Banking body opposes RBI move to grant licences to private entities
25 Nov 2013 10:48 PM GMT
The All India Bank Employees Association (AIBEA) has opposed the Reserve Bank of India (RBI) move to grant banking licences to private entities and expressed apprehension that this will lead to 'profiteering' and is 'inimical' to the interest of the country.
'The government is proposing to give licences to various business houses like Tata, Birla, Ambani, etc, to start private banks. This is not only harmful for the country but it will also make banking very costly.
'The issuing of license will not only result in ignoring the priority sector but will also lead to profiteering as it will be the sole motive of the corporates.’
‘We oppose this proposal in toto,' said AIBEA general secretary C H Venkatchalam.
The United Forum of Bank Unions, representing employees of public and private sector banks, has already announced observing of a one-day national strike on 19 December for various demands.
'...Prior to 1969, banks were owned by private business houses and because of their mismanagement, banks were nationalised by the then prime minister Indira Gandhi. Now, again giving license to private players will be harmful for our country,' he said.
'The government is proposing to give licences to various business houses like Tata, Birla, Ambani, etc, to start private banks. This is not only harmful for the country but it will also make banking very costly.
'The issuing of license will not only result in ignoring the priority sector but will also lead to profiteering as it will be the sole motive of the corporates.’
‘We oppose this proposal in toto,' said AIBEA general secretary C H Venkatchalam.
The United Forum of Bank Unions, representing employees of public and private sector banks, has already announced observing of a one-day national strike on 19 December for various demands.
'...Prior to 1969, banks were owned by private business houses and because of their mismanagement, banks were nationalised by the then prime minister Indira Gandhi. Now, again giving license to private players will be harmful for our country,' he said.
Next Story
