Govt to change law to cut stake in SBI

Govt to change law to cut stake in SBI

New Delhi: The government plans to amend a law this year allowing the government to reduce its holding in State Bank of India (SBI) and let the nation’s largest lender raise funds, a finance ministry official said.

The government, which is currently required to hold at least 55% of the Mumbai-based lender, intends to introduce legislation in both houses of Parliament and secure approval when lawmakers reconvene this month, the official said, declining to be named before an announcement. The Centre holds 59.4% of SBI, according to ‘Bloomberg’ data.

The lender will need Rs36,000 crore over the next five years to maintain its capital adequacy ratio at 12% and grow credit, chief financial officer S.S. Ranjan said on 2 November.

— Bloomberg

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SBI has no plan to revise home loan rates

Mumbai: State Bank of India, the country’s largest lender, on Wednesday denied that it has any plans of withdrawing its special home loan scheme that carries a rate of 8% for the first year of repayment.

“News reports have been appearing in various newspapers across the country indicating that SBI plans to withdraw its special home loan schemes carrying an interest rate of 8% for the first year of the repayment period. SBI has no immediate plans to revise the interest rates on home loans," the state-run bank said in a statement.

— Staff Writer

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