New Delhi: The Indian government and the Reserve Bank of India (RBI) have decided to allow Indian promoters of private sector banks to hold a 74-per cent stake, thereby bringing it at par with the limit agreed for foreign direct investment (FDI).

"We have decided that there will be parity in the limit of holding allowed for foreign as well as Indian promoters," says a senior finance ministry official.

An announcement on this is expected shortly along with the formal notification of raising the FDI limit to 74 per cent. The move to allow 74-per cent foreign holding in private banks was announced in the previous Union Budget.