India to Inject $1.3 Billion of Capital Into State-Run Lenders
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India will inject 79.4 billion rupees ($1.3 billion) of additional capital into government-controlled banks in the year starting April 1, the lowest since at least 2009, even as stressed assets climbed to a 14-year high.
“To be in line with Basel-III norms, there’s a requirement to infuse 2.4 trillion rupees as equity by 2018 in our banks,” Finance Minister Arun Jaitley said in New Delhi today as he presented the federal budget for the year ending March 2016 to parliament. “To meet this huge capital requirement we need to raise additional resources to fulfill this obligation.”