RBI eases norms for PSU sell-off financing
By Our Banking Bureau | 17 Aug 2002
1
Mumbai: In a major move for funding public sector unit divestment by scheduled commercial banks, the Reserve Bank of India (RBI) has said it will consider on a case-by-case basis relaxing the ceiling of 5 per cent on banks exposure to the capital market to enable them to finance the programme.
The relaxation will be made so as to keep the exposure of banks to the capital market in all forms, net of its advances for financing of acquisition of PSE shares within the regulatory ceiling of 5 per cent, the RBI said in a circular to all scheduled commercial banks.
.jpg "RBI keeps repo rate unchanged as focus remains on inflation")
.jpg "Indian Oil, Panasonic team up for lithium-ion cell production in India")
