Government think tank Niti Aayog has submitted to the Core Group of Secretaries on Disinvestment the finalised names of PSU banks to be privatised in the current fiscal as part of the disinvestment process, a senior government official said. Niti Aayog has been entrusted with the task of selection of names of two public sector banks and one general insurance company for the privatisation as announced in the Budget 2021-22.
Finance Minister Nirmala Sitharaman had recently said that the department interests of workers of banks which are likely to be privatised will absolutely be protected whether their salaries or scale or pension all will be taken care of that. Explaining the rationale behind the privatisation, Sitharaman had said that banks in the country needed to be bigger, just like the State Bank of India .We need banks which are going to be able to scale up. We want banks that are going to be able to meet the aspirational needs of this country, Sitharaman had said, adding that a lot of thought had gone behind the intention to privatise some public sector banks. The other members of the high-level panel are economic affairs secretary, revenue secretary, expenditure secretary, corporate affairs secretary, legal affairs secretary, Department of Public Enterprises secretary, Department of Investment and Public Asset Management Secretary and administrative department.