SBI chairman welcomes RBI move on Yes Bank

Source : ANI
Author : ANI
Last Updated: Tue, Mar 17th, 2020, 13:56:40hrs
SBI chairman welcomes RBI move on Yes Bank

Mumbai (Maharashtra): State Bank of India (SBI) chairman Rajnish Kumar on Monday welcomed the "statements" of Reserve Bank of India (RBI) on Yes Bank, saying the move will reassure the market further.

"I welcome the statements of RBI on Yes Bank. It will reassure the market further," Kumar told reporters.

"RBI's decision to ensure additional liquidity through Long Term Repo Operation (LTRO) and swap transactions will ensure twin objectives of further compression in the term structure of interest rates and ensuring dollar liquidity," he added.

The moratorium on crisis-hit Yes Bank imposed early this month will be lifted on Wednesday at 6 pm, RBI Governor Shaktikanta Das here on Monday.

"Swift action has been taken by the RBI and the Government of India. The lifting of moratorium will be on Wednesday, 18th March at 6 pm," said Das.

On Thursday, the SBI said that it would invest Rs 7,250 crore in Yes Bank, which is much higher than Rs 2,450 crore it had planned initially for 49 per cent stake in India's fourth-largest private sector bank.

The Union Cabinet on Friday approved reconstruction scheme for private sector lender Yes Bank as proposed by the RBI.

On March 5, the RBI imposed a moratorium on Yes Bank, restricting withdrawals to Rs 50,000 per depositor till April 3 in view of its poor financial health due to bad loans.