New Delhi [India], Mar. 2 (ANI): In the wake of the recent banking scams reported, the government has directed public sector banks (PSBs) to consolidate nearly 35 overseas operations without affecting the banks' international presence in these countries.
In this regard, 69 operations were identified for further examination, including bank branches, joint ventures, subsidiaries, remittance centres and representative offices.
The ministry confirmed that a total of 216 overseas operations will be examined to ease the rationalisation of overseas operations.
Furthermore, non-viable operations in the overseas market, the ministry proposed, would be terminated for greater cost efficiency and synergy. Operations in the same geography will be consolidated, and equity stakes will be consolidated in the case of joint ventures having multiple PSB partners.
A number of banking cams have come to the forefront in the recent past, the most prominent one being the 1.77 billion dollar Punjab National Bank (PNB) fraud involving top jewellery designer Nirav Modi and others.
In the wake of these scams, there has been a greater nudge for complete privatisation of PSBs.