FII Cap in State-Run Banks to Increase

SIT on Black Money Charts Road Map
  • The government is considering a proposal to increase the cap on foreign institutional investment in public sector banks to 49 per cent from 20 per cent. The move comes at a time public sector banks need equity capital.
  • “Valuations of public sector banks are subdued. Increase in FII cap will certainly attract portfolio investment if the cap is raised,” said a senior banker from a public sector bank.