IOB, Central Bank Shares Gain Up To 9% As Centre On Course Of Its PSB Privatisation Plan

Shares of Indian Overseas Bank and Central Bank of India which are the centre's likely PSB candidates for privatisation spurted in trade by up to 9%. At day's high, share price of IOB scaled to a price of Rs. 17.4 per share, while Central Bank gained to a price of Rs. 17.9 per share on the NSE.

As per the PTI news, the government is on course of its PSB privatisation plan and will take appropriate steps in the coming months, sources as quoted in PTI report said. In the Union Budget for 2021-22, the government announced its intent to take up the privatisation of two PSBs in the year and approved a policy of strategic disinvestment of public sector enterprises.

The government think-tank NITI Aayog has suggested two banks and one insurance company to the Core Group of Secretaries on Disinvestment for privatisation.

According to sources, Central Central Bank of India and Indian Overseas Bank are likely candidates for privatisation.

The gains in the Nifty PSB bank constituents is despite the mixed performance of its rest of the constituents.