Public sector banks: The Finance Ministry has held a meeting of heads of all public sector banks on 20 August. It aims to review his financial performance in the first quarter of 2025–26. This meeting will be chaired by Financial Services Secretary M. Nagaraju.
The condition of profit in the first quarter
Under the leadership of State Bank of India (SBI), 12 PSBs together made a total profit of Rs 44,218 crore in the first quarter, which is 11 percent higher than the previous year. The total profit in the same quarter last year was Rs 39,974 crore. That is, the total increase was Rs 4,244 crore. SBI alone brought 43 percent of this profit, which was Rs 19,160 crore.
How will the rest of the banks earn
What is the purpose of the meeting?
This meeting will help the Finance Ministry to understand what the current performance of public banks is, which banks are strong and which improvements are needed. Based on this, decisions will be taken on future banking strategies and policies.
Earlier in late June, Finance Minister Nirmala Sitharaman had asked the public sector banks (PSBS) not to be lagging behind in lending to sectors promoting the economy and for this, take full advantage of a large cut of 50 basis points made by RBI in the repo rate.
During the review of PSB’s financial performance, Sitharaman also asked the heads of banks to maintain the profit speed in FY 2025-26.