“Not all Public Sector Banks to be Privatized” ; says Finance Minister

Nirmala Sitharaman

The two-day protest by bank employees was ended on Tuesday and by the end, they kept shouting slogans “people’s money for people’s welfare, not for corporate loot.” The protest was their nationwide strike against the proposed privatization of public sector banks.

A press conference was organized in New Delhi for the same on Tuesday and Nirmala Sitharaman said “We have announced a public enterprise policy, where we have identified four areas where public sector presence will be there. In this, the financial sector too, is there. Not all banks are going to be privatized.”

The finance minister assured that all interests of the workers of the banks would be protected and is the prime concern of the government. While explaining the privatization plan, Nirmala Sitharaman said it was based on the public enterprise policy and also assured that the government will have a presence in the financial sector as well.

On Privatization of Banks

Not all banks would be privatized and for those who are likely to be privatized, the government has kept in mind that all the privatized institutions will also continue to function after the privatization plan.

She also stated in the press conference that in India, there are only quite a few banks in which some are performing well, some alright, and some not good. Still, all the banks play a big role and there is no doubt. The banks are needed to be bigger now, just like the State Bank of India (SBI). The government wants all the banks that are ongoing right now, be able to meet the aspirational needs of the country.

So the financial institutions get more equity and more people should be able to put their money into the banks to make it sustainable, and the workers in the banks to be able to perform the duties.

In a Twitter post, Rahul Gandhi said the government was “privatizing profit and nationalizing loss”.

Sitharaman responded to the criticism saying, “I would want him to engage in serious discussions, rather than throw these kinds of two-liners every now and then.”

“He accuses us of privatizing profit when in his government (UPA), they were privatizing taxpayers’ money. Privatizing taxpayers’ money was what the UPA government did. And, probably for one family’s betterment,” she added.