85 breached
The Indian rupee has breached the significant psychological barrier of 85 against the US dollar, marking an all-time low amid a confluence of domestic and global pressures.
Keeping the upcoming mega merger of public sector banks in view, the Reserve Bank of India on Monday proposed to change the convenors of State Level Bankers’ Committee (SLBC).
From April 1, 10 public sector banks will be merged into 4. Therefore, 6 public sector banks will cease to exist from that date, necessitating changes in the convenorship.
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The convenorship of merged banks will be transferred to anchor banks.
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On March 4, the government announced the amalgamation scheme as part of its consolidation plan to create bigger and stronger banks in the public sector.
According to the proposed plan, Oriental Bank of Commerce and United Bank of India will be merged into Punjab National Bank (PNB); Syndicate Bank into Canara Bank; Allahabad Bank into Indian Bank; and Andhra Bank and Corporation Bank into Union Bank of India.
Once the merger is completed, PNB will become Delhi’s SLBC convenor. At present, the responsibility falls under Oriental Bank of Commerce, RBI said in a notification.
PNB will also become the SLBC convenor for the states of Tripura and West Bengal. Earlier, the responsibility was with United Bank of India.
Similarly, Andhra Pradesh too will have a new SLBC convenor which will be operated by the Union Bank of India, as Andhra Bank is being merged with the Mumbai-based lender.
Since Syndicate Bank is being acquired by the Canara Bank, its responsibilities in the southern state of Karnataka will be given to the latter.
Similarly, district lead bankers would also be revamped. As many as 111 districts will see new lead bankers beginning next fiscal.
SLBC came into existence under Lead Bank Scheme as per RBI guidelines. SLBC is an inter-institutional forum at state level ensuring coordination between the government and banks on matters pertaining to banking development.
The convenors play a crucial role in various matters including financial inclusion and promotion of government schemes.
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