Finance Minister Nirmala Sitharaman said the moratorium on the Bank will be lifted within 3 days of notification of the scheme and its board will be in place in 7 day.
Bank’s lending growth was substantially over the average credit growth of the banking industry, with experts saying the board should have been more proactive in flagging it.
The RBI plan to write down Yes Bank’s perpetual securities threatens to hurt fund-raising when India’s economy is growing at the slowest pace in 11 years.
The biggest error in the plan executed to rescue Yes Bank was to trap depositors through Rs 50,000 withdrawal cap. It was both unnecessary and dangerous.
The RBI superseded Yes Bank Thursday but the crisis began much earlier with a CEO known for taking risks, corruption allegations against Chairman and insider trading allegations.
SBI has already obtained an 'in-principle' approval to explore investment opportunities in Yes Bank and a former SBI CFO has been appointed as an administrator.
Liberty without accountability is the freedom of the fool. Our concept of freedom will remain impoverished until it is deepened by liberal education, wrote Nani A Palkhivala in 1995.
While global corporations setting up GCCs in India continue to express confidence in availability of skilled AI engineers, the panel argued that India’s real challenge lies elsewhere.
It is a brilliant, reasonably priced, and mostly homemade aircraft with a stellar safety record; only two crashes in 24 years since its first flight. But its crash is a moment of introspection.
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