Capital infusion of $30 bn over two years needed amid high dividend payouts and impairment ratios.
Finance Minister Arun Jaitley sought parliament's approval on Friday to increase the spending budget for this fiscal year by $4 billion, with almost half to be used to inject extra capital into state banks struggling with bad loans.
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Thakur, who also represented Shiv Sena in the Rajya Sabha, was 72.
New SDR norms allow promoters to manage debt-laden firms.
The government holds stakes ranging from 56% to 84% in 27 state-run banks.
Foreign Banks operating in India have outpaced domestic banks, both private and PSUs, in reducing the level of non-performing assets, a study has revealed.
The Central Bureau of Investigation has started a preliminary enquiry looking into the Rs 950 crore (Rs 9.5 billion) alleged bad loan given by IDBI Bank to Kingfisher Airlines ignoring the company's negative credit ratings and net worth.
2016 is difficult to predict, and this uncertainty will drive volatility in global markets.
The Nifty is up 6.5% in the last 12 months. The NSE IT Index is down 10% in the same period. But will the sentiment improve going ahead?
We will find it difficult to exceed an average of 5 per cent growth in the medium term, warns Shankar Acharya, the former chief economic adviser.
Barring stray references such as the 'dual control' of banks and shifting the goalposts during demonetisation, he is not in a fault-finding mode with the government, notes Tamal Bandyopadhyay.
In addition, he will have to move swiftly to control any damage that may have been caused to the bank's image and investor confidence due to the loan controversy
Not only has the Mudra loan mela generated no jobs, it has frittered away trillions of taxpayers' money and it's time to bury the scheme, argues Debashis Basu.
'Today, three areas give banks a big headache -- steel, power, infrastructure.' 'Three Cs are very critical in lending -- character, capacity and collateral of the borrower.'
'With 27 days to go, the total bank deposits has come tantalisingly close to the Rs 14 lakh crores of banned notes which was in the financial system on November 8.' 'Black money hoarders may have actually laundered their black money into white,' argues Rajeev Sharma.
Mutual funds, bonds, PPFs, equity and real estate are some options which offer varying rates of return.
Moody's expects that India will record the GDP growth of around 7.5 per cent in 2015 and 2016.
HDFC Bank Q4 net rises 21% to Rs 2,806.91 crore.
Don't be surprised if growth in the second half of the financial year drops below 4%, which is where it was in the year before the pandemic, warns T N Ninan.
Budget 2015 has blessed the banking sector.
'Who would think of making a bank of poor women? She had vision and boldness.'
Some of the key proposals of the agenda relate to transforming the banking sector, addressing agrarian distress, countering hate crimes and discrimination, and spurring employment generation.
There are NPAs on account of the industrial downturn in sectors like steel, infrastructure and power.
The long wait for realisation makes lenders averse to security receipt transactions. Instead, they have been insisting more on cash, even though valuations of bad assets are generally lower in case of cash deals than those involving SRs. While in deals involving SRs stressed assets are valued at 30 per cent on an average, in cash deals they are valued at 20 per cent, depending on the quality of the assets.
The NSE Nifty settled the day 38.85 points or 0.37 per cent lower at 10,500.90 after shuttling between 10,590.55 and 10,456.65, intra-day.
The RBI has been critical of banks for using restructuring schemes to hide the stress.
Several factors seem to have corrected in India in the past six months, says the president of New Development Bank.
Banking on better credit growth prospects alone may not be the right strategy as far as investing in bank stocks are concerned.
It also named bosses for Bank of India, IDBI Bank Ltd and Punjab National Bank from within the state sector
Union Finance Minister Arun Jaitley is set to present the Budget next month.
Ironically, bad loans and non-performing assets are on the rise in public sector banks in India, say sector watchers.
The cumulative loss of 20 state-run lenders stood at Rs 14,000 crore during Q4
However, the norms have become extremely stringent. The overall tight situation in the credit market has hit consumers quite badly.
Amid stiff competition from private and foreign players, the country's 27 public sector banks logged 35 per cent growth in profit at Rs 16,546 crore (Rs 165.46 billion) while their bad assets fell below 3 per cent during 2003-04.
RBI had rescheduled the starting date for its implementation.
Over 25,600 cases of banking fraud reported up to December 21, 2017, says Minister RS Prasad.
Analysts were expecting the government to propose higher capital infusion for banks.
Just 40 per cent of India Inc's forex loans are hedged.
Banks face the grim possibility of a chunk of the unhedged loans turning bad.
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