Budget 2012: Finance Minister Nirmala Sitharaman said asset reconstruction and management company will be set up for stressed assets of banks
Budget 2021: In September 2020, Parliament approved Rs 20,000 crore capital infusion for PSBs as part of the first batch of Supplementary Demands for grants for 2020-21
Budget 2021: The firm will hold problem loans for banks, which can then be sold on to investors at a reduced price, according to plans outlined by the Finance Minister
Union Budget 2021: The Insurance Act 1938 will be amended to "increase the permissible FDI limit from 49 per cent to 74 per cent in insurance companies and allow foreign ownership and control with safeguards," the finance minister said
CII has also called for transformation of old public sector banks (OPSBs) wherein government should facilitate the takeover of old public sector banks
Banks may see bad loans double despite signs of an improvement in the economic impact of the Covid-19 pandemic, a report from RBI said
The gross Non-Performing Assets of banks may increase from 7.5 per cent in September 2020 to 14.8 per cent under a severe stress scenario
Budget 2020: The credit ratings major projected that the government debt will remain close to 70 per cent of GDP throughout the period to 2021-22.
The fiscal plan -- delivered by Finance Minister Nirmala Sitharaman on Saturday -- proposed tax cuts for individuals and wider deficit targets, but failed to provide specific steps to fix a struggling financial sector, improve infrastructure and create jobs.
Deposit insurance is a protection cover against losses on bank deposits if a bank fails financially and has no money to pay its depositors.