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On Thursday, NITI Aayog handed in the finalized names of the state owned banks that are to be privatized to the Core Group of Secretaries on Disinvestment . This state owned banks will get privatized in the current fiscal year. The government think tank were given the responsibility to select the names of the two public sector bank and one general insurance company for the privatization in the Union Budget 2021. A NITI Aayog official confirmed that, “we have submitted the names (of PSU banks) to the Core Group of Sectaries on Disinvestment.”
Economic affairs secretary, corporate affair secretary, revenue secretary, expenditure secretary, legal affair secretary, department of public enterprise secretary, department of investment and public asset management secretary and an administrative department secretary are the members of the Core Group of Secretaries.
Once the names of the banks are receives clearance from Core Group of Secretaries, the finalized names will move to alternative mechanism for its approval. Later it will be the Prime Minister to give the final nod, an NITI Aayog official explained.
“Interest of the workers of banks which are likely to be privatized will absolutely be protected whether their salaries or scale or pension all will be taken care of,” stated the finance minister, Nirmala Sitharaman. She further explained that just like State Bank of India, banks in our country needed to get bigger. “We need banks which are going to be able to scale up. We want banks that are able to meet the aspirational needs of this country,” added the finance minister.