InvestorQ : When are the bank mergers of big names like PNB and Canara likely to happen? As of now only BOB/Dena/Vijaya merger has been completed.
Neelam Naik made post

When are the bank mergers of big names like PNB and Canara likely to happen? As of now only BOB/Dena/Vijaya merger has been completed.

Answer
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Priyanka N answered.
6 months ago


Finance Minister, Nirmala Sitharaman, has confirmed that the merger of 10 PSU banks into 4 banks will take effect officially from April 2020. The respective banks are expected to meet in March and finalize the swap ratios so that the integration of balance sheets can be effective from April onwards. Under the scheme, OBC and UBI would combine into Punjab National Bank. Syndicate Bank will merge into Canara Bank while Allahabad Bank will merge into Indian Bank. Finally, Union Bank will subsume Andhra Bank and Corporation Bank into its fold; leaving just 4 banks in place of 10. This move is expected to give the banks a much larger balance sheet and lending capacity. More importantly, this merger will also allow these banks to centralize their manpower, administration and treasury departments.