Delhi: India''s finance secretary, Dr S Narayan, has
clarified that no decision has yet been taken by his government
on the pricing of the shares to be returned by the banks.
clarification issued by the finance ministry said: "It
has been clarified by the finance secretary that it has
neither been decided nor is it the intention of the government
to accept return of equity from some listed public sector
banks at par when the price is higher in the market."
a contrary position, an official spokesperson of the finance
ministry had on Wednesday said the government did not
propose to charge a premium on the equity being returned
by the banks.
the banks that have plans to return capital to the government
are Punjab National Bank, Bank of Baroda, Oriental Bank
of Commerce, Andhra Bank and Indian Overseas Bank.