Mega merger of 10 banks takes effect
The biggest-ever consolidation exercise in the public sector banking space is slated to take shape on Wednesday when six PSU lenders will be merged into four in a bid to make them globally competitive.
As per the mega consolidation plan, Oriental Bank of Commerce and United Bank of India will merge into Punjab National Bank (PNB); Syndicate Bank into Canara Bank; Andhra Bank and Corporation Bank into Union Bank of India; and Allahabad Bank into Indian Bank.
Experts said the merger at this point of time, given the lockdown due to the novel coronavirus outbreak, will not be very smooth and seamless. However, heads of the anchor banks had exuded confidence. The four anchor banks—PNB, Canara Bank, Union Bank and Indian Bank—are postponing some part of the implementation and processes due to the lockdown.
Following the consolidation, there will be seven large public sector banks (PSBs) and five smaller ones. There were as many as 27 PSBs in 2017. The total number of public sector banks in the country will come down from 18 to 12 beginning next financial year.
Indian Bank rate cuts
Indian Bank on Monday announced a cut in its lending rates following a 0.75 percentage point reduction in the repo rate by the Reserve Bank of India last week. Indian Bank has revised the different lending rates with effect from Wednesday.
Assam to ease lockdown restrictions for mills, tea gardens
The Assam government is planning to ease lockdown restrictions from Wednesday to allow for plucking work at tea gardens and restarting of work at flour and rice mills.
The decision to reopen tea gardens was taken as tea leaves are plucked in the months of March and April and more delays would cause heavy losses to the sector. However, the state government said a tea garden can only operate after seeking permission from the respective district administrations.
China to start reporting asymptomatic coronavirus cases
China will begin reporting figures of asymptomatic cases of novel coronavirus from Wednesday. A National Health Commission official told mediapersons that all asymptomatic persons would be quarantined centrally for a period of 14 days.
Higher GST rates on mobile phones
Mobile phone sets will become costlier from Wednesday as the new increased GST rate of 18 per cent comes into effect. In March, the GST council had hiked the rates on mobile phone from 12 per cent.
Chinese major Xiaomi has indicated it could increase prices of its phones. Another Chinese company, Realme, said it would absorb the rate hike and not pass it on to customers for its new Narzo series.
UEFA to decide on Champions League
European football body UEFA is holding a meeting on Wednesday to decide on the progress of the Champions League, which has been suspended on account of the coronavirus outbreak.
"UEFA has invited the general secretaries of its 55 member associations to a videoconference on Wednesday, April 1, to discuss options identified with regard to the potential rescheduling of matches," UEFA said.
UEFA president Aleksander Ceferin had previously said the current season could be lost if it is unable to re-start by the end of June, although he did not rule out extending it into the next season.
