Govt may acquire RBI stake in National Housing Bank
New Delhi: The government will soon acquire the stake of Reserve Bank of India in housing finance regulator National Housing Bank (NHB), sources said.
The stake transfer would be cash neutral and there would be no cash outgo, sources said. RBI currently holds 100 per cent stake in the NHB.
The Finance Bill 2018 has amended to the National Housing Bank Act, 1987, for transferring RBI's stake in the NHB to the government.
The Finance Bill 2018 was passed by Parliament in the Budget session and following the assent from the President, the Finance Ministry has started the process of stake transfer, sources added.
In 2012, the Union Cabinet had approved the proposal for transfer of the RBI stake but could not be carried forward due to some reason or other.
It is to be noted that the government has already acquired RBI's stakes in State Bank of India and National Bank of Agriculture and Rural Development (Nabard).
In 2007, the government acquired 59.73 per cent stake held by RBI in the country's largest bank SBI for Rs 35,531.33 crore. However, NABARD stake transfer happened in 2010.