Maharashtra Govt Allows Depts to Transact with 8 Private Banks

Mumbai, Nov 23 (PTI) The Maharashtra government has allowed its departments to open accounts and invest surplus funds in eight private banks along with the Maharashtra State Cooperative Bank.

The state finance department issued a government resolution to this effect on Wednesday.

The eight private banks mentioned in the GR are HDFC Bank, ICICI Bank, Axis Bank, Kokat Mahindra Bank, IndusInd Bank, Yes Bank, Federal Bank and Bandhan Bank.

All the notified banks have been selected on criteria that includes five consecutive years of net profit, net worth of more than Rs 16,000 crore, capital adequacy ratio of more than 12 per cent, as well as no restrictions by the Reserve Bank of India.

The state government's order asked all departments concerned to verify these criteria before selection of a bank.

If any bank loses its net worth or fails to meet any other criteria in future, the onus of communicating such a change to the state government will lie with the management of the lender, the order asserted.