7 PSU banks to be recapitalised

Finance Minister P Chidambaram on Wednesday said that seven PSU banks having a capital adequacy ratio of below 10% would be recapitalised, according to media reports. The Finance Minister had meeting with bankers over the liquidity and global crisis. RBI has been taken many measures to check the impact of global crisis on Indian banking system and Indian economy.

The impact of the global crisis and meltdown have been affected almost all sectors including Indian banking system. In order to ease the liquidity crisis, RBI had cut the repo rate and prior to that CRR was also decreased. It is worth mentioning that the inflation is down despite such measures to contain the global crisis and fluctuation was there in the stock markets. The Prime Minister of India has assured about having sound banking system in India despite the global meltdown, according to media reports.

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