Associations do favour the proposed initiative for consolidation to have at least few banks far bigger than SBI to qualify to be globally competitive. Rightly or wrongly, the talk of consolidation is seen with lot of apprehensions and fear which FM has himself indicated by saying,"we should not fear consolidation." Yes, it would be a good idea if the initiatives for consolidation among a few PSU banks emanate from the management of such banks themselves (after discussing the issue in-house thoroughly) with Government playing a supportive role as the common stakeholder.''

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Comments of MILAN K SINHA (PATNA) in  
The Times Of India 

Shobha Dey's article : Unpalatable fruit salad
October 14,2012 at 11:09 AM IST

Excellent piece of writing. Yes, many such Bros are enjoying life without any fear or shame. Our systems are so favourable for such people that they dare to take it for a joyful ride now & then. Shouldn't the upright officers in different services(still, I feel, they are in good numbers) ensure execution of even the existing laws more forcefully and speedily? This alone can make a lot of difference in lowering down the number of scams in the country.

                                                           Will meet again with Open Mind. All the Best.

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