One more merger of banks, one more wrong move of government

Indira Gandhi's move to nationalize banks continues to be praised today. Banking democracy means making banking services available to most people. But, one by one, banks are controlling people's finances. This money belongs to the people. In the last 30 years, there have been erosion of 30 banks. All the banks are saved from drowning in people's money if they are nationalized. From this bank, the government needs to understand that the professionals who run the banks as well as those who run the relationship. When the non-performing asset bomb exploded, talk of nationalizing all banks was on the rise. At the time, Yes Bank was spread across the country and had over 1000 branches.

From April 1st, some banks have been talking about the merger of banks to win people's trust.

There was an air that private banks were more efficient than public sector banks, so the government should promote them. But the fact was something different. Where the profits were visible, the private banks were giving loans and collecting money through bullying. While public sector banks were providing loans with a view to future growth.

Given the way companies are filing for bankruptcy, it seems that banks' money (sorry, people's money) is eroding drastically. Banks' merger measures have been meaningless during Korana's Kopra period. One by one, banks are controlling people's finances. The last example is the EMI, which does not tie up the Reserve Bank's orders. Each of the banks was instructed that credit card payments also included the financial relief measures taken by Corona.

But banks started demanding clarification from the people to get the money. When the Reserve Bank sought information on non-performing assets from all banks, no one provided the correct information. He kept his fist so that his mismanagement would not be exposed. The details of the large sums, ie the outstanding loan of Rs 100 crore and less than it was kept.

Experts in the banking sector believe that the merger is meaningless at present. Yes Bank is a great example of this. Even after his retirement, he continued his home loan and managed the bank like a personal finance company. As a result, at one point the bank was in a state of turmoil. Rana Kapoor was hiding the information of NPA. When the scandal opened, it was learned that there was no option but to shut the bank's shutters.

The issue of consolidation of banks is very complicated. Attempts to consolidate the weak and poorly regarded banks may not be acceptable to many. Credit societies and private savings schemes operating in parallel with banks have put down small cashiers.

On the 1st of April, no one paid special attention to the merger of 10 banks. If the Reserve Bank had taken corrective measures, it would have caught the attention of the people, but there seems to be a merger step for any internal management. No matter what the consolidation is, the bank's customers need to do so as far as consumers are concerned.

The devotees of the Lord who are sitting in the temple are as devout as the devotees need to raise their faith. The Reserve Bank also knows that banks have a well-established policy and staffing of ordinary landlords. The sentiment that banks are only for the moneylenders is getting stronger.

The focus of every government is on improving the performance of banks. On the other hand, many banks have created a series of scams. The four major banks, such as Union Bank, PNB, Canara and Indian Bank, have kept some issues of the merger in the side as consumers do not have problems at present.

After the consolidation of April 1, the number of public sector banks will reach seven. In 2017, there were 17 public sector banks. Now that number will reach 12 in the next financial year.

Denbank and Vijaybank were merged with the Bank of Baroda last year. It has not been evaluated for the benefit of the landlords. It had earlier merged with SBI's five associate banks in April 2017. The merger of State Bank of Bikaner and Jaipur State Bank of Patiala, State Bank of Jaipur, State Bank of Travancore and State Bank of Hyderabad were merged.

Due to the merger on April 1st, Punjab National Bank will become the second largest bank in the country. However, it is important for the government to open its eyes after the Yesban Bank deal.

The benefits of a bank merger should be realized by the bank's holders

The benefit of any bank merger should be given to the bank's creditors. After the introduction of the digital system, the workload of banks has decreased but no bank is ready to accept it. Banks' staff complains of ever-increasing work. He wants to strike and draw people's attention to his problem. The cooperation of the people does not get to them so much that in the eyes of everyone, they make the work less and more talkable.

In short the merger is not for the people but to improve the system within the banks.