InvestorQ : What happens to Yes Bank now that RBI has restricted the withdrawals to Rs.50,000 till the first week of April?
Khushi Patel made post

What happens to Yes Bank now that RBI has restricted the withdrawals to Rs.50,000 till the first week of April?

Answer
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Anjana Aiyar answered.
6 months ago


In a late release by the RBI, Yes Bank has been placed under moratorium by the Reserve Bank of India. This was done to prevent a run on the deposits of the bank. In fact, the entire top management of Yes Bank has been superseded and former SBI CFO, Prashant Kumar, will take over as the administrator of Yes Bank with immediate effect. SBI will lead a consortium of investors that will take a controlling stake in Yes Bank. It is clear that Yes Bank is emerging as a case of stressed bank and the RBI does not want to take any chances with crores of deposits in the bank. Of course, there will be limits on withdrawal up to Rs.50,000 from Yes Bank accounts till the first week of April. This is the total amount of withdrawal that will be permitted per account and the RBI has also said that in special cases it will permit more.