Union Budget 2019–20 Earmarks Rs 70,000 Crore for Public Sector Banks to Boost Its Capital, Credit Capacity

"For the purchase of high-rated pooled assets of financially sound Non-Banking Finance Companies (NBCs) amounting to Rs 1 lakh crore during 2019-20," she said. The Finance Minister also announced one-time six-month partial credit guarantee for the PSBs.

Nirmala Sitharaman presenting Budget 2019 in Parliament | (Photo Credits: LSTV/Screengrab)

New Delhi, July 5: Finance Minister Nirmala Sitharaman on Friday announced that Rs 70,000 crore would be given to the public sector banks to boost their capital and credit capacity.

"Public sector banks will be provided Rs 70,000 crore to boost capital and improve credit," said Sitharaman, while presenting the Union Budget 2019-20 in the Lok Sabha on Friday. Union Budget 2019-20: India to Open New Diplomatic Missions, Including 18 in Africa.

She said that public sector banks will use technology for enabling the customer of one PSB to access service across all PSBs as well.

"For the purchase of high-rated pooled assets of financially sound Non-Banking Finance Companies (NBCs) amounting to Rs 1 lakh crore during 2019-20," she said. The Finance Minister also announced one-time six-month partial credit guarantee for the PSBs.

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