New Delhi, Aug 18
Public sector banks (PSBs) raised Rs 1,53,978 crore in the form of both equity and bonds during the last three financial years, the Parliament was informed on Monday.
Total amount of capital raised by PSBs in the form of both equity and bonds during three financial years (FY2022-23 to FY 2024-25) amounts to Rs 1,53,978 crore (Rs 44,942 crore in FY2022-23, Rs 57,380 crore in FY 2023-24, and Rs 51,656 crore in FY 2024-25), Minister of State for Finance, Pankaj Chaudhary, said in a written reply to a question in Lok Sabha.
The fresh raising of capital by banks is used for various purposes, which include meeting the capital needs of banks to support credit growth, meeting regulatory requirements for capital adequacy, complying with minimum public shareholding norms by increasing public shareholding and strengthening the overall capital position of the bank, among others.
PSBs raise capital from the market to meet their capital requirement from time to time. The robust financial strength of PSBs has boosted investors’ confidence, enabling them to raise capital from the market.