ESOPs for PSU bank staff likely: FM

The government will soon set up an expert group to look into the consolidation of public sector banks as the country needs stronger rather than a large number of banks, Finance Minister Arun Jaitley said here on Saturday. He also said the government was considering ESOPs for PSU bank officials besides strengthening the SARFAESI Act and Debt Recovery Tribunals to deal with the problems of stressed assets that are estimated around Rs 8 lakh crore. Addressing a press meet, Jaitley said that consolidation in the banking sector was discussed at the meeting and bankers themselves had suggested that an expert group be set up soon to look into the issue. “We will consider that suggestion,” the minister said, adding that the country needed stronger banks rather than large number of lenders.