Law to empower PSU bankers in final stages: Arun Jaitley

A law which will empower bankers at state-owned lenders to take decisions without fear of consequences is before a standing committee, and will reach Parliament shortly

The government should do more, maybe even put some more equity into state-owned banks, said Nirmal Gangwal, managing director, Brescon Corporate Advisors Ltd, a restructuring and turnaround firm. “While it is good that some of the fear of consequences is being taken care of, one major problem is also tough provisioning requirements that bankers face on stressed asset management. That is counterproductive. If you want to continue with tough provisions, you must also then provide capital to cover for it.”