By Mukund Abhyankar
President NAFCUB
Budget is not very impressive for Banking & Finance sector. Proposal of amending RBI Act sounds of ulterior motive of bringing RBI under the control of Government through Finance Department.
In fact an Autonomous Central Bank is always a sign of healthy financial system of any country.
Capitalising public sector again is a disincentive for them to become self reliant. In fact I was expecting disinvestment proposal up to 49% in ownership of public sector banks.
For UCB sector, we all are again frustrated totally. We have not received justice on income tax matter, Umbrella Organisation or raising deposit insurance limit above Rs one lakh.
However, features like DRT strengthening, ARC to hold higher share in bad loans & new legislation to fight Ponzy schemes are novel and are welcomed.