Published on 20/03/2017 9:46:30 AM | Source: Dion Global Solutions Ltd.

Government approval for BMB merger with SBI likely in 3 months

Posted in Industry News| #Banking Sector #Industry #SBI

The government is likely to give final nod to the merger of Bharatiya Mahila Bank (BMB) with India’s largest lender State Bank of India (SBI) within 3 months, as per the media reports. Last month, cabinet approved amalgamation of 5 associates of SBI with the parent but the merger of BMB was not considered due to some issues, officials said. “Now it a is matter of time.

The final approval from the cabinet should come within three months,” an official said, quoted PTI. The union cabinet has already given in-principle approval to the merger of BMB with SBI. With the final approval, the first round of consolidation of public sector banks would be over.

According to officials, the next round of consolidation in the PSU banks would begin after these six lenders are integrated with SBI. Meanwhile, integration process of all the 5 associates with SBI would start from 1st April as part of the largest consolidation exercise in the banking history of India. The assets of State Bank of Bikaner and Jaipur (SBBJ), State Bank of Mysore (SBM), State Bank of Travancore (SBT), State Bank of Patiala (SBP) and State Bank of Hyderabad (SBH) will be transfered to SBI from 1 April, 2017.