INSUBCONTINENT EXCLUSIVE:
Government is likely to table amendments in banking legislations during Winter session of ParliamentAiming to fulfill its agenda of
privatising two public sector banks, the government is likely to table amendments in the Banking Regulation Act 1949 during the forthcoming
Winter session of Parliament, according to highly placed sources.Apart from this, amendments would be needed in the Banking Companies
(Acquisition and Transfer of Undertakings) Act, 1970, and the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980, for
privatisation of banks, sources further said.These too are likely to be tabled during the Winter session, they added.These legislations had
led to nationalisation of banks during the tenure of Indira Gandhi as prime minister and if the government wants to privatise public sector
banks, then it will have to amend provisions in the above legislations.The amendments are likely to bring down the government's stake in
two public sector banks from the existing 51 per cent.Government is however yet to identify the two banks which are to be privatised.Finance
which will be privatized, sources said.In addition to this, fresh capital as well as foreign investment will also be infused in these public
sector banks, sources pointed out.The decision will send out a positive message to investors and ensure seamless and timely transition for
these banks.Privatisation of public sector banks will help the government meet its disinvestment targets and reduce expenditure towards
infusion of capital in banks.Ms Sitharaman in the Union Budget for 2021-22, had announced a major privatisation agenda, where privatisation
of two public sector banks and one general insurance company was included.Under its disinvestment plans, government has decided to go for a
mega initial public offering (IPO) of Life Insurance Corporation of India (LIC) and residual stake sale in IDBI Bank during the current
financial year.The government has earmarked Rs 1.75 lakh crore from stake sale in public sector companies and financial institutions during
